RUA Life Sciences (RUA) AI Stock Analysis

• Market Cap: £7.91M
• Dividend Yield: N/A
• Average Volume (3M): 148.53K
• Price to Earnings (P/E): 1275.0
• Beta (1Y): 0.01
• Revenue Growth: 87.72%
• EPS Growth: N/A
• Country: UK
• Employees: 40
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): -0.01
• Shares Outstanding: 62,060,272
• 10 Day Avg. Volume: 90,619
• 30 Day Avg. Volume: 148,527
• PEG Ratio: -75.00
• Price to Book (P/B): 1.03
• Price to Sales (P/S): 1.82
• P/FCF Ratio: -26.69
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: 14.00p ▲(16.67% Upside)

The overall stock score is primarily influenced by strong revenue growth and a solid balance sheet, offset by significant profitability and cash flow challenges. Technical indicators show bullish momentum but caution is advised due to overbought signals. The extremely high P/E ratio suggests overvaluation, impacting the stock's attractiveness.

Positive Factors

Revenue Growth

The strong revenue growth indicates a positive trajectory in sales, reflecting increased market demand and successful product adoption, which supports long-term business expansion.

Balance Sheet Health

A low debt-to-equity ratio suggests conservative leverage, providing financial stability and flexibility to invest in growth opportunities without excessive debt burden.

Gross Profit Margin

A strong gross profit margin indicates effective cost control and pricing power, which can sustain profitability and competitive advantage over time.

Negative Factors

Profitability Challenges

Low profitability suggests operational inefficiencies and challenges in converting sales into net income, which may hinder long-term financial health and shareholder returns.

Cash Flow Management

Negative operating cash flow indicates difficulties in generating cash from core operations, potentially limiting the company's ability to fund growth and meet financial obligations.

Return on Equity

Negative return on equity suggests inefficiencies in using shareholders' equity to generate profits, which can affect investor confidence and long-term value creation.

RUA Life Sciences Business Overview & Revenue Model

Company Description

RUA Life Sciences plc, together with its subsidiaries, provides polymers, services, and products to the medical device industry in Europe, the United States, and internationally. The company operates as a contract developer and manufacturer of medical devices; and licensor of Elast-Eon and ECSil implantable co-polymers that are used in cardiology and urological applications, including pacing leads, cardiac cannulae, and stent devices, as well as reaction injection molding technology for use in high-precision medical device components. It also develops bore polymer sealed grafts and soft tissue patches; and tri leaflet polymeric heart valves. The company was formerly known as AorTech International plc and changed its name to RUA Life Sciences plc in June 2020. RUA Life Sciences plc was incorporated in 1996 and is headquartered in Irvine, the United Kingdom.

How the Company Makes Money

RUA makes money primarily through the sale of its medical products and technologies. Its revenue model includes direct sales to healthcare providers and hospitals, as well as partnerships with larger medical device companies for co-development and distribution of its products. Key revenue streams are driven by the licensing of its proprietary technologies, sales of surgical implants, and ongoing contracts for research and development with various medical institutions. Additionally, RUA may benefit from funding and grants aimed at advancing healthcare innovations, which further contribute to its earnings.

RUA Life Sciences Financial Statement Overview

Summary

RUA Life Sciences demonstrates strong revenue growth and a solid balance sheet with low leverage. However, profitability and cash flow challenges, such as a negligible net profit margin and negative operating cash flow, need to be addressed for sustainable financial health.

Income Statement

RUA Life Sciences has shown a strong revenue growth rate of 40.81% in the latest year, indicating a positive trajectory in sales. The gross profit margin remains robust at 77.12%, reflecting efficient cost management. However, the company struggles with profitability, as evidenced by a negligible net profit margin of 0.02% and negative EBIT margin, suggesting operational challenges.

Balance Sheet

The company's balance sheet is relatively stable with a low debt-to-equity ratio of 0.14, indicating conservative leverage. The equity ratio is strong, suggesting a solid capital structure. However, the return on equity is negative in previous years, highlighting challenges in generating returns for shareholders.

Cash Flow

RUA Life Sciences faces cash flow challenges, with negative operating cash flow and a significant decline in free cash flow growth. The free cash flow to net income ratio is positive, indicating some efficiency in converting income to cash, but overall cash flow management remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.11M	4.11M	2.19M	2.18M	1.63M	1.53M
Gross Profit	2.99M	3.17M	1.72M	1.43M	1.04M	980.00K
EBITDA	401.00K	401.00K	-1.57M	-1.95M	-2.04M	-1.28M
Net Income	1.00K	1.00K	-1.44M	-2.00M	-2.07M	-1.45M
Balance Sheet
Total Assets	9.26M	9.26M	8.17M	5.66M	7.63M	10.15M
Cash, Cash Equivalents and Short-Term Investments	3.57M	3.57M	3.93M	1.48M	2.96M	6.29M
Total Debt	1.03M	1.03M	389.00K	475.00K	344.00K	410.00K
Total Liabilities	1.86M	1.86M	987.00K	980.00K	1.04M	1.65M
Stockholders Equity	7.30M	7.30M	7.18M	4.68M	6.58M	8.51M
Cash Flow
Free Cash Flow	-277.00K	-281.00K	-1.38M	-1.62M	-3.27M	-2.04M
Operating Cash Flow	-215.00K	-219.00K	-1.33M	-1.17M	-2.36M	-1.42M
Investing Cash Flow	41.00K	70.00K	-85.00K	-449.00K	-904.00K	-943.00K
Financing Cash Flow	-196.00K	-196.00K	3.89M	132.00K	-66.00K	6.68M

RUA Life Sciences Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.00
• 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:RUA, the sentiment is Positive. The current price of 12 is below the 20-day moving average (MA) of 12.40, above the 50-day MA of 11.75, and above the 200-day MA of 11.90, indicating a neutral trend. The MACD of 0.10 indicates Positive momentum. The RSI at 47.17 is Neutral, neither overbought nor oversold. The STOCH value of 29.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:RUA.

RUA Life Sciences Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RUA	58 Neutral	£7.91M	1,275.00	0.08%	―	87.72%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SUN	45 Neutral	£5.36M	-3.83	-15.46%	―	-4.98%	-114.29%
IHC	44 Neutral	£18.16M	-1.59	-51.63%	―	31.78%	10.27%
OBD	40 Underperform	£6.26M	-0.11	-333.59%	―	45.22%	55.71%

RUA Life Sciences Corporate Events

RUA Life Sciences Reports Significant Revenue Growth and Profitability

RUA Life Sciences has transitioned from a research and development-focused entity to a revenue-generating business, reporting significant revenue growth for the 18-month period ending September 2025. The company’s revenue increased to £6.6 million, driven by growth in biomaterials royalties, UK contract manufacturing, and contributions from the newly acquired French medical device manufacturer, Abiss. Efforts to diversify the customer base have reduced reliance on a single major customer, and the company has achieved EBITDA profitability, reflecting a positive shift in its financial health. The company anticipates continued growth and profitability, with a focus on expanding its customer base and managing cash effectively.

The most recent analyst rating on (GB:RUA) stock is a Hold with a £12.00 price target. To see the full list of analyst forecasts on RUA Life Sciences stock, see the GB:RUA Stock Forecast page.