Psyence Group (PSYG) AI Stock Analysis

• Market Cap: C$1.88M
• Dividend Yield: N/A
• Average Volume (3M): 2.26K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.92
• Revenue Growth: N/A
• EPS Growth: 86.48%
• Country: CA
• Employees: 21
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - General
• EPS (TTM): >-0.01
• Shares Outstanding: 15,638,267
• 10 Day Avg. Volume: 3,028
• 30 Day Avg. Volume: 2,257
• PEG Ratio: 0.05
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.33
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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: 44 Neutral
• Price Target: C$0.12 ▼(-3.33% Downside)
• Action: Upgraded Date: 12/30/25
• Date: Action: Upgraded 12/30/25

The score is driven primarily by weak financial performance (no revenue, ongoing losses, and negative free cash flow), partially offset by an improved balance sheet (debt at 0 and equity positive). Technicals remain soft with the stock below key longer-term moving averages, and valuation is constrained by losses and no dividend. A recent RSU incentive program is a small positive but not a fundamental catalyst by itself.

Positive Factors

Strategic Growth Initiatives

The share consolidation aims to provide greater flexibility for business development and growth, potentially improving market positioning and stakeholder interests.

Enhanced Research Capabilities

Appointing a new chair enhances research capabilities in psilocybin-based treatments, supporting long-term development and innovation in psychedelic therapeutics.

Scientific Advisory Board Expansion

Strengthening the Scientific Advisory Board with a leader in psychopharmacology supports ongoing clinical trials and enhances the company's positioning in the psychedelic therapeutics industry.

Negative Factors

Financial Instability

The company's financial instability, marked by persistent losses and negative equity, poses significant risks to its ability to sustain operations without external support.

Cash Flow Issues

Poor cash flow management and reliance on external funding indicate liquidity concerns, which could hinder the company's long-term financial health and operational sustainability.

Lack of Revenue Generation

The absence of revenue generation and negative profit margins reflect stagnant financial performance, challenging the company's ability to achieve profitability and sustain growth.

Psyence Group Business Overview & Revenue Model

Company Description

Psyence Group Inc., a life science biotechnology company, engages in the commercial psilocybin mushroom cultivation and production activities. Its natural psilocybin is used for the treatment of a range of mental health disorders and other medical conditions. The company is developing pharmaceutical preparations of psilocybin doses to help heal psychological trauma and diagnosable disorders, including anxiety, depression, post-traumatic stress disorder, and grief and bereavement. It also focuses on the development, distribution, and sale of over-the-counter non psilocybin containing functional mushroom nutraceutical products under the GOODMIND brand. Psyence Group Inc. was founded in 2019 and is based in Toronto, Canada.

How the Company Makes Money

Psyence Group makes money primarily through the development and commercialization of psychedelic therapies. Key revenue streams include licensing agreements with pharmaceutical companies for the use of their psilocybin-based formulations, and partnerships with research organizations and universities to conduct clinical trials. The company may also generate income from intellectual property rights, such as patents on their unique formulations and cultivation processes. Additionally, Psyence might have potential earnings from future sales of approved therapeutic products and services in markets where psychedelic treatments are legally recognized. Significant partnerships with healthcare providers and mental health organizations also contribute to their revenue generation.

Psyence Group Financial Statement Overview

Summary

Overall financials remain very weak: no reported revenue, sizeable ongoing losses (TTM net loss ~-16.0M) and continued cash burn (TTM FCF ~-4.15M). The main offset is an apparent balance-sheet reset (debt reported at 0 and equity back to positive), but the equity/asset base is small, leaving limited cushion if burn continues.

Income Statement

Financial performance remains very weak. Across annual periods and TTM (Trailing-Twelve-Months), revenue is reported at 0, while gross profit is negative and operating losses are sizable (TTM EBITDA of about -15.96M and net loss of about -16.00M). The annual net loss in 2024 was exceptionally large (~-69.45M), followed by a much smaller loss in 2025 annual (~-0.40M), but TTM losses have re-accelerated—suggesting earnings are highly volatile and not yet on a durable improving trend.

Balance Sheet

The balance sheet looks improved versus 2024, when equity was deeply negative (~-23.88M) alongside high debt (~12.41M), indicating prior distress. More recently, debt is reported at 0 and equity has turned positive (TTM equity ~0.84M; 2025 annual equity ~1.29M), which reduces financial leverage risk. However, the equity base is still small, assets fell sharply from ~10.60M (2025 annual) to ~0.89M (TTM), and returns on equity are not meaningful/are distorted by ongoing losses and prior equity swings—leaving limited cushion if cash burn continues.

Cash Flow

Cash generation remains a key weakness. Operating cash flow and free cash flow are consistently negative (TTM operating cash flow ~-4.14M; TTM free cash flow ~-4.15M), indicating continued funding needs. Free cash flow growth is also sharply negative in TTM (about -13.95), pointing to worsening burn versus the prior period. While free cash flow is roughly in line with net income (close to 1x), that mainly reflects that both are materially negative rather than signaling healthy cash conversion.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-6.61K	-8.46K	-97.93K	-92.27K	-52.64K	-24.50K
EBITDA	-15.96M	-5.51M	-5.17M	-5.88M	-4.46M	-3.80M
Net Income	-16.00M	-400.23K	-69.45M	-6.08M	-4.60M	-92.51K
Balance Sheet
Total Assets	894.70K	10.60M	3.27M	4.00M	4.35M	124.51K
Cash, Cash Equivalents and Short-Term Investments	528.11K	8.89M	1.06M	2.38M	3.49M	6.10M
Total Debt	0.00	0.00	12.41M	47.07K	1.33M	56.78K
Total Liabilities	52.20K	1.06M	15.11M	2.67M	1.64M	136.77K
Stockholders Equity	842.49K	1.29M	-23.88M	1.33M	2.71M	6.44M
Cash Flow
Free Cash Flow	-4.15M	-5.56M	-5.90M	-3.91M	-3.72M	-422.49K
Operating Cash Flow	-4.14M	-5.55M	-4.92M	-3.64M	-3.56M	-46.23K
Investing Cash Flow	-8.13M	-15.32K	-990.07K	-430.19K	-311.46K	-372.77K
Financing Cash Flow	10.10M	13.39M	4.58M	2.96M	1.27M	30.00K

Psyence Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PSYG, the sentiment is Negative. The current price of 0.12 is above the 20-day moving average (MA) of 0.12, below the 50-day MA of 0.12, and below the 200-day MA of 0.14, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 43.90 is Neutral, neither overbought nor oversold. The STOCH value of >-0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:PSYG.

Psyence Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ENBI	47 Neutral	C$1.39M	-6.62	-107.76%	―	―	34.22%
PSYG	44 Neutral	C$1.88M	-9.19	―	―	―	86.48%
RVV	44 Neutral	C$8.37M	-4.56	-664.21%	―	―	-80.42%
NUMI	41 Neutral	C$13.86M	-5.16	―	―	―	―

Psyence Group Corporate Events

Psyence Group to Merge with GoldCoast Resource Corp.

Psyence Group Inc. has entered into an amalgamation agreement with GoldCoast Resource Corp. and its subsidiary, Psyence Therapeutics Corp., to form a new entity under the Business Corporations Act of Ontario. This business combination will result in a change of business for Psyence, with GoldCoast shareholders holding the majority of shares in the resulting issuer. The transaction is contingent upon GoldCoast receiving an exploration license from the Minerals Commission of Ghana, which is a key asset for GoldCoast’s mineral exploration activities. The amalgamation aims to enhance Psyence’s market positioning and expand its operational scope, pending regulatory approvals and shareholder consent.

Psyence Group Grants RSUs to Key Personnel

Psyence Group Inc. announced the grant of 721,448 restricted share units to its executives, officers, directors, and consultants as part of its long-term incentive plan. This move is expected to enhance stakeholder alignment and potentially strengthen the company’s position in the psychedelics industry by incentivizing key personnel.