Prenetics Group (PRE) AI Stock Analysis

• Market Cap: $104.27M
• Dividend Yield: N/A
• Average Volume (3M): 33.73K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.73
• Revenue Growth: -9.11%
• EPS Growth: 35.83%
• Country: US
• Employees: 285
• Sector: Healthcare
• Sector Strength: 44
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -0.80
• Shares Outstanding: 11,453,009
• 10 Day Avg. Volume: 36,874
• 30 Day Avg. Volume: 33,725
• PEG Ratio: -0.06
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.59
• Enterprise Value/Revenue: 0.59
• Enterprise Value/Gross Profit: 4.38
• Enterprise Value/Ebitda: -0.37
• 1Y Price Target: $13.00
• Price Target Upside: 71.05% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 48 Neutral
• Price Target: $7.50 ▼(-1.32%Downside)

Prenetics Group's stock score is primarily impacted by its financial performance challenges, characterized by negative cash flow and profitability metrics. While technical analysis suggests some positive momentum, the negative valuation score due to profitability issues further weighs down the overall score.

Prenetics Group Business Overview & Revenue Model

Company Description

Prenetics Global Limited, an investment holding company, operates as a diagnostics and genetic testing company. Its products include CircleDNA, a consumer genetic testing product; and Circle HealthPod, a rapid detection health monitoring system that allows users to take COVID-19 tests at point-of-care or at home utilizing the nucleic acid amplification test. The company's products also comprise ColoClear, a non-invasive FIT-DNA colorectal cancer screening test; Circle SnapShot, an off-the-shelf at-home blood test; Circle Medical, a diagnostic testing product; and Circle One and F1x/Fem. Prenetics Global Limited was founded in 2014 and is headquartered in Quarry Bay, Hong Kong.

How the Company Makes Money

Prenetics Group generates revenue through a diversified business model that includes direct-to-consumer sales, partnerships with healthcare providers, and corporate wellness programs. Key revenue streams include the sale of genetic testing kits, which offer insights into ancestry, health risks, and personalized nutrition plans. The company also earns money by providing diagnostic services, such as COVID-19 testing, to governments, airports, and large organizations. Significant partnerships with healthcare institutions and businesses enhance its distribution channels and expand its market reach, contributing to its overall earnings.

Prenetics Group Financial Statement Overview

Summary

Prenetics Group faces significant profitability challenges with consistent negative net income and cash flow issues. Revenue shows potential growth, but financial stability is primarily supported by a solid equity base and low leverage. Improvement in cash flow and profitability metrics is essential for better financial health.

Income Statement

Prenetics Group has seen fluctuating revenue growth, with recent declines from 2022 to 2023 but a recovery in 2024. Gross profit margin stands at roughly 50%, indicating strong cost management. However, negative EBIT and net income margins highlight ongoing profitability challenges that could impact long-term sustainability.

Balance Sheet

The company maintains a strong equity position with a positive equity ratio, indicative of low leverage and financial stability. The debt-to-equity ratio remains low, though high negative net income affects return on equity. Overall, the balance sheet suggests a relatively stable financial footing but with profitability concerns.

Cash Flow

Operating cash flow remains negative, suggesting challenges in generating cash from operations. Despite this, there is a positive trend in cash flow from investing activities. The free cash flow remains negative, impacting the company's ability to finance operations without external funding. Overall, cash flow management needs improvement.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
25.56M	30.62M	21.74M	275.76M	275.85M	65.18M
	Gross Profit
14.17M	15.40M	8.83M	131.55M	106.13M	26.34M
	EBIT
-44.51M	-48.14M	-51.91M	207.42M	-10.35M	967.46K
	EBITDA
-41.60M	-51.57M	-47.90M	-214.28M	-157.70M	-1.42M
	Net Income Common Stockholders
-49.01M	-46.30M	-62.72M	-190.45M	-174.02M	-1.96M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.80M	62.81M	72.74M	164.20M	45.19M	14.49M
	Total Assets
78.88M	213.57M	254.17M	307.98M	148.51M	78.88M
	Total Debt
16.28M	5.77M	2.37M	6.65M	5.27M	1.67M
	Net Debt
1.79M	-46.48M	-43.34M	-140.01M	-30.02M	-12.82M
	Total Liabilities
47.88M	42.23M	44.01M	67.94M	549.40M	47.88M
	Stockholders Equity
31.08M	170.39M	206.36M	237.06M	-400.81M	31.08M
Cash Flow		Free Cash Flow
0.00	-29.94M	-14.68M	8.17M	2.00M	-5.94M
	Operating Cash Flow
0.00	-28.87M	-13.76M	14.51M	13.42M	-2.88M
	Investing Cash Flow
0.00	38.54M	-82.95M	-46.14M	-22.02M	-5.97M
	Financing Cash Flow
0.00	-3.34M	-4.70M	143.32M	29.32M	11.84M

Prenetics Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.60
• 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 PRE, the sentiment is Neutral. The current price of 7.6 is below the 20-day moving average (MA) of 8.34, above the 50-day MA of 6.05, and above the 200-day MA of 5.17, indicating a neutral trend. The MACD of 0.56 indicates Positive momentum. The RSI at 49.94 is Neutral, neither overbought nor oversold. The STOCH value of 48.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PRE.

Prenetics Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	54 Neutral	$5.38B	3.40	-45.06%	3.28%	16.75%	-0.02%
VNRX	51 Neutral	$57.78M	―	138.92%	―	64.15%	41.65%
PRE	48 Neutral	$104.27M	―	-24.59%	―	-9.11%	35.83%
BNGO	45 Neutral	$12.35M	―	-127.82%	―	-24.04%	84.11%
BDSX	45 Neutral	$48.37M	―	-1454.41%	―	35.76%	47.48%
BNR	44 Neutral	$34.87M	―	-37.15%	―	-0.26%	60.09%
MYNZ	41 Neutral	$7.93M	―	-809.29%	―	―	―