PureTech Health (PRTC) AI Stock Analysis

• Market Cap: £299.20M
• Dividend Yield: N/A
• Average Volume (3M): 474.53K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 2.05
• Revenue Growth: 1231.50%
• EPS Growth: N/A
• Country: UK
• Employees: 80
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.14
• Shares Outstanding: 241,684,040
• 10 Day Avg. Volume: 282,898
• 30 Day Avg. Volume: 474,529
• PEG Ratio: -0.05
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 117.44
• P/FCF Ratio: -3.77
• 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
• EPS Forecast (FY): -36.99
• Revenue Forecast (FY): £278.21M

• Rating: 55 Neutral
• Price Target: 125.00p ▼(-7.27% Downside)

PureTech Health's overall score reflects a balance of strong liquidity and promising clinical developments against challenges in profitability and technical weakness. The company's strategic initiatives and recent positive trial results provide a cautiously optimistic outlook, but operational risks and funding uncertainties remain significant factors.

Positive Factors

Strong Financial Position

A robust cash position provides PureTech with an operational runway into 2028, ensuring stability and the ability to fund strategic initiatives without immediate financial pressure.

Strategic Partnerships

Successful partnerships and spinouts like Seaport Therapeutics enhance PureTech's financial prospects and validate its business model, potentially leading to significant future revenue streams.

Operational Efficiency

Improved operational efficiency through cost reductions strengthens PureTech's ability to manage resources effectively, enhancing long-term profitability and competitiveness.

Negative Factors

Management Changes

Leadership transitions can create uncertainty and disrupt strategic continuity, potentially impacting decision-making and long-term strategic execution.

Profitability Challenges

Persistent operating losses and negative margins highlight ongoing profitability challenges, which could strain resources and limit growth opportunities if not addressed.

Funding Uncertainty

Uncertainty in securing necessary funding for key projects could delay development timelines and impact PureTech's ability to capitalize on its therapeutic pipeline.

PureTech Health Business Overview & Revenue Model

Company Description

PureTech Health (PRTC) is a biotechnology company focused on discovering, developing, and commercializing innovative therapies for serious diseases. The company operates primarily in the health and biotechnology sectors, leveraging its expertise in drug development to create a diverse pipeline of therapeutic candidates across various domains, including immunology, neurology, and oncology. PureTech also engages in collaborations and partnerships with other biotech and pharmaceutical companies to advance its proprietary technologies and products.

How the Company Makes Money

PureTech Health generates revenue through several key streams. Primarily, the company earns money by licensing its proprietary technologies and therapeutic candidates to larger pharmaceutical companies, which pay upfront fees and potential milestone payments as products advance through clinical trials. Additionally, PureTech can receive royalties on sales of commercialized products developed from its technologies. The company also engages in equity investments in its subsidiaries and partner companies, which can provide returns as these entities grow and succeed. Strategic partnerships with larger firms further enhance revenue potential by allowing access to additional resources and market opportunities.

PureTech Health Financial Statement Overview

Summary

PureTech Health shows mixed financial performance with strong liquidity and low leverage, but faces challenges in profitability and cash flow sustainability. Volatile revenue and net income trends indicate operational risks.

Income Statement

PureTech Health's income statement shows a volatile revenue base with a significant increase from 2023 to 2024. The gross profit margin is positive, but the company is operating at a loss with negative EBIT and EBITDA margins. Although the net profit margin turned positive in 2024, the overall profitability remains a concern due to inconsistent revenue and high operational losses.

Balance Sheet

The balance sheet reflects a strong liquidity position with substantial cash reserves, resulting in a negative net debt. While the debt-to-equity ratio is low, indicating prudent leverage, the equity ratio has decreased, suggesting a decline in asset efficiency. The company's return on equity is volatile, driven by fluctuating net income, indicating instability in shareholder returns.

Cash Flow

Cash flow analysis shows challenges with consistent negative free cash flow, though there was a significant increase in free cash flow from 2023 to 2024. The operating cash flow remains negative, indicating operational cash burn. The company’s cash flow management is buoyed by financing and investing activities, but sustainable operational improvements are needed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.88M	4.32M	750.00K	2.09M	9.98M	8.34M
Gross Profit	19.91M	4.32M	-92.91M	-136.81M	-100.49M	8.34M
EBITDA	55.73M	37.38M	-17.68M	-79.94M	-46.95M	-115.58M
Net Income	50.68M	53.51M	-65.70M	-50.35M	-60.56M	5.99M
Balance Sheet
Total Assets	553.24M	602.63M	693.97M	702.65M	946.01M	989.99M
Cash, Cash Equivalents and Short-Term Investments	321.55M	367.31M	327.14M	350.10M	465.71M	403.88M
Total Debt	20.92M	159.14M	25.34M	46.87M	52.75M	76.62M
Total Liabilities	184.22M	194.70M	235.74M	155.06M	361.86M	336.45M
Stockholders Equity	375.98M	414.71M	464.07M	542.22M	593.51M	669.75M
Cash Flow
Free Cash Flow	-100.31M	-134.38M	-106.16M	-180.97M	-163.94M	-137.25M
Operating Cash Flow	-100.30M	-134.37M	-105.92M	-178.79M	-158.27M	-131.83M
Investing Cash Flow	34.05M	240.89M	68.99M	-107.22M	197.38M	364.48M
Financing Cash Flow	18.37M	-16.96M	78.14M	-29.83M	22.73M	38.87M

PureTech Health Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 134.80
• 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:PRTC, the sentiment is Negative. The current price of 134.8 is above the 20-day moving average (MA) of 123.22, above the 50-day MA of 128.59, and above the 200-day MA of 129.92, indicating a bearish trend. The MACD of -1.05 indicates Negative momentum. The RSI at 46.49 is Neutral, neither overbought nor oversold. The STOCH value of 54.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:PRTC.

PureTech Health Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BVXP	78 Outperform	£113.64M	14.97	64.40%	8.15%	-3.61%	-6.35%
OXB	56 Neutral	£776.27M	―	-74.64%	―	55.44%	75.77%
PRTC	55 Neutral	£299.20M	8.80	15.04%	―	1231.50%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ONT	51 Neutral	£1.32B	-9.02	-26.01%	―	22.03%	20.01%
SCLP	46 Neutral	£102.22M	-7.46	―	―	―	-94.12%
4BB	41 Neutral	£121.56M	-7.90	-209.34%	―	198.49%	-26.66%

PureTech Health Corporate Events

PureTech’s Gallop Oncology Reports Positive Phase 1b Trial Results for LYT-200 in AML

Gallop Oncology, a PureTech Health entity, announced promising results from a Phase 1b trial of LYT-200, a monoclonal antibody for relapsed/refractory acute myeloid leukemia (AML) and high-risk myelodysplastic syndrome (MDS). The trial showed LYT-200’s favorable safety and efficacy, with a median overall survival of 13.2 months in combination therapy, significantly exceeding the typical survival rate of less than 2.5 months. These results suggest LYT-200’s potential for broader applicability across high-risk mutations and support its advancement to a Phase 2 trial. The findings highlight a potential shift in AML treatment, with LYT-200’s unique mechanism targeting galectin-9, a key oncogenic driver.

PureTech’s Gallop Oncology Reports Promising Results for LYT-200 in AML Trial

PureTech Health’s subsidiary, Gallop Oncology, announced promising new data from its Phase 1b trial of LYT-200, a monoclonal antibody, in treating relapsed/refractory acute myeloid leukemia (AML). The trial demonstrated significant clinical activity and a favorable safety profile, achieving a complete response rate of over 30% in combination with standard care, compared to typical rates of 6-12%. This positions LYT-200 as a potential new treatment option for AML, addressing an urgent unmet medical need. PureTech plans to advance LYT-200 into a Phase 2 trial and engage with regulatory authorities, with further data expected in late 2025 and early 2026.

PureTech Health’s Deupirfenidone Shows Promise in Treating Older IPF Patients

PureTech Health has announced new analyses from its Phase 2b ELEVATE IPF trial, demonstrating the consistent safety and efficacy of deupirfenidone in treating idiopathic pulmonary fibrosis (IPF) among older patients, a group historically undertreated due to tolerability issues. The findings, presented at the CHEST 2025 Annual Meeting, suggest that deupirfenidone could address a significant treatment gap for older IPF patients, potentially offering a new standard of care and improving outcomes for this vulnerable population.

PureTech Health’s Deupirfenidone Shows Promise in IPF Treatment

PureTech Health has announced promising new data from its Phase 2b ELEVATE IPF trial for deupirfenidone (LYT-100), a potential new standard of care for idiopathic pulmonary fibrosis (IPF). The data, presented at the 2025 European Respiratory Society Congress, showed that patients switching from placebo or pirfenidone to deupirfenidone experienced stabilization of lung function with favorable tolerability, reinforcing the drug’s potential to address unmet needs in IPF treatment. The company is engaging with regulators to finalize the Phase 3 trial design, with updates expected in Q4 2025.

PureTech Health Executives Increase Shareholdings, Indicating Confidence in Future Prospects

PureTech Health announced that key members of its management team, including the Interim CEO and several Non-Executive Directors, have purchased shares in the company. This transaction, conducted on the London Stock Exchange, signifies confidence in the company’s future prospects and may positively influence stakeholder sentiment.

Seaport Therapeutics Advances GlyphAgo for Generalized Anxiety Disorder

Seaport Therapeutics has initiated a Phase 1 clinical trial for GlyphAgo, an oral prodrug of agomelatine, aimed at treating generalized anxiety disorder (GAD). GlyphAgo is designed to improve drug absorption and reduce liver-related side effects, potentially redefining GAD treatment by achieving therapeutic benefits at lower doses without the need for frequent liver monitoring.