Allergy Therapeutics (AGY) AI Stock Analysis

• Market Cap: £324.12M
• Dividend Yield: N/A
• Average Volume (3M): 412.21K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.86
• Revenue Growth: 4.50%
• EPS Growth: 74.32%
• Country: UK
• Employees: 612
• Sector: Healthcare
• Sector Strength: 42
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): >-0.01
• Shares Outstanding: 4,766,440,000
• 10 Day Avg. Volume: 298,261
• 30 Day Avg. Volume: 412,207
• PEG Ratio: -0.35
• Price to Book (P/B): -49.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -10.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 51 Neutral
• Price Target: 7.00p ▲(2.94%Upside)

The overall stock score of 51 reflects the significant financial challenges faced by Allergy Therapeutics, offset by promising corporate events and a neutral technical analysis. The financial instability is the most critical factor, but recent strategic advancements indicate a potential for improvement.

Allergy Therapeutics Business Overview & Revenue Model

Company Description

Allergy Therapeutics plc, a biotechnology company, engages in the research and development of allergy treatments. The company sells injectable and sublingual allergen-specific immunotherapies; and offers prescription for the treatment of pollen-related allergies particularly to grasses, weeds, and trees, as well as diagnostics. Its products include Pollinex Quattro, Oralvac, Venomil, ImmunoBON, Synbiotics, Acarovac Plus, Penicillin diagnostics, Pollinex, and VLP Peanut. The company also develops allergy vaccines for trees, grass, house dust mite, and pets with fur/hair, as well as peanut allergy vaccines. It operates in Central Europe, Southern Europe, the United Kingdom, and internationally. Allergy Therapeutics plc was incorporated in 2004 and is headquartered in Worthing, the United Kingdom.

How the Company Makes Money

Allergy Therapeutics generates revenue primarily through the sale of its allergy immunotherapy products. The company's key revenue streams include direct sales of its proprietary allergy vaccines to healthcare providers, clinics, and hospitals. Additionally, the company may engage in partnerships and licensing agreements with other pharmaceutical companies to expand the reach and distribution of its products. Significant factors contributing to its earnings include ongoing research and development activities aimed at enhancing product efficacy and the expansion of its product portfolio to address a broader range of allergic conditions.

Allergy Therapeutics Financial Statement Overview

Summary

Allergy Therapeutics is struggling financially, with declining revenues and negative net profit margins indicating ongoing losses. The balance sheet shows high leverage and reduced equity, while cash flow issues highlight liquidity pressures. Strategic adjustments are needed to stabilize financial health.

Income Statement

The company has faced declining revenue over the past two years, with a noticeable revenue decrease in the most recent year. Gross profit margin decreased from previous years, and the net profit margin is negative, indicating losses. EBIT and EBITDA margins are also negative, suggesting operational challenges and reduced profitability.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating significant leverage. Stockholders' equity has drastically decreased, impacting the equity ratio negatively. The return on equity is negative due to consistent net losses, highlighting financial instability.

Cash Flow

Operating cash flow is negative and declining, highlighting cash management issues. The free cash flow remains negative, and the free cash flow to net income ratio is unfavorable. Despite a positive financing cash flow, overall cash flow indicators reflect financial strain.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
55.66M	55.20M	59.59M	72.77M	84.33M	78.20M
	Gross Profit
30.08M	29.74M	32.69M	48.95M	61.80M	57.51M
	EBIT
-30.14M	-35.26M	-34.85M	-13.00M	2.64M	4.46M
	EBITDA
-27.50M	-30.74M	-36.24M	-8.69M	7.61M	11.69M
	Net Income Common Stockholders
-35.65M	-40.22M	-43.07M	-13.78M	2.89M	7.06M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
21.68M	12.91M	14.85M	20.52M	40.27M	36.96M
	Total Assets
72.97M	64.83M	66.77M	72.95M	88.09M	86.22M
	Total Debt
44.52M	30.99M	35.99M	10.53M	11.17M	12.18M
	Net Debt
22.84M	18.07M	21.14M	-9.99M	-29.10M	-24.78M
	Total Liabilities
80.12M	61.12M	64.70M	35.18M	39.55M	42.44M
	Stockholders Equity
-7.15M	3.71M	2.07M	37.77M	48.53M	43.78M
Cash Flow		Free Cash Flow
-32.54M	-35.54M	-35.59M	-17.17M	5.95M	9.73M
	Operating Cash Flow
-29.48M	-32.14M	-30.92M	-14.11M	8.52M	12.28M
	Investing Cash Flow
-993.00K	-1.20M	-4.67M	-3.06M	-2.76M	-2.77M
	Financing Cash Flow
38.61M	31.43M	29.91M	-2.64M	-2.03M	-110.00K

Allergy Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:AGY, the sentiment is Positive. The current price of 6.8 is below the 20-day moving average (MA) of 7.10, above the 50-day MA of 6.67, and above the 200-day MA of 6.00, indicating a bullish trend. The MACD of 0.08 indicates Positive momentum. The RSI at 54.84 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:AGY.

Allergy Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HIK	71 Outperform	£4.69B	16.77	15.79%	2.91%	5.83%	83.35%
APH	59 Neutral	$355.92M	―	-5.04%	―	-1.02%	67.70%
Sector *	54 Neutral	$5.31B	3.28	-45.10%	2.80%	16.76%	0.02%
AGY	51 Neutral	£324.12M	―	-369.20%	―	4.50%	74.32%

Allergy Therapeutics Corporate Events

Allergy Therapeutics Reports Financial Turnaround and Clinical Progress

Allergy Therapeutics reported a financial turnaround with a £1.9 million operating profit before R&D and other costs, and a 4% revenue growth on a constant currency basis for the six months ended December 2024. The company has strengthened its financial position with a cash reserve of £21.7 million and has made significant progress in its clinical programs, including the submission of a Marketing Authorisation Application for Grass MATA MPL in Germany and promising interim results from its VLP Peanut allergy vaccine trial. These developments position the company to advance its strategic priorities and potentially transform patient care in allergy treatment.

Allergy Therapeutics Advances Peanut Allergy Vaccine Trial to Final Phase

Allergy Therapeutics has advanced to the final phase of its VLP Peanut Phase I/IIa PROTECT trial, with healthy volunteers receiving the highest doses without any safety signals. The trial aims to establish a strong safety margin and determine the optimal dose range for future studies. The company also announced a new publication validating the vaccine’s mechanism of action, highlighting its potential to reduce allergic responses and promote protective immune mechanisms. The results are promising for addressing the unmet need for effective peanut allergy treatments and could lead to long-term protection.