Ramm Pharma (RAMM) AI Stock Analysis

• Market Cap: C$1.79M
• Dividend Yield: N/A
• Average Volume (3M): 118.29K
• Price to Earnings (P/E): ―
• Beta (1Y): -2.63
• Revenue Growth: -15.51%
• EPS Growth: -49.26%
• Country: CA
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): N/A
• Shares Outstanding: 119,389,320
• 10 Day Avg. Volume: 262,784
• 30 Day Avg. Volume: 118,288
• PEG Ratio: <0.01
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.53
• P/FCF Ratio: -1.69
• 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: 46 Neutral
• Price Target: C$0.02 ▼(-66.67% Downside)
• Action: Reiterated Date: 03/09/26
• Date: Action: Reiterated 03/09/26

The score is held down primarily by weak financial performance (volatile margins, ongoing losses, and continued negative operating/free cash flow), with technicals also bearish (price below key moving averages and negative MACD). Low leverage and improved 2025 loss/cash-burn trends provide some support, but valuation is limited by negative earnings and the absence of a dividend signal.

Positive Factors

Low Leverage

Very low debt (debt-to-equity ~1–2%) materially reduces refinancing and interest-rate pressure, preserving financial optionality. For a cash-consuming biotech, low leverage lengthens runway, lowers insolvency risk, and gives management time to execute restructuring or commercialization initiatives without urgent debt maturities.

Reduced Cash Burn

A meaningful reduction in cash burn demonstrates improved operational control or cost restructuring that extends runway. This durable improvement reduces near-term financing needs, lessens dilution risk, and improves the odds management can reach cash-neutral operations or close strategic deals over the next several quarters.

Narrowing Losses

Progress toward smaller absolute losses indicates that revenue or cost actions are having effect. Sustained narrowing is a structural positive: it signals a path to breakeven and improved return metrics if maintained, and supports stronger credit and partnership prospects compared with firms still widening losses.

Negative Factors

Declining Revenue

An ongoing revenue decline erodes scale and makes fixed-cost absorption harder, limiting margin recovery and cash generation. For a specialty/generic drug maker, falling sales indicate product, market-share, or demand issues that are structural unless new launches or contracts reverse the trend.

Volatile & Weak Margins

A dramatic gross-margin swing signals unstable pricing, cost of goods, or product mix and undermines earnings predictability. Margin volatility constrains reinvestment ability, makes forecasting hard for partners and lenders, and increases the likelihood that profitability will remain elusive without durable cost or pricing fixes.

Persistent Negative Cash Flow

Consistent negative OCF and FCF force dependence on external financing, which can dilute shareholders or be restricted during market stress. Even with low debt, declining equity/assets and ongoing cash needs risk balance-sheet erosion and constrain strategic investments absent sustained operational turnaround.

Ramm Pharma Business Overview & Revenue Model

Company Description

RAMM Pharma Corp. engages in the research and development, production, and sale of cannabinoid pharmaceutical formulations, pharmaceuticals, cosmetics, nutraceutical products, and resale of medical supplies products in Canada and internationally. It offers Epifractán, a cannabinoid pharmaceutical drug; XALEX 10, a prescription pharmaceutical formulation for the treatment of refractory epilepsy; and NettaLife, a cannabis-based product for pets. The company was formerly known as MTC Growth Fund-I Inc. and changed its name to RAMM Pharma Corp. in October 2019. RAMM Pharma Corp. was incorporated in 1987 and is based in Toronto, Canada.

How the Company Makes Money

Ramm Pharma generates revenue primarily through the sales of its proprietary drug products and formulations. The company also benefits from licensing agreements with larger pharmaceutical firms, wherein it licenses its technology or product candidates in exchange for upfront payments, royalties, and milestone payments based on the progression of the drug through various stages of development. Additionally, Ramm Pharma may engage in partnerships for collaborative research and development projects, allowing it to share costs and tap into the distribution networks of established partners, thereby expanding its market reach and revenue potential.

Ramm Pharma Financial Statement Overview

Summary

Financials remain weak overall: revenue has been inconsistent and down in 2025 (~11% YoY), margins were highly volatile with a sharp gross margin drop (~11% vs. ~41% in 2024), and the company is still deeply loss-making. Positives include very low leverage (debt-to-equity ~1–2%) and a meaningful reduction in losses and cash burn in 2025, but operating and free cash flow are still negative and equity/assets have been declining.

Income Statement

Revenue has been inconsistent and recently weakened (2025 annual revenue down ~11% vs. 2024, after declines in prior years). Profitability is the key issue: gross margin fell sharply in 2025 (~11%) from 2024 (~41%), and the company remains deeply loss-making with very large negative operating and net margins across all periods. A positive is that absolute losses narrowed meaningfully in 2025 versus 2024, but earnings are still far from breakeven and the margin profile remains volatile.

Balance Sheet

Leverage appears very low with minimal debt relative to equity (debt-to-equity ~1–2% across the years), which reduces financial risk and refinancing pressure. However, equity and total assets have declined materially over time, and returns on equity are persistently negative due to ongoing losses—suggesting continued balance sheet erosion if profitability does not improve.

Cash Flow

Cash generation is weak: operating cash flow and free cash flow are negative every year shown, indicating the business is consuming cash rather than funding itself. There was a major improvement in 2025 (burn rate reduced to roughly -1.1M from about -4.0M in 2024), but free cash flow growth is still negative in 2025 and cash flow remains reliant on external funding until operations turn sustainably positive.

Breakdown	Oct 2025	Jan 2025	Jan 2024	Jan 2023	Jan 2022
Income Statement
Total Revenue	3.36M	4.34M	5.07M	3.90M	4.12M
Gross Profit	373.93K	1.76M	381.82K	530.50K	-7.64K
EBITDA	-3.78M	-15.23M	-6.30M	-19.91M	-6.36M
Net Income	-8.91M	-16.50M	-7.72M	-20.96M	-7.11M
Balance Sheet
Total Assets	9.27M	16.75M	32.30M	39.31M	59.71M
Cash, Cash Equivalents and Short-Term Investments	803.88K	814.04K	5.12M	9.77M	17.16M
Total Debt	80.39K	188.31K	405.14K	683.70K	32.16K
Total Liabilities	3.57M	3.11M	2.84M	3.72M	3.32M
Stockholders Equity	5.70M	13.63M	29.46M	35.59M	56.39M
Cash Flow
Free Cash Flow	-1.06M	-4.05M	-4.45M	-6.08M	-4.25M
Operating Cash Flow	-1.06M	-4.00M	-4.34M	-5.91M	-3.82M
Investing Cash Flow	1.22M	-47.43K	126.58K	-1.15M	-6.83M
Financing Cash Flow	-154.07K	-258.23K	-409.97K	-353.77K	-190.33K

Ramm Pharma Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RAMM, the sentiment is Negative. The current price of 0.06 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.03, and above the 200-day MA of 0.02, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 30.24 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:RAMM.

Ramm Pharma 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%
ATLE	50 Neutral	C$54.59M	-2.71	-19.76%	―	26.91%	81.01%
RAMM	46 Neutral	C$1.79M	-0.20	-82.37%	―	-15.51%	-49.26%
AVCN	46 Neutral	C$21.99M	-5.08	-68.32%	―	2.41%	74.61%
INNO	46 Neutral	C$28.48M	-6.72	-71.80%	―	-3.94%	-17.62%
LABS	45 Neutral	C$27.35M	-3.68	-19.10%	―	18.06%	34.58%
PCLO	44 Neutral	C$9.69M	5.19	―	―	15.64%	58.47%