Itaconix (ITX) AI Stock Analysis

• Market Cap: £15.78M
• Dividend Yield: N/A
• Average Volume (3M): 8.23K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.24
• Revenue Growth: 25.56%
• EPS Growth: 35.12%
• Country: UK
• Employees: 22
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): -0.03
• Shares Outstanding: 13,486,122
• 10 Day Avg. Volume: 5,692
• 30 Day Avg. Volume: 8,228
• PEG Ratio: -0.24
• Price to Book (P/B): 2.38
• Price to Sales (P/S): 3.42
• P/FCF Ratio: -6.66
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: 124.00p ▲(15.35% Upside)

The overall score reflects Itaconix's strong revenue growth and improved financial performance as highlighted in the earnings call. However, ongoing profitability challenges, bearish technical indicators, and a negative valuation score due to unprofitability weigh down the overall assessment.

Positive Factors

Revenue Growth

Sustained high top-line growth shows commercial traction and accelerating customer adoption of Itaconix’s bio-based ingredients. A 73% H1 increase implies improving conversion from trials to repeat orders, supporting durable revenue scale and a clearer path to profitability over the next few quarters.

Gross Profitability

A 35% gross margin demonstrates product-level value and pricing power for core formulations. This margin level provides room to cover fixed costs and fund R&D/commercialization, improving the company’s ability to reach operating profitability as volumes scale and fixed costs are absorbed.

Balance Sheet Strength

Low financial leverage and a strong equity ratio reduce default and rollover risk, giving Itaconix structural financial flexibility. This capital structure supports continued investment in scale-up, working capital for larger customer orders, and resilience through industry cycles without acute refinancing pressure.

Negative Factors

Unprofitable Operations

Persistently negative net margins indicate the business has yet to convert revenue growth into sustainable profits. Ongoing losses constrain retained capital for reinvestment, increase reliance on external funding, and mean profitability milestones must be met to validate long-term business viability.

Negative Free Cash Flow

Negative free cash flow signals operations do not yet generate surplus capital, forcing dependence on financing to fund growth. Reliance on external cash raises dilution and liquidity risks, and could limit the company’s ability to invest in commercialization or absorb setbacks without raising additional capital.

Low-margin SPARX Growth

Rapid growth in a low-margin product line can dilute overall profitability even as revenue rises. SPARX revenue growth at low 13% gross margin risks delaying company-wide margin expansion and prolongs the time needed to achieve operating leverage unless product economics are improved or higher-margin mix is restored.

Itaconix Business Overview & Revenue Model

Company Description

Itaconix (ITX) is a sustainable materials company that specializes in the development and production of innovative biopolymers derived from renewable resources. Operating primarily in the specialty chemicals sector, Itaconix focuses on delivering eco-friendly alternatives for various applications, including personal care, household products, and industrial uses. The company's core products include biodegradable polymers that serve as thickeners, binders, and film-forming agents, offering a sustainable solution to traditional petrochemical-based materials.

How the Company Makes Money

Itaconix generates revenue through the sale of its biopolymer products to manufacturers in various industries, including personal care, cleaning, and agriculture. The company utilizes a business-to-business (B2B) sales model, where it partners with manufacturers looking to incorporate sustainable ingredients into their formulations. Key revenue streams include direct sales of their proprietary products and licensing agreements with partners who wish to utilize Itaconix's technology in their own production processes. Additionally, Itaconix may benefit from strategic partnerships with larger companies seeking to enhance their sustainability efforts, which can lead to increased sales volume and market penetration.

Itaconix Financial Statement Overview

Summary

Itaconix shows modest revenue growth and a strong equity base with low financial leverage. However, the company faces challenges with negative net income and free cash flow, indicating ongoing profitability and liquidity issues.

Income Statement

The company shows a modest revenue growth from $6.22M in 2023 to $6.50M in 2024, indicating a positive trend. However, the net income remains negative, with a net profit margin of -28.68% in 2024, suggesting ongoing profitability challenges. The EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.

Balance Sheet

The balance sheet reflects strong equity with a debt-to-equity ratio of 0.21, implying low financial leverage and reduced risk. The equity ratio is 70.80%, indicating a stable capital structure. However, the company has negative net income, which impacts return on equity calculations.

Cash Flow

The free cash flow is negative, showing a decline, which is a concern for liquidity. However, the operating cash flow to net income ratio is unavailable due to negative values, complicating cash flow assessment. The company has managed to secure substantial financing cash flows in 2023, improving liquidity temporarily.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.28M	6.50M	6.17M	4.57M	2.60M	2.42M
Gross Profit	3.04M	2.26M	1.93M	1.49M	518.89K	847.62K
EBITDA	-1.31M	-1.52M	-1.06M	-1.78M	-58.17K	-885.54K
Net Income	-1.59M	-1.86M	-1.54M	-2.01M	-330.83K	-1.28M
Balance Sheet
Total Assets	10.12M	13.18M	11.98M	2.06M	2.43M	3.32M
Cash, Cash Equivalents and Short-Term Investments	4.12M	6.73M	6.86M	493.85K	506.29K	1.06M
Total Debt	1.36M	1.97M	2.45M	428.08K	366.19K	745.37K
Total Liabilities	3.22M	3.85M	3.10M	2.69M	1.95M	3.78M
Stockholders Equity	6.91M	9.33M	8.88M	-631.78K	481.09K	-459.07K
Cash Flow
Free Cash Flow	-1.95M	-3.34M	-2.18M	-226.62K	-1.55M	-849.83K
Operating Cash Flow	-1.61M	-2.75M	-1.38M	-178.53K	-1.50M	-849.83K
Investing Cash Flow	2.70M	5.95M	-6.20M	-48.10K	-34.90K	15.60K
Financing Cash Flow	-441.15K	-279.00K	9.16M	156.52K	968.11K	1.34M

Itaconix Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 107.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ITX, the sentiment is Positive. The current price of 107.5 is below the 20-day moving average (MA) of 115.65, below the 50-day MA of 114.49, and below the 200-day MA of 114.66, indicating a bullish trend. The MACD of 1.27 indicates Negative momentum. The RSI at 62.31 is Neutral, neither overbought nor oversold. The STOCH value of 48.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:ITX.

Itaconix Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRDA	65 Neutral	£4.00B	28.56	6.17%	3.45%	2.36%	-13.99%
ELM	64 Neutral	£950.26M	-16.79	3.37%	1.34%	-11.78%	-92.61%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HAYD	55 Neutral	£32.27M	-1.12	―	―	-27.64%	35.09%
ITX	54 Neutral	£15.78M	-16.78	-12.88%	―	25.56%	35.12%
DCTA	53 Neutral	£15.66M	-4.32	-78.76%	―	-24.85%	40.28%
SYNT	51 Neutral	£93.23M	-1.09	-7.26%	―	-4.41%	2.29%

Itaconix Corporate Events

Itaconix Chair Increases Stake with Purchase of Additional Shares

Itaconix plc announced that its Non-Executive Chair, Peter Nieuwenhuizen, has purchased 8,000 ordinary shares in the company at 110.25 pence per share, increasing his holding to 33,457 shares, or approximately 0.2% of the company’s issued share capital. The insider share purchase, conducted on the London Stock Exchange in accordance with UK Market Abuse Regulation disclosure rules, may be viewed by investors as a signal of board-level confidence in the company’s prospects and governance, although it represents a modest change in overall ownership.

The most recent analyst rating on (GB:ITX) stock is a Hold with a £122.00 price target. To see the full list of analyst forecasts on Itaconix stock, see the GB:ITX Stock Forecast page.

Itaconix Breaks $10m Revenue Barrier on Surging Demand for Plant-Based Polymers

Itaconix reported unaudited full-year 2025 revenues of $10.3 million, up 59% from 2024 and surpassing the $10 million mark for the first time, driven by a third consecutive record half-year with $5.5 million in second-half sales. Growth was broad-based across existing and new customers and key geographies, reflecting rising adoption of its patented plant-based polymers by consumer product manufacturers focused on performance and sustainability; management highlighted a stronger commercial pipeline, the ability to reinvest in demand generation for 2026, and confidence that its scalable, capital-efficient model positions the company to sustain revenue growth and build a larger, profitable specialty ingredients business.

The most recent analyst rating on (GB:ITX) stock is a Hold with a £107.00 price target. To see the full list of analyst forecasts on Itaconix stock, see the GB:ITX Stock Forecast page.