NexGel Inc (NXGL) AI Stock Analysis

• Market Cap: $25.70M
• Dividend Yield: N/A
• Average Volume (3M): 36.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.98
• Revenue Growth: 115.94%
• EPS Growth: 17.42%
• Country: US
• Employees: 19
• Sector: Healthcare
• Sector Strength: 40
• Industry: Medical - Instruments & Supplies
• EPS (TTM): -0.09
• Shares Outstanding: 7,654,537
• 10 Day Avg. Volume: 19,911
• 30 Day Avg. Volume: 36,788
• PEG Ratio: -0.63
• Price to Book (P/B): 3.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.51
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 0.67
• Enterprise Value/Gross Profit: 5.65
• Enterprise Value/Ebitda: -1.69
• 1Y Price Target: $6.00
• Price Target Upside: 148.96% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: $2.50 ▲(3.73%Upside)

The overall score reflects NexGel's strong revenue growth and strategic partnerships, which are promising for future performance. However, persistent financial losses, negative cash flows, and valuation concerns limit the stock's appeal. The positive sentiment from the earnings call and recent corporate events contribute to a more favorable outlook, but financial stability remains a key challenge.

Positive Factors

Partnerships and Product Launches

Several initiatives are driving growth, including partnerships and new product launches, particularly in the Medagel/SilverSeal and Silly George brands.

Profitability Prospects

NexGel is on track to achieve positive adjusted EBITDA and cash flow by the third quarter of 2025, which is viewed as a significant milestone.

Revenue Growth

NexGel reported a significant revenue increase of 122% year-over-year, aligning with guidance and surpassing estimates.

Negative Factors

Cash Position

NexGel ended the period with $1.81M in cash and no debt, which should fund the company until positive cash flow is achieved.

Operating Expenses

Operating expenses were higher than expected due to auditing and temporary accounting department expenses.

NexGel Inc Business Overview & Revenue Model

Company Description

NexGel Inc (NXGL) is a biotechnology company specializing in the development and manufacture of high-water-content, electron-beam cross-linked hydrogels for healthcare and consumer applications. The company's products are used in various sectors, including wound care, medical diagnostics, transdermal drug delivery, and cosmetics. NexGel's advanced hydrogel technology is designed to enhance the performance and comfort of products in these diverse industries.

How the Company Makes Money

NexGel Inc generates revenue through the sale of its advanced hydrogel products to healthcare providers, pharmaceutical companies, and consumer product manufacturers. The company leverages its proprietary hydrogel technology to create innovative solutions that meet the specific needs of its clients. Key revenue streams include direct sales of hydrogel materials to businesses for integration into medical and consumer products, as well as potential licensing agreements that allow other companies to utilize NexGel's patented technology. Strategic partnerships with entities in the medical and pharmaceutical industries also contribute to NexGel's earnings by expanding its market reach and application possibilities.

NexGel Inc Financial Statement Overview

Summary

NexGel Inc shows strong revenue growth, reflecting potential in its core business operations. However, persistent net losses and negative cash flows indicate challenges in achieving profitability and financial stability. The balance sheet remains stable with a reasonable equity position, but the company must address profitability issues to improve its financial health. Continuous negative cash flow and net income are key risks that need to be managed.

Income Statement

NexGel Inc has experienced significant revenue growth over the years, with a notable increase from 2023 to 2024. However, the company continues to report negative net income, leading to a negative net profit margin. The gross profit margin has improved, but operating losses remain a concern, reflected in negative EBIT and EBITDA margins. The improvement in revenue is overshadowed by persistent losses, impacting overall profitability.

Balance Sheet

The company maintains a moderate debt-to-equity ratio with an increasing stockholders' equity base, indicating a stable equity position. However, the return on equity remains negative due to ongoing net losses, which is concerning. The equity ratio is healthy, suggesting that the company is not overly reliant on debt financing. Despite these positive aspects, the inability to generate net income affects overall stability.

Cash Flow

NexGel Inc's cash flow statements show negative operating and free cash flows, indicating operational challenges. Despite this, the company has managed to secure financing, which has supported cash flow needs. However, the inability to generate positive free cash flow to net income ratio highlights the ongoing struggles in achieving cash flow profitability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.69M	4.09M	2.05M	1.55M	674.00K
Gross Profit	2.75M	619.00K	256.00K	9.00K	-291.00K
EBITDA	-3.55M	-2.73M	-3.11M	-2.20M	-2.20M
Net Income	-3.28M	-3.16M	-6.14M	-6.31M	-2.28M
Balance Sheet
Total Assets	10.98M	9.96M	10.36M	16.98M	2.26M
Cash, Cash Equivalents and Short-Term Investments	1.81M	2.70M	6.61M	13.35M	32.00K
Total Debt	2.83M	2.80M	2.08M	4.26M	1.28M
Total Liabilities	4.90M	4.79M	2.72M	4.90M	2.19M
Stockholders Equity	5.75M	4.70M	7.64M	12.09M	71.00K
Cash Flow
Free Cash Flow	-4.31M	-3.93M	-3.09M	-3.02M	-2.11M
Operating Cash Flow	-3.87M	-3.24M	-2.99M	-2.75M	-1.80M
Investing Cash Flow	-775.00K	4.46M	-5.59M	-269.00K	-312.00K
Financing Cash Flow	3.75M	379.00K	-3.66M	16.34M	1.88M

NexGel Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.41
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NXGL, the sentiment is Negative. The current price of 2.41 is below the 20-day moving average (MA) of 2.53, below the 50-day MA of 2.44, and below the 200-day MA of 3.01, indicating a bearish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 43.68 is Neutral, neither overbought nor oversold. The STOCH value of 27.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NXGL.

NexGel Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NEPH	61 Neutral	$40.07M	46.75	9.17%	―	10.34%	―
NXGL	58 Neutral	$25.70M	―	-62.82%	―	115.94%	17.42%
RVP	51 Neutral	$20.06M	―	-25.89%	―	-16.05%	-195.28%
HBIO	49 Neutral	$19.04M	―	-138.80%	―	-14.41%	-549.88%
Sector *	46 Neutral	C$197.76M	-3.38	-23.14%	2.64%	20.75%	-0.36%
FEMY	44 Neutral	$30.33M	―	-239.87%	―	61.97%	-6.89%

NexGel Inc Corporate Events

NexGel Expands Partnership with STADA for Product Launch

On July 14, 2025, NEXGEL, Inc. announced the expansion of its partnership with STADA Arzneimittel AG, a European leader in consumer health, to launch digestive enzyme formulas and solutions for scars and stretch marks in North America. As part of the agreement, STADA will provide $1 million in non-dilutive capital to support the product launches and marketing efforts, reflecting a shared vision to bring these health solutions to North American consumers.

The most recent analyst rating on (NXGL) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on NexGel Inc stock, see the NXGL Stock Forecast page.

NexGel Inc Stockholders Approve Key Proposals at Meeting

NexGel, Inc. held its 2025 Annual Meeting of Stockholders on June 17, 2025, where stockholders approved several key proposals. The Fourth Amendment to the 2019 Long-Term Incentive Plan was approved, increasing the authorized common stock by 780,000 shares. Additionally, five directors were elected, executive compensation was approved, and the appointment of Turner, Stone & Company, LLP as the independent registered public accounting firm for 2025 was ratified.

The most recent analyst rating on (NXGL) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on NexGel Inc stock, see the NXGL Stock Forecast page.