Shield Therapeutics (STX) AI Stock Analysis

• Market Cap: £38.02M
• Dividend Yield: N/A
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• Revenue Growth: 139.31%
• EPS Growth: 26.49%
• Country: UK
• Employees: 63
• Sector: Healthcare
• Sector Strength: 44
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.01
• Shares Outstanding: 1,041,690,400
• 10 Day Avg. Volume: 1,435,432
• 30 Day Avg. Volume: 1,070,156
• PEG Ratio: N/A
• Price to Book (P/B): -27.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.98
• 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: £2.50
• Price Target Upside: -29.58% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 49 Neutral
• Price Target: 3.50p ▼(-1.41%Downside)

The overall score reflects financial distress despite strong revenue growth and positive corporate events. Technical indicators suggest momentum but potential for a pullback, while poor valuation metrics weigh heavily on the score.

Positive Factors

Funding

$6.5m of cash plus successful $10m raise with AOP Health does provide some much-needed breathing room for Shield in 2025.

Prescription Coverage

The percentage of non-covered prescriptions dropped from 37% to 22%, contributing to the revenue growth.

Revenue Growth

The significant increase in NSP in 4Q24 to $237 supported Shield delivering $32.2m in revenues for 2024, slightly ahead of expectations.

Negative Factors

Cashflow

Strong sales growth for Accrufer is still required to achieve the goal of cashflow breakeven, and funding does remain tight.

Prescription Volumes

The increase in NSP offsets a 6% decrease in prescription volumes QoQ, a significant slowdown vs Q2 and Q3 which delivered more than 20% prescription growth.

Script Growth

Negative script growth in Q4 and a potentially soft 1Q25 driven by usual insurance renewals and unwind of year-end stocking is a concern.

Shield Therapeutics Business Overview & Revenue Model

Company Description

Shield Therapeutics plc, a specialty pharmaceutical company, engages in the development and commercialization of clinical stage pharmaceuticals to treat unmet medical needs. The company's lead product is Accrufer/Feraccru, a non-salt based oral therapy for the treatment of iron deficiency with or without anemia in adults. It also develops PT20, a novel iron-based phosphate binder that has completed its Phase II pivotal study for the treatment of hyperphosphatemia in patients with chronic kidney disease. The company was founded in 2008 and is based in Gateshead, the United Kingdom.

How the Company Makes Money

Shield Therapeutics generates revenue through the sales of its core product, Feraccru®, which is marketed for the treatment of iron deficiency in various markets. The company earns income from direct sales, as well as through licensing agreements and partnerships with other pharmaceutical companies that distribute and promote Feraccru® in different regions. Additionally, Shield Therapeutics may receive milestone payments and royalties from these partnerships, contributing to its overall financial performance.

Shield Therapeutics Financial Statement Overview

Summary

Despite robust revenue growth, the company struggles with persistent negative profitability, negative equity, and cash flow issues, indicating financial distress and high leverage risk.

Income Statement

The company has shown significant revenue growth, with total revenue increasing from 1.5 million in 2021 to 25.2 million in 2024, representing a strong growth trajectory. However, the net profit margin remains deeply negative due to substantial net losses, and both EBIT and EBITDA margins are negative, indicating ongoing operational challenges and profitability issues.

Balance Sheet

The balance sheet reflects a negative stockholders' equity as of 2024, indicating financial distress and a potential risk of insolvency. The debt-to-equity ratio is high due to negative equity, and the equity ratio is also negative, highlighting a critical situation in terms of financial stability and leverage.

Cash Flow

Free cash flow remains negative, although there is a small improvement in operating cash flow. The free cash flow to net income ratio is negative, indicating cash flow problems. However, the company has managed to reduce the magnitude of negative operating cash flow compared to previous years, showing a slight improvement in cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.18M	13.09M	4.47M	1.52M	10.39M
Gross Profit	10.57M	4.03M	2.00M	539.00K	9.03M
EBITDA	-16.58M	-30.29M	-37.39M	-17.35M	820.00K
Net Income	-21.27M	-33.29M	-40.44M	-19.34M	-2.63M
Balance Sheet
Total Assets	45.90M	48.80M	22.07M	44.41M	32.53M
Cash, Cash Equivalents and Short-Term Investments	5.61M	13.95M	2.82M	12.12M	2.94M
Total Debt	21.06M	20.25M	6.10M	156.00K	28.00K
Total Liabilities	46.95M	33.77M	16.65M	3.38M	2.25M
Stockholders Equity	-1.05M	11.79M	5.43M	41.03M	30.28M
Cash Flow
Free Cash Flow	-7.03M	-40.07M	-20.14M	-18.80M	-1.42M
Operating Cash Flow	-7.01M	-37.13M	-18.25M	-16.74M	-1.40M
Investing Cash Flow	-1.89M	-2.43M	-1.70M	-2.05M	-20.00K
Financing Cash Flow	4.21M	49.66M	7.71M	27.58M	-47.00K

Shield Therapeutics Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:STX, the sentiment is Positive. The current price of 3.55 is above the 20-day moving average (MA) of 2.97, above the 50-day MA of 2.68, and above the 200-day MA of 2.97, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 74.89 is Negative, neither overbought nor oversold. The STOCH value of 84.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:STX.

Shield Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANCR	81 Outperform	£191.79M	5.31	33.70%	2.16%	-0.17%	2591.96%
HIK	68 Neutral	£4.39B	15.69	15.79%	2.90%	5.83%	83.35%
APH	59 Neutral	$355.92M	―	-5.04%	―	-1.02%	67.70%
AGY	53 Neutral	£381.32M	―	-369.20%	―	4.50%	74.32%
Sector *	52 Neutral	$7.47B	-0.04	-63.86%	2.34%	16.17%	0.25%
STX	49 Neutral	£38.02M	―	-396.71%	―	139.31%	26.49%
BXP	―	$40.77B	4.00	13.12%	8.70%	―	―

Shield Therapeutics Corporate Events

Shield Therapeutics Secures Shareholder Support at 2025 AGM

Shield Therapeutics announced the successful passing of all resolutions at its 2025 Annual General Meeting, indicating strong shareholder support. This development underscores the company’s stable governance and may positively impact its strategic initiatives in the competitive pharmaceutical market, particularly in expanding the reach of its flagship product, ACCRUFeR®/FeRACCRU®.

The most recent analyst rating on (GB:STX) stock is a Hold with a £2.00 price target. To see the full list of analyst forecasts on Shield Therapeutics stock, see the GB:STX Stock Forecast page.

Shield Therapeutics Reports Strong 2024 Financial Growth and Global Expansion of ACCRUFeR®

Shield Therapeutics reported significant financial growth in 2024, with net revenues reaching $32.3 million, driven by a 153% increase in ACCRUFeR® revenues. The company also strengthened its balance sheet with a $10 million equity funding, aiming to achieve cash flow positivity by the end of 2025. Operationally, Shield expanded its global reach with ACCRUFeR®, securing approvals and launching in new markets such as Canada, and progressing regulatory filings in Korea and China. The company also completed a Phase 3 pediatric study, confirming the efficacy and safety of its pediatric formulation.

Shield Therapeutics Partners with VITAL-NET for ACCRUFeR® Launch in Japan

Shield Therapeutics has entered into an exclusive license agreement with VITAL-NET, Inc. for the commercialization of ACCRUFeR® in Japan, a significant market due to its high prevalence of iron deficiency. This agreement includes an initial payment to Shield and potential milestone payments, with VITAL-NET covering all development and regulatory costs. The partnership is expected to enhance Shield’s global footprint and provide a new treatment option for iron deficiency in Japan, particularly benefiting women, children, and the elderly.