GRI Bio (GRI) AI Stock Analysis

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GRI Bio

(NASDAQ:GRI)

42Neutral

GRI Bio's financials show some revenue growth and strengthened equity, yet the company faces severe profitability and cash flow challenges. Technical indicators point to bearish momentum, compounded by unattractive valuation metrics due to negative earnings. The stock's risk profile is high, necessitating significant operational improvements to enhance investor confidence.

GRI Bio (GRI) vs. S&P 500 (SPY)

Market Cap

$945.57K

Dividend YieldN/A

Average Volume (3M)582.89K

Price to Earnings (P/E)―

Beta (1Y)1.48

Revenue GrowthN/A

EPS Growth98.55%

CountryUS

Employees3

SectorHealthcare

Sector Strength74

IndustryBiotechnology

Share Statistics

EPS (TTM)-203.36

Shares Outstanding727,358

10 Day Avg. Volume1,709,935

30 Day Avg. Volume582,887

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

Price to Cash Flow (P/CF)-0.50

P/FCF Ratio0.00

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

$10.00

Price Target Upside669.23% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering0

GRI Bio Business Overview & Revenue Model

Company DescriptionGRI Bio, Inc., a clinical-stage biopharmaceutical company, focuses on treating inflammatory, fibrotic, and autoimmune diseases in the United States. Its product pipeline comprises GRI-0621, which is in phase II clinical development for the treatment of idiopathic pulmonary fibrosis; GRI-0803 which is in phase I trial for the treatment of systematic lupus erythematosus; GRI-0124, which is in pre-clinical development for the treatment of primary sclerosing cholangitis; and GRI-0729 in pre-clinical development. The company also develops ADAIR and ADMIR for treatment of attention -deficit/hyperactivity disorder. GRI Bio, Inc. was formerly known as Glycoregimmune, Inc. GRI Bio, Inc. was founded in 2009 and is based in LA Jolla, California.

How the Company Makes MoneyGRI Bio generates revenue through the development and commercialization of its proprietary therapies. The primary revenue streams include licensing agreements with pharmaceutical companies and potential milestone payments and royalties from successful drug candidates developed using their platform technology. Additionally, GRI Bio may engage in strategic partnerships and collaborations with other biotech firms to co-develop and market new therapies. The company's earnings are significantly influenced by its ability to advance drug candidates through clinical trials and secure regulatory approvals, as well as the establishment of lucrative partnerships with larger pharmaceutical entities.

GRI Bio Financial Statement Overview

Summary

GRI Bio is facing financial challenges marked by fluctuating revenues and persistent losses. Despite a strong gross profit margin, negative EBIT and net profit margins highlight operational difficulties. Improvements in the balance sheet's equity position are overshadowed by high debt and negative cash flows, indicating a need for enhanced cash management.

Income Statement

Neutral

GRI Bio has faced significant challenges in maintaining consistent revenue, with revenues fluctuating and currently decreasing substantially. The company exhibits a strong gross profit margin of 99.68% for TTM, but negative EBIT and net profit margins indicate ongoing operational challenges. Recent revenue growth has been negative, reflecting decreased sales performance compared to the previous period.

Balance Sheet

Neutral

The company's financial stability is hampered by a high debt-to-equity ratio, though it has improved from previous years. The equity ratio stands at a moderate 67.05% for TTM, suggesting a reliance on equity financing. GRI Bio's return on equity is negative due to ongoing losses, indicating inefficiency in using shareholder funds.

Cash Flow

Neutral

Operating and free cash flows are negative, with a declining trend. The operating cash flow to net income ratio indicates inefficiencies in converting operations into cash. The free cash flow to net income ratio is also negative, pointing to a need for better cash management strategies.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
5.39M	21.77M	0.00	0.00	100.00K	0.00
	Gross Profit
5.38M	21.71M	-206.00K	-73.00K	100.00K	-735.00
	EBIT
-8.31M	-11.39M	-2.24M	-1.06M	-4.79M	-3.15M
	EBITDA
-8.26M	-10.90M	-2.51M	-9.21M	-4.71M	-3.27M
	Net Income Common Stockholders
-8.26M	-13.04M	-3.54M	-1.51M	-4.82M	-3.46M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.81M	1.81M	9.00K	90.00K	109.00K	3.82M
	Total Assets
2.96M	2.96M	383.00K	218.00K	955.00K	4.28M
	Total Debt
14.00K	14.00K	673.00K	3.61M	336.00K	340.02K
	Net Debt
-1.79M	-1.79M	664.00K	3.52M	227.00K	-3.48M
	Total Liabilities
2.70M	2.70M	2.01M	4.94M	2.41M	1.06M
	Stockholders Equity
259.00K	259.00K	-1.63M	-4.72M	-1.45M	3.21M
Cash Flow		Free Cash Flow
-12.17M	-9.00M	-1.09M	-847.00K	-3.71M	-2.88M
	Operating Cash Flow
-12.17M	-9.14M	-1.08M	-847.00K	-3.71M	-2.88M
	Investing Cash Flow
0.00	-8.00K	-3.00K	-3.84M	-2.00K	0.00
	Financing Cash Flow
13.43M	10.95M	1.01M	600.00K	-4.00K	6.09M

GRI Bio Technical Analysis

Technical Analysis Sentiment

Negative

Last Price1.30

Price Trends

50DMA

6.57

Negative

100DMA

9.66

Negative

200DMA

12.01

Negative

Market Momentum

MACD

-1.11

Positive

RSI

22.37

Positive

STOCH

1.28

Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRI, the sentiment is Negative. The current price of 1.3 is below the 20-day moving average (MA) of 4.30, below the 50-day MA of 6.57, and below the 200-day MA of 12.01, indicating a bearish trend. The MACD of -1.11 indicates Positive momentum. The RSI at 22.37 is Positive, neither overbought nor oversold. The STOCH value of 1.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GRI.

GRI Bio Risk Analysis

GRI Bio disclosed 58 risk factors in its most recent earnings report. GRI Bio reported the most risks in the “Tech & Innovation” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

GRI Bio Peers Comparison

Overall Rating

UnderperformOutperform

Sector (48)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INVA	66 Neutral	$1.09B	82.79	3.42%	―	14.88%	-86.70%
Sector *	48 Neutral	$6.36B	1.24	-44.94%	2.70%	18.33%	1.47%
VSTM	47 Neutral	$271.85M	―	-526.33%	―	―	14.39%
CYTK	45 Neutral	$4.45B	―	435.49%	―	145.34%	3.20%
GRI	42 Neutral	$945.57K	―	-382.57%	―	―	98.55%
KLRS	41 Neutral	$129.05M	―	-45.37%	―	―	72.12%
IBRX	39 Underperform	$2.32B	―	78.99%	―	2270.58%	46.82%

* Healthcare Sector Average

Performance Comparison

GRI

GRI Bio

1.21

-111.50

-98.93%

CYTK

Cytokinetics

37.85

-35.34

-48.29%

INVA

Innoviva

17.10

2.39

16.25%

VSTM

Verastem

4.52

-7.29

-61.73%

IBRX

ImmunityBio

2.46

-3.60

-59.41%

KLRS

Kalaris Therapeutics

7.31

-10.45

-58.84%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.