GH Research (GHRS) AI Stock Analysis

• Market Cap: $734.41M
• Dividend Yield: N/A
• Average Volume (3M): 171.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.04
• Revenue Growth: N/A
• EPS Growth: -9.46%
• Country: US
• Employees: 50
• Sector: Healthcare
• Sector Strength: 48
• Industry: Biotechnology
• EPS (TTM): -0.19
• Shares Outstanding: 62,028,145
• 10 Day Avg. Volume: 203,347
• 30 Day Avg. Volume: 171,632
• PEG Ratio: 3.19
• Price to Book (P/B): 2.02
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -19.25
• Enterprise Value/Market Cap: 0.46
• Enterprise Value/Revenue: 1.42K
• Enterprise Value/Gross Profit: -4.35K
• Enterprise Value/Ebitda: -2.19
• 1Y Price Target: $31.50
• Price Target Upside: 155.89% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 45 Neutral
• Price Target: ―

GH Research's stock score reflects significant challenges in financial performance, with consistent losses and negative cash flows. The company's strong equity base and low debt provide some stability. Technical indicators show some short-term momentum, but valuation concerns persist due to the negative P/E ratio and lack of profitability.

Positive Factors

Clinical Trial Results

GH001 showed impressive reduction in depression scores in the Phase 2b trial for treatment-resistant depression, with a significant number of patients achieving remission.

Financial Stability

GHRS's current cash balance is expected to provide financial stability and support operations into 2026.

Regulatory Progress

GH remains on track to submit a full response to the FDA to address the investigational new drug (IND) hold on GH001, a key regulatory milestone that could enable U.S. entry into a pivotal Phase 3 program.

Negative Factors

Clinical Hold

One key focus for investors is on the ongoing clinical hold for GHRS' proprietary inhalation device.

Regulatory Challenges

Regulatory and commercial challenges are key investor concerns.

GH Research Business Overview & Revenue Model

Company Description

GH Research PLC, a clinical-stage biopharmaceutical company, engages in developing various therapies for the treatment of psychiatric and neurological disorders. The company focuses on developing 5-Methoxy-N,N-Dimethyltryptamine (5-MeO-DMT) therapies for the treatment of patients with treatment-resistant depression (TRD). Its lead program is GH001, an inhalable 5-MeO-DMT product candidate that has completed two Phase 1 clinical trials and Phase 1/2 clinical trial in patients with TRD. The company also develops GH002, an injectable 5-MeO-DMT product candidate; and GH003, an intranasal 5-MeO-DMT product candidate, which are in preclinical development trials with a focus on psychiatric and neurological disorders. GH Research PLC was incorporated in 2018 and is based in Dublin, Ireland.

How the Company Makes Money

GH Research makes money primarily through the development and eventual commercialization of its pharmaceutical products. Revenue streams are anticipated from the sale of proprietary medications following successful clinical trials and regulatory approval. Additionally, the company may engage in strategic partnerships or collaborations with larger pharmaceutical firms, potentially receiving milestone payments, royalties, or licensing fees. However, as a clinical-stage company, it currently relies on funding from investors, grants, and partnerships to support its research and development activities.

GH Research Financial Statement Overview

Summary

GH Research is in the early stages of revenue generation and faces significant challenges in terms of profitability and operational cash flow. The company has a strong equity base and low debt, which are positives. However, ongoing losses and negative cash flows are major concerns that need to be addressed to achieve long-term financial health.

Income Statement

GH Research shows weak financial performance with consistently negative net income and EBIT. The gross profit margin is negative due to costs exceeding the revenue. However, the company has shown some revenue generation in the latest TTM, indicating potential for future growth.

Balance Sheet

The balance sheet is relatively stable with a high equity ratio and low total debt, indicating strong financial stability. However, the company’s assets have been declining over time, and the return on equity is negative due to consistent losses.

Cash Flow

The cash flow statement indicates negative operating cash flow, reflecting ongoing operational challenges. Despite this, the company maintains a strong cash position, suggesting potential for future investment and growth.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-78.00K	-315.00K	-315.00K	-47.00K	-19.00K	0.00
	EBIT
-51.52M	-50.25M	-41.22M	-30.55M	-15.10M	-446.00K
	EBITDA
-41.58M	-37.93M	-41.15M	-30.63M	-15.08M	0.00
	Net Income Common Stockholders
-42.11M	-38.96M	-35.59M	-7.13M	-9.21M	-446.00K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
291.35M	149.32M	161.56M	165.96M	276.78M	5.89M
	Total Assets
320.45M	188.27M	226.30M	254.36M	279.92M	5.91M
	Total Debt
658.00K	624.00K	974.00K	0.00	0.00	0.00
	Net Debt
-244.30M	-100.17M	-77.45M	-165.96M	-276.78M	-5.89M
	Total Liabilities
10.24M	9.32M	7.33M	4.55M	2.75M	246.00K
	Stockholders Equity
310.21M	178.95M	218.97M	249.82M	277.18M	5.67M
Cash Flow		Free Cash Flow
-41.30M	-42.33M	-33.44M	-26.27M	-15.39M	-1.11M
	Operating Cash Flow
-41.26M	-42.28M	-33.34M	-26.20M	-15.28M	-1.09M
	Investing Cash Flow
68.19M	65.14M	-54.10M	-84.69M	-104.00K	-21.00K
	Financing Cash Flow
140.63M	-304.00K	-204.00K	0.00	286.45M	5.50M

GH Research Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GHRS, the sentiment is Positive. The current price of 12.31 is below the 20-day moving average (MA) of 12.34, above the 50-day MA of 10.94, and above the 200-day MA of 9.75, indicating a neutral trend. The MACD of 0.37 indicates Positive momentum. The RSI at 52.37 is Neutral, neither overbought nor oversold. The STOCH value of 12.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GHRS.

GH Research Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	53 Neutral	$5.24B	3.32	-44.36%	6.63%	16.78%	-0.12%
DNTH	47 Neutral	$560.87M	―	-28.73%	―	189.31%	51.03%
PRTA	46 Neutral	$309.51M	―	-23.46%	―	54.55%	36.41%
LENZ	46 Neutral	$845.23M	―	-24.47%	―	―	68.93%
GHRS	45 Neutral	$734.41M	―	-16.20%	―	―	-9.46%
REPL	42 Neutral	$731.55M	―	-62.58%	―	―	4.28%
RCKT	40 Underperform	$304.90M	―	-60.45%	―	―	6.99%