RedHill Biopharma (RDHL) AI Stock Analysis

• Market Cap: $3.44M
• Dividend Yield: N/A
• Average Volume (3M): 94.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.85
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 53
• Sector: Healthcare
• Sector Strength: 74
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): N/A
• Shares Outstanding: 1,298,662
• 10 Day Avg. Volume: 31,104
• 30 Day Avg. Volume: 94,145
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.59
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• 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

RedHill Biopharma is currently facing financial difficulties, primarily due to high leverage and a weak balance sheet. The technical indicators suggest bearish momentum, and the absence of valuation metrics and earnings call insights adds uncertainty. Strategic interventions are necessary to stabilize the company's financial health.

RedHill Biopharma Business Overview & Revenue Model

Company Description

RedHill Biopharma Ltd., a specialty biopharmaceutical company, primarily focuses on gastrointestinal and infectious diseases. The company promotes gastrointestinal drugs, including Movantik for opioid-induced constipation in adults with chronic non-cancer pain; Talicia for the treatment of Helicobacter pylori infection in adults; and Aemcolo for the treatment of travelers' diarrhea in adults. Its clinical late-stage investigational development programs include RHB-204, which is in Phase 3 study for pulmonary nontuberculous mycobacteria infections; opaganib (Yeliva), an SK2 selective inhibitor, which has completed Phase 2 study to treat patients with SARS-CoV-2 severe COVID-19 pneumonia, in Phase 2 study to treat advanced unresectable cholangiocarcinoma, and in investigator-sponsored Phase 2 study to treat prostate cancer; RHB-107, which is in Phase 2/3 study to treat outpatients infected with COVID-19 disease, and preclinical evaluation study to treat advanced unresectable cholangiocarcinoma, as well as has completed Phase 2 study to treat gastrointestinal and other solid tumors; RHB-104, which is in Phase 3 studies for Crohn's disease; RHB-102 (Bekinda) that is in Phase 3 studies for acute gastroenteritis and gastritis, and has completed Phase 2 studies for irritable bowel syndrome with diarrhea; and RHB-106, an encapsulated formulation for bowel preparation, which is preparing for Phase 2/3 study. RedHill Biopharma Ltd. was incorporated in 2009 and is headquartered in Tel Aviv, Israel.

How the Company Makes Money

RedHill Biopharma generates revenue through the commercialization and sales of its proprietary pharmaceutical products. The company earns income from its marketed drugs, such as Talicia and Movantik, which are sold directly to healthcare providers, pharmacies, and through partnerships. Significant revenue streams also include royalties and milestone payments from licensing agreements with other pharmaceutical companies, as well as potential future revenue from its pipeline of clinical-stage drug candidates. Strategic partnerships and collaborations with other companies in the pharmaceutical industry further contribute to its earnings and expansion of market reach.

RedHill Biopharma Financial Statement Overview

Summary

RedHill Biopharma is facing significant financial challenges, with declining revenues and persistent cash flow issues. The company's high leverage and weak equity position pose risks to financial stability, despite some improvements in net income.

Income Statement

The company showed a significant decrease in total revenue from 2022 to 2023, indicating a substantial revenue contraction. However, there was an improvement in net income, turning positive in 2023. The gross profit margin improved slightly, but the company still faces challenges with EBIT and EBITDA margins due to high operating costs.

Balance Sheet

The company's balance sheet shows a concerning trend with low stockholders' equity and high liabilities leading to a weak equity position. The debt-to-equity ratio is high, indicating potential leverage risks. While there was a reduction in total debt in 2023, the overall financial stability remains weak.

Cash Flow

Cash flow analysis reveals negative free cash flow and operating cash flow, presenting liquidity challenges. The operating cash flow to net income ratio is negative, and free cash flow remains significantly negative, indicating cash management issues despite an improvement in financing cash flow.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
35.74M	6.51M	61.80M	85.76M	64.36M	6.29M
	Gross Profit
15.28M	3.05M	28.46M	36.35M	27.47M	4.03M
	EBIT
29.20M	12.63M	-42.84M	-81.14M	-63.68M	-43.20M
	EBITDA
52.28M	26.31M	-42.84M	-63.03M	-54.94M	-40.78M
	Net Income Common Stockholders
-10.80M	23.92M	-59.24M	-114.31M	-89.02M	-43.63M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
18.65M	6.36M	19.98M	38.00M	29.79M	47.87M
	Total Assets
20.19M	23.05M	158.87M	181.19M	180.24M	74.10M
	Total Debt
0.00	1.17M	122.69M	87.81M	86.90M	3.81M
	Net Debt
-14.07M	-4.40M	102.72M	58.34M	57.61M	-25.21M
	Total Liabilities
1.40M	20.98M	207.27M	172.31M	166.38M	14.10M
	Stockholders Equity
18.79M	2.07M	-48.40M	8.88M	13.86M	60.00M
Cash Flow		Free Cash Flow
-23.83M	-35.83M	-29.38M	-65.16M	-102.35M	-40.95M
	Operating Cash Flow
-26.22M	-35.82M	-29.18M	-65.05M	-48.58M	-40.75M
	Investing Cash Flow
-8.53M	4.00K	8.30M	-8.14M	-35.65M	5.16M
	Financing Cash Flow
6.29M	21.44M	11.45M	73.46M	84.37M	35.51M

RedHill Biopharma Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.78
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RDHL, the sentiment is Neutral. The current price of 2.78 is above the 20-day moving average (MA) of 2.64, below the 50-day MA of 3.76, and below the 200-day MA of 7.28, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 28.40 is Positive, neither overbought nor oversold. The STOCH value of 16.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for RDHL.

RedHill Biopharma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	48 Neutral	$6.36B	1.28	-45.04%	2.64%	19.24%	1.69%
RDHL	41 Neutral	$3.44M	―	1155.92%	―	―	―
PRFX	34 Underperform	$3.43M	―	-129.08%	―	―	9.41%
NBY	32 Underperform	$2.91M	―	-452.75%	―	-33.58%	93.83%
MBIO	28 Underperform	$4.50M	―	270.52%	―	―	85.97%