Rafael Holdings (RFL) AI Stock Analysis

• Market Cap: $63.68M
• Dividend Yield: N/A
• Average Volume (3M): 81.34K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.50
• Revenue Growth: 47.63%
• EPS Growth: 48.30%
• Country: US
• Employees: 28
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.19
• Shares Outstanding: 50,975,640
• 10 Day Avg. Volume: 101,467
• 30 Day Avg. Volume: 81,339
• PEG Ratio: 0.06
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 54.22
• P/FCF Ratio: -2.63
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $1.00 ▼(-18.03% Downside)

Rafael Holdings faces significant challenges with profitability and cash flow, despite a strong balance sheet. Technical indicators suggest a bearish trend, and valuation metrics are unattractive due to negative earnings. These factors collectively result in a low overall stock score.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates positive sales momentum, suggesting potential for future expansion and market penetration.

Balance Sheet Strength

Minimal leverage reduces financial risk, providing the company with greater flexibility to invest in growth opportunities and withstand economic downturns.

Real Estate Diversification

Diversification into real estate offers a stable revenue stream, reducing dependency on biopharmaceutical operations and enhancing overall business resilience.

Negative Factors

Profitability Challenges

Ongoing operational challenges and negative profitability metrics indicate inefficiencies that could hinder long-term financial health and shareholder returns.

Cash Flow Issues

Poor cash flow management may limit the company's ability to fund operations and growth initiatives, posing a risk to its financial stability.

Leadership Changes

Leadership changes can create uncertainty and may impact strategic direction, potentially affecting long-term governance and operational effectiveness.

Rafael Holdings Business Overview & Revenue Model

Company Description

Rafael Holdings, Inc. (RFL) is a biopharmaceutical company focused on advancing innovative therapies to treat cancer and other life-threatening diseases. The company operates primarily in the healthcare sector, with a core emphasis on developing and commercializing targeted drug therapies. Rafael Holdings also engages in real estate investments, which provide additional financial stability and diversification to its business model.

How the Company Makes Money

Rafael Holdings generates revenue through its biopharmaceutical operations, particularly by developing and potentially commercializing drug candidates that target various forms of cancer. The company may receive milestone payments and royalties from partnerships with larger pharmaceutical companies for the development and commercialization of its therapies. Additionally, Rafael Holdings has a portfolio of real estate assets that contribute to its revenue through leasing and property management activities. The combination of these revenue streams, alongside strategic collaborations and partnerships in the pharmaceutical industry, underpins the company's financial performance.

Rafael Holdings Financial Statement Overview

Summary

Rafael Holdings shows strong revenue growth and gross profit margins, but faces significant profitability and cash flow challenges. The balance sheet is robust with low leverage, yet the negative return on equity highlights inefficiencies.

Income Statement

Rafael Holdings shows a strong gross profit margin of 88.44% for the latest year, indicating efficient cost management. However, the company is struggling with profitability, as evidenced by a negative net profit margin of -33.28% and negative EBIT and EBITDA margins. Revenue growth is positive at 25.27%, but the persistent losses highlight significant challenges in achieving sustainable profitability.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio of 0.007, suggesting minimal leverage risk. However, the return on equity is negative at -32.33%, indicating that the company is not generating returns on its equity investments. The equity ratio is healthy, but the negative ROE points to inefficiencies in asset utilization.

Cash Flow

Cash flow analysis reveals a concerning trend with negative operating cash flow and free cash flow. Despite a significant free cash flow growth rate of 65.14%, the operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly positive, suggesting some alignment between cash flow and accounting profits.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	917.00K	637.00K	279.00K	410.00K	3.97M
Gross Profit	495.00K	483.00K	279.00K	410.00K	3.90M
EBITDA	-32.25M	-66.79M	-8.67M	-139.89M	-23.34M
Net Income	-30.52M	-34.41M	-1.88M	-124.66M	-25.15M
Balance Sheet
Total Assets	114.11M	96.83M	98.83M	118.32M	154.06M
Cash, Cash Equivalents and Short-Term Investments	52.77M	65.94M	79.51M	63.23M	7.85M
Total Debt	692.00K	2.39M	0.00	15.00M	14.53M
Total Liabilities	15.74M	10.57M	2.20M	21.11M	17.35M
Stockholders Equity	94.39M	82.19M	100.29M	100.52M	122.29M
Cash Flow
Free Cash Flow	-18.93M	-7.98M	40.79M	-26.08M	-15.81M
Operating Cash Flow	-18.92M	-7.80M	-10.89M	-26.08M	-15.60M
Investing Cash Flow	44.03M	-10.82M	21.21M	-63.80M	-7.26M
Financing Cash Flow	24.83M	-179.00K	-15.22M	103.86M	29.39M

Rafael Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RFL, the sentiment is Negative. The current price of 1.22 is below the 20-day moving average (MA) of 1.29, below the 50-day MA of 1.30, and below the 200-day MA of 1.57, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 43.52 is Neutral, neither overbought nor oversold. The STOCH value of 5.13 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RFL.

Rafael Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
FTHM	50 Neutral	$35.31M	-1.28	-43.75%	―	32.78%	36.50%
STHO	48 Neutral	$98.06M	-0.69	-42.01%	―	-3.22%	-280.23%
RFL	45 Neutral	$63.68M	-1.41	-34.57%	―	47.63%	48.30%
OPAD	44 Neutral	$50.87M	-0.72	-104.99%	―	-36.25%	11.92%

Rafael Holdings Corporate Events

Rafael Holdings Issues Warrants Amid Cyclo Merger

Rafael Holdings, Inc. has issued 1,078,796 warrants, exercisable for 380,253 shares of its Class B common stock, as part of a merger with Cyclo Therapeutics, Inc. These warrants, listed on the NYSE American under the symbol ‘RFL-WT,’ were exchanged for Cyclo’s existing warrants and are set to expire on December 11, 2025.

Rafael Holdings Appoints Alan Grayson to Board

On October 23, 2025, Rafael Holdings announced the appointment of Alan Grayson to its Board of Directors, following the passing of Stephen Greenberg, the Lead Independent Director. Grayson, a former Member of Congress and experienced attorney, will serve on several committees, while Markus Sieger, an existing board member, was appointed as Chair of the Audit Committee and Lead Independent Director. These changes aim to fill the leadership void left by Greenberg’s passing and strengthen the company’s governance structure.