Avacta Group plc (AVCT) AI Stock Analysis

• Market Cap: £225.26M
• Dividend Yield: N/A
• Average Volume (3M): 3.07M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: UK
• Employees: 154
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.04
• Shares Outstanding: 440,415,500
• 10 Day Avg. Volume: 4,236,507
• 30 Day Avg. Volume: 3,069,625
• PEG Ratio: -0.04
• Price to Book (P/B): 17.61
• Price to Sales (P/S): 1446.46
• P/FCF Ratio: -6.83
• 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
• EPS Forecast (FY): -4.85
• Revenue Forecast (FY): £118.60M

• Rating: 42 Neutral
• Price Target: 49.00p ▼(-24.62% Downside)

Avacta Group plc's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. While there is some progress in clinical programs, financial constraints and lack of partnerships remain significant risks. The stock's valuation is unattractive due to negative earnings and no dividend yield.

Positive Factors

Proprietary Affimer platform

Avacta's Affimer platform is a durable competitive asset: a reusable protein scaffold that supports both diagnostics and therapeutics development. This platform approach can generate repeatable product opportunities, speed candidate discovery, and increase licensing and collaboration appeal over multiple programs.

Multiple revenue streams and collaborations

Diversified income sources—research product sales, licensing/collaborations, and diagnostics—reduce reliance on any single cash source. Structurally this supports resilience through development cycles: near-term product revenues and partner payments can partially offset long clinical timelines and fund incremental R&D.

Advancing clinical pipeline and validated target

Clinical advancement to Phase Ib and imminent first-patient dosing de-risks programs materially versus preclinical-only companies. The Tempus data confirming FAP expression broadly across solid tumors strengthens target validity, enhancing long-term commercial potential and partner interest for multiple indications.

Negative Factors

High leverage and weak balance sheet

Rising leverage and a weakened equity base constrain strategic flexibility long term. High debt increases refinancing risk and interest burden, limiting capacity to fund expensive clinical programs internally, and elevates the probability of dilutive financings or asset sales if development milestones slip.

Negative operating cash flow and cash burn

Sustained negative operating cash flow and rapid cash burn create a structural funding gap. Limited runway into Q1 2026 forces recurring financing needs, increasing dilution risk and pressuring program timelines. This reduces negotiating leverage with partners and raises execution risk for multi-year clinical plans.

Reliance on external funding and uncertain partnerships

Dependence on external financing and the absence of secured strategic partners are structural vulnerabilities. Without firm collaborations or non-dilutive funding, the company faces recurring capital raises, which can delay trials, dilute shareholders, and limit the ability to scale commercialization if clinical results require larger investments.

Avacta Group plc Business Overview & Revenue Model

Company Description

Avacta Group plc is a biotechnology company based in the UK that focuses on developing innovative therapies and diagnostics for various diseases, including cancer. The company operates primarily in the life sciences sector, utilizing its proprietary Affimer technology, which is a platform for the development of therapeutic and diagnostic products. Avacta's core offerings include Affimer proteins that can be used for both research and therapeutic applications, as well as its development of a novel cancer immunotherapy and diagnostic tests for COVID-19 and other diseases.

How the Company Makes Money

Avacta Group plc generates revenue through multiple streams, including the sale of Affimer technology and related products to research institutions and pharmaceutical companies. The company also earns revenue by entering into collaborations and licensing agreements with various partners, which may include upfront payments, milestone payments, and royalties on future sales. Significant partnerships with larger pharmaceutical firms can enhance Avacta's research capabilities and accelerate the development of its therapies, thereby contributing to its revenue growth. Additionally, revenues may be derived from its diagnostic products, particularly in response to ongoing health crises such as the COVID-19 pandemic, where the demand for rapid testing solutions has surged.

Avacta Group plc Financial Statement Overview

Summary

Avacta Group plc faces significant financial challenges, with negative profitability, high leverage, and inconsistent revenue growth. The company relies heavily on external financing, indicating a precarious financial position.

Income Statement

Avacta Group plc shows significant revenue volatility with substantial net losses over the years. Gross profit margin in the latest report is 100% due to negligible cost of goods sold. However, the net profit margin is deeply negative, and EBIT and EBITDA margins are also negative, indicating operational inefficiencies. Revenue growth has been erratic, recently declining sharply, reflecting inconsistent business performance.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio increasing over time, posing financial risk. The equity ratio has also weakened significantly, indicating diminished financial stability. Return on equity is negative due to consistent net losses. Overall, the balance sheet highlights substantial financial challenges and risks.

Cash Flow

Cash flow analysis shows negative operating cash flow consistently over the years, with free cash flow also negative, indicating cash burn issues. The free cash flow to net income ratio remains unfavorable, reflecting poor cash generation relative to losses. Financing cash flow is positive, suggesting reliance on external funding to support operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.00K	113.00K	2.85M	9.65M	2.94M	2.14M
Gross Profit	-682.00K	113.00K	2.84M	4.23M	-2.50M	-973.00K
EBITDA	-12.03M	-17.62M	-14.12M	-34.78M	-26.69M	-16.40M
Net Income	-17.02M	-52.84M	-24.95M	-36.94M	-26.32M	-18.89M
Balance Sheet
Total Assets	29.24M	48.27M	73.19M	92.65M	47.00M	67.46M
Cash, Cash Equivalents and Short-Term Investments	12.64M	12.87M	16.63M	41.78M	26.19M	47.91M
Total Debt	20.40M	22.93M	23.51M	62.94M	1.70M	2.04M
Total Liabilities	29.09M	38.99M	51.39M	74.21M	5.78M	5.53M
Stockholders Equity	144.00K	9.28M	21.80M	18.44M	41.22M	61.93M
Cash Flow
Free Cash Flow	-13.55M	-23.94M	-16.13M	-17.03M	-21.82M	-12.31M
Operating Cash Flow	-13.51M	-23.60M	-14.87M	-16.43M	-20.51M	-10.64M
Investing Cash Flow	8.77M	-1.43M	-9.00M	-25.04M	18.70M	-21.90M
Financing Cash Flow	666.00K	26.09M	-1.30M	56.90M	232.00K	51.65M

Avacta Group plc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 65.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:AVCT, the sentiment is Negative. The current price of 65 is above the 20-day moving average (MA) of 56.29, below the 50-day MA of 65.79, and above the 200-day MA of 52.18, indicating a bearish trend. The MACD of -3.34 indicates Negative momentum. The RSI at 34.08 is Neutral, neither overbought nor oversold. The STOCH value of 23.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:AVCT.

Avacta Group plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AREC	56 Neutral	£30.77M	-3.69	-204.29%	―	3.31%	21.91%
PRTC	55 Neutral	£319.99M	9.27	15.04%	―	1231.50%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SCLP	48 Neutral	£137.51M	-25.00	―	―	―	-94.12%
NFX	46 Neutral	£4.01M	-4.75	-153.80%	―	―	-616.67%
AVCT	42 Neutral	£225.26M	―	―	―	―	―
4BB	41 Neutral	£89.04M	-5.79	-209.34%	―	198.49%	-26.66%

Avacta Group plc Corporate Events

Avacta Wins FDA IND Clearance for Second pre|CISION® Cancer Drug AVA6103

Avacta Group plc has secured U.S. Food and Drug Administration clearance for its Investigational New Drug application for FAP-Exatecan (AVA6103), the company’s second pre|CISION® medicine and its first peptide drug conjugate using the potent topoisomerase I inhibitor exatecan. The IND approval allows Avacta to advance AVA6103 from preclinical work into a Phase 1 clinical trial in the U.S., expected to start later in the first quarter of 2026, assessing safety, preliminary efficacy and dose in adults with pancreatic, cervical, gastric and small cell lung cancers using two dosing schedules, with initial data anticipated in the second half of 2026. Management frames the rapid 24‑month progression from program inception to IND as an important validation of the pre|CISION® platform and its sustained-release mechanism, which is designed to enhance anti-tumor activity while limiting toxicities seen with exatecan alone, potentially strengthening Avacta’s position in next-generation oncology therapeutics and providing clinical proof-of-concept that could support broader application of its capping group and linker technologies across multiple payloads.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £51.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.

Avacta Advances Tumor-Targeted Oncology Pipeline and Extends Cash Runway Into Q3 2026

Avacta reported strong operational and R&D progress in 2025, highlighting encouraging efficacy and safety data from its faridoxorubicin (AVA6000) Phase 1b expansion cohorts in salivary gland cancer and continued enrollment to refine trial design for later-stage studies. The company advanced its second pre|CISION® program, FAP-Exd (AVA6103), with supportive pharmacology data, a Phase 1 trial set to start in early 2026 across multiple U.S. specialty oncology centers in four AI-selected tumor types, and the introduction of new platform innovations including a sustained-release mechanism and a dual-payload delivery technology. Financially, Avacta raised £22.5m in equity during 2025 and ended the year with £16.9m in cash and equivalents, providing funding into the third quarter of 2026 to reach key data readouts for both AVA6000 and AVA6103 while it continues active partnering discussions that could shape the design, funding and risk profile of its subsequent pivotal trials and broader pipeline development.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £53.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.

Avacta Names Strand Hanson as Nominated Adviser and Updates Share Capital and Governance Disclosures

Avacta Group plc has appointed Strand Hanson Limited as its Nominated Adviser with immediate effect, a key governance and regulatory role for companies listed on AIM, and confirmed that its issued share capital stands at 440,415,495 ordinary shares for the purposes of disclosure and transparency rules. The company also provided additional regulatory disclosures regarding past directorships of board member Richard Hughes in several companies that later entered administration, ensuring compliance with AIM Rule 17 and offering investors fuller visibility over the board’s historical corporate involvements.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £53.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.

Avacta Unveils Promising Data for Tumor-Targeted Cancer Therapy FAP-Exd

Avacta Group plc has released promising preclinical pharmacology data for FAP-Exd (AVA6103), a tumor-activated drug designed to deliver a highly potent topoisomerase I inhibitor directly to tumors. Key findings highlighted include enhanced tumor-specific cytotoxicity, sustained drug release over five days within tumors, and durable antitumor responses in preclinical models—signifying potential benefits over conventional therapies. The use of AI in clinical trial design has further optimized development and selection of patient populations, positioning the drug for a fast-track Phase 1 trial in early 2026, with significant implications for addressing unmet needs in oncology.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £81.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.

Avacta’s Faridoxorubicin Shows Promising Results in Salivary Gland Cancer Trials

Avacta Group PLC announced promising Phase 1b clinical trial results for its drug faridoxorubicin (AVA6000) in treating salivary gland cancer (SGC), showing a 90% disease control rate across Phase 1a and 1b trials. The trial demonstrated clinically meaningful tumor shrinkage and prolonged progression-free survival, reinforcing the potential of Avacta’s pre|CISION® platform to provide new treatment options for SGC and other solid tumors, with further data expected in the first half of 2026.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £81.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.

Avacta Group Announces Preliminary Data in Salivary Gland Cancer Trial

Avacta Group plc announced preliminary clinical data from its Phase 1b trial of Faridoxorubicin in patients with salivary gland cancer, with detailed results to be presented on December 17, 2025. This announcement marks a significant step in Avacta’s efforts to advance its PDC technology, potentially improving treatment outcomes and positioning the company as a leader in targeted cancer therapies.

The most recent analyst rating on (GB:AVCT) stock is a Hold with a £81.00 price target. To see the full list of analyst forecasts on Avacta Group plc stock, see the GB:AVCT Stock Forecast page.