Eco Animal Health (EAH) AI Stock Analysis

• Market Cap: £72.16M
• Dividend Yield: N/A
• Average Volume (3M): 75.24K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.74
• Revenue Growth: 1.44%
• EPS Growth: 359.79%
• Country: UK
• Employees: 227
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): >-0.01
• Shares Outstanding: 67,759,674
• 10 Day Avg. Volume: 74,265
• 30 Day Avg. Volume: 75,241
• PEG Ratio: 0.35
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.45
• P/FCF Ratio: 6.65
• 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: £160.00
• Price Target Upside: 103.82% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: 123.00p ▲(56.69% Upside)

Eco Animal Health's overall stock score is driven by strong technical momentum and positive corporate events, indicating confidence in future growth. However, the high valuation and inconsistent financial performance temper the score, suggesting potential risks if growth expectations are not met.

Positive Factors

Cash Generation

Improved cash generation capabilities strengthen the company's ability to invest in growth opportunities and weather economic downturns.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability and flexibility for strategic investments and expansion.

Operational Efficiency

Operational efficiency improvements can lead to better profitability and competitive positioning in the long term.

Negative Factors

Inconsistent Revenue Growth

Inconsistent revenue growth can hinder long-term planning and investment, impacting the company's ability to scale and compete effectively.

Low Net Profit Margins

Low net profit margins may limit the company's ability to reinvest in business growth and innovation, affecting long-term sustainability.

Declining Gross Profit Margin

A declining gross profit margin can pressure overall profitability, reducing the funds available for reinvestment and growth initiatives.

Eco Animal Health Business Overview & Revenue Model

Company Description

Eco Animal Health (EAH) is a global provider of innovative animal health products, specializing in sustainable solutions for livestock and aquaculture. The company focuses on developing environmentally friendly medications and nutritional products aimed at enhancing animal welfare and productivity while minimizing ecological impact. EAH operates within the veterinary pharmaceuticals sector, offering a range of products that include antimicrobial treatments, feed additives, and nutritional supplements that support the health and growth of various animal species.

How the Company Makes Money

Eco Animal Health generates revenue primarily through the sale of its veterinary pharmaceutical products and nutritional supplements to farmers, veterinarians, and distributors in the livestock and aquaculture industries. The company has established key partnerships with agricultural organizations and distributors that facilitate the widespread distribution of its products, enhancing market reach and driving sales. Additionally, EAH may monetize its research and development efforts through collaborations with other companies in the agricultural sector, resulting in royalties or licensing fees. The demand for sustainable animal health solutions also positions EAH to benefit from market trends favoring environmentally responsible farming practices.

Eco Animal Health Financial Statement Overview

Summary

Eco Animal Health demonstrates a stable financial position with a strong balance sheet and improving cash flow generation. However, inconsistent revenue growth and low net profit margins present challenges to future profitability.

Income Statement

Eco Animal Health's income statement shows a mixed performance. The company has maintained a positive gross profit margin, but it has been declining over recent years. The net profit margin is low, indicating limited profitability. Revenue growth has been inconsistent, with a notable decline in the most recent year. However, EBIT and EBITDA margins have shown some resilience, suggesting operational efficiency improvements.

Balance Sheet

The balance sheet of Eco Animal Health is relatively strong, with a low debt-to-equity ratio indicating conservative leverage. The return on equity is modest, reflecting limited profitability, but the equity ratio is healthy, suggesting a strong capital structure. Overall, the company maintains a stable financial position with manageable debt levels.

Cash Flow

Cash flow analysis reveals a positive trend in free cash flow growth, indicating improved cash generation capabilities. The operating cash flow to net income ratio is below 1, suggesting that cash flow generation is not fully aligned with accounting profits. However, the free cash flow to net income ratio is reasonable, indicating that the company is generating sufficient cash relative to its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.81M	79.60M	89.42M	85.31M	82.19M	105.61M
Gross Profit	42.10M	35.91M	37.68M	36.75M	33.70M	51.54M
EBITDA	9.60M	7.29M	6.53M	7.41M	3.62M	18.63M
Net Income	3.02M	1.69M	1.05M	1.01M	-686.00K	7.34M
Balance Sheet
Total Assets	113.96M	120.60M	123.27M	121.31M	113.60M	116.89M
Cash, Cash Equivalents and Short-Term Investments	18.64M	25.01M	22.37M	21.66M	14.31M	19.52M
Total Debt	5.06M	3.79M	4.03M	4.48M	1.91M	1.52M
Total Liabilities	21.57M	25.84M	29.89M	25.76M	19.25M	21.57M
Stockholders Equity	84.75M	85.50M	83.69M	83.27M	82.06M	81.90M
Cash Flow
Free Cash Flow	8.66M	5.44M	4.94M	10.03M	-3.25M	11.04M
Operating Cash Flow	8.99M	10.45M	9.42M	16.01M	-358.00K	12.11M
Investing Cash Flow	-5.20M	-4.61M	-3.42M	-5.98M	-2.88M	-1.06M
Financing Cash Flow	-3.33M	-1.95M	-3.69M	-2.40M	-3.31M	-684.00K

Eco Animal Health Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 78.50
• 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:EAH, the sentiment is Positive. The current price of 78.5 is below the 20-day moving average (MA) of 101.85, below the 50-day MA of 91.75, and above the 200-day MA of 73.77, indicating a bullish trend. The MACD of 5.03 indicates Positive momentum. The RSI at 69.31 is Neutral, neither overbought nor oversold. The STOCH value of 30.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:EAH.

Eco Animal Health Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EAH	76 Outperform	£72.16M	23.88	3.62%	―	1.44%	359.79%
ANCR	67 Neutral	£164.33M	-6.71	2.83%	2.18%	8.74%	-166.50%
AGY	56 Neutral	£693.98M	-13.69	―	―	-0.28%	22.94%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Eco Animal Health Corporate Events

ECO Animal Health CEO Increases Shareholding

Eco Animal Health Group PLC announced that its CEO, David Hallas, has purchased 18,348 ordinary shares of the company at 109 pence per share, increasing his total shareholding to 203,041 shares, which represents approximately 0.29% of the company’s issued share capital. This move reflects a strong vote of confidence from the executive leadership in the company’s future prospects and may positively influence stakeholder perception and market positioning.

ECO Animal Health Reports Strong H1 2025 Results and Advances R&D Milestones

ECO Animal Health Group reported strong financial results for the first half of 2025, with a 19% increase in revenue to £39.4 million and a significant improvement in gross margins to 49.6%. The company attributed this growth to increased sales volumes, price improvements, and lower input costs, leading to an adjusted EBITDA of £3.0 million. Additionally, ECO received a Positive Opinion from the European Medicines Agency for its poultry vaccine, ECOVAXXIN® MS, marking a significant milestone in its R&D pipeline and setting the stage for a commercial launch in the EU in the second half of 2026.

ECO Animal Health to Announce Interim Results and Host Investor Presentation

ECO Animal Health Group PLC has announced that it will release its unaudited interim results for the six months ended 30 September 2025 on 1 December 2025. The company will host an analyst briefing and an investor presentation to discuss these results, highlighting its continued growth and engagement with stakeholders. This announcement underscores ECO’s commitment to transparency and its strategic positioning within the global animal health market.

ECO Animal Health to Announce Interim Results and Host Investor Events

ECO Animal Health Group PLC announced it will release its unaudited interim results for the six months ending 30 June 2025 on 1 December 2025. The company will host an in-person analyst briefing and an online presentation with a Q&A session for shareholders and potential investors. This announcement reflects ECO’s commitment to transparency and engagement with stakeholders, potentially impacting its market position positively by maintaining investor confidence.

ECO Animal Health Advances EU Launch Plans for New Poultry Vaccine

ECO Animal Health Group has received a Positive Opinion from the European Medicines Agency’s Committee for Medicinal Products for Veterinary Use for its ECOVAXXIN® MS poultry vaccine, targeting Mycoplasma synoviae. This milestone is expected to lead to a commercial launch in the EU by mid-2026, marking a significant step in ECO’s growth strategy. The vaccine aims to reduce economic losses in poultry by preventing air-sac and foot-pad lesions, which can decrease egg production. ECO plans to expand its market reach with additional geographic marketing authorizations and further product submissions from its R&D pipeline over the next year.

ECO Animal Health Announces Leadership Change in R&D

ECO Animal Health announced the departure of Hafid Benchaoui, the Head of Global R&D, who is leaving to pursue a new opportunity in the companion animal health industry. The company is actively recruiting a new head for its R&D department and assures stakeholders that its R&D pipeline remains on track, supported by an experienced senior team. The transition is expected to be smooth, with Hafid staying until October 21 to ensure a proper handover. This change is not anticipated to disrupt the company’s operations or its market positioning.

ECO Animal Health Successfully Passes All AGM Resolutions

ECO Animal Health Group PLC announced that all resolutions proposed at its Annual General Meeting were successfully passed. This outcome reflects strong shareholder support and may positively impact the company’s strategic initiatives and operational stability, reinforcing its position in the global animal health market.

ECO Animal Health Reports Strong First-Half Performance with Significant Revenue Growth

ECO Animal Health Group PLC has reported a robust trading performance for the first half of the financial year ending 30 September 2025, with revenue expected to increase by over 15% compared to the previous year. This growth is driven by significant gains in the China/Japan and North American markets, despite facing currency and tariff challenges. The company anticipates improved gross margins and a substantial rise in adjusted EBITDA, contributing to a more balanced financial performance throughout the year and aligning with market expectations for the full year.