Mereo BioPharma Group Valuation
Is MREO undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
1/6Valuation Score 1/6
Below Fair Value
Significantly Below Fair Value
Price-To-Book vs Peers
Price-To-Book vs Industry
Price-To-Book vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of MREO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: Insufficient data to calculate MREO's fair value for valuation analysis.
Significantly Below Fair Value: Insufficient data to calculate MREO's fair value for valuation analysis.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for MREO?
Key metric: As MREO barely has revenue we use its Price-To-Book Ratio for relative valuation analysis.
| What is MREO's PB Ratio? | |
|---|---|
| PB Ratio | 7.9x |
| Book | US$72.54m |
| Market Cap | US$576.22m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 502.4x |
| Enterprise Value/EBITDA | -13.4x |
| PEG Ratio | n/a |
Price to Book Ratio vs Peers
How does MREO's PB Ratio compare to its peers?
| Company | Forward PB | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 6.2x | ||
ALT Altimmune | 4.6x | 18.7% | US$617.4m |
FREQ Frequency Therapeutics | 14.9x | -4.7% | US$547.3m |
LENZ LENZ Therapeutics | 4.5x | 41.0% | US$976.3m |
SAGE Sage Therapeutics | 0.6x | 36.0% | US$316.3m |
MREO Mereo BioPharma Group | 7.9x | -0.1% | US$576.2m |
Price-To-Book vs Peers: MREO is expensive based on its Price-To-Book Ratio (7.9x) compared to the peer average (3.2x).
Price to Book Ratio vs Industry
How does MREO's PB Ratio compare vs other companies in the US Biotechs Industry?
Price-To-Book vs Industry: MREO is expensive based on its Price-To-Book Ratio (7.9x) compared to the US Biotechs industry average (1.9x).
Price to Book Ratio vs Fair Ratio
What is MREO's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PB Ratio | 7.9x |
| Fair PB Ratio | n/a |
Price-To-Book vs Fair Ratio: Insufficient data to calculate MREO's Price-To-Book Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | US$3.72 | US$7.16 +92.6% | 10.4% | US$7.97 | US$5.99 | n/a | 5 |
| Nov ’25 | US$4.28 | US$7.40 +72.8% | 10.2% | US$8.34 | US$6.26 | n/a | 5 |
| Oct ’25 | US$4.17 | US$7.40 +77.4% | 10.2% | US$8.34 | US$6.26 | n/a | 5 |
| Sep ’25 | US$4.69 | US$7.22 +54.0% | 10.4% | US$8.03 | US$6.02 | n/a | 5 |
| Aug ’25 | US$3.98 | US$7.14 +79.4% | 10.2% | US$7.95 | US$5.96 | n/a | 5 |
| Jul ’25 | US$3.63 | US$7.14 +96.7% | 10.2% | US$7.95 | US$5.96 | n/a | 5 |
| Jun ’25 | US$3.45 | US$6.28 +82.1% | 6.5% | US$6.99 | US$6.04 | n/a | 4 |
| May ’25 | US$3.15 | US$6.22 +97.4% | 7.5% | US$7.02 | US$5.93 | n/a | 4 |
| Apr ’25 | US$3.41 | US$5.74 +68.3% | 19.0% | US$6.99 | US$3.99 | n/a | 4 |
| Mar ’25 | US$3.97 | US$4.97 +25.2% | 24.9% | US$7.01 | US$3.96 | n/a | 4 |
| Feb ’25 | US$3.98 | US$4.25 +6.7% | 9.9% | US$4.98 | US$3.99 | n/a | 4 |
| Jan ’25 | US$2.31 | US$4.36 +88.6% | 10.9% | US$5.18 | US$4.00 | n/a | 4 |
| Dec ’24 | US$2.22 | US$4.24 +90.9% | 10.4% | US$5.00 | US$3.97 | n/a | 4 |
| Nov ’24 | US$2.00 | US$4.24 +111.9% | 10.4% | US$5.00 | US$3.97 | US$4.28 | 4 |
| Oct ’24 | US$1.29 | US$4.28 +231.5% | 10.5% | US$4.91 | US$3.93 | US$4.17 | 3 |
| Sep ’24 | US$1.44 | US$4.36 +203.1% | 10.5% | US$5.01 | US$3.96 | US$4.69 | 3 |
| Aug ’24 | US$1.35 | US$4.45 +230.0% | 11.7% | US$5.18 | US$4.01 | US$3.98 | 3 |
| Jul ’24 | US$1.32 | US$4.34 +229.1% | 10.8% | US$5.01 | US$3.99 | US$3.63 | 3 |
| Jun ’24 | US$1.01 | US$4.31 +326.9% | 11.5% | US$5.01 | US$3.92 | US$3.45 | 3 |
| May ’24 | US$1.23 | US$4.36 +254.1% | 10.8% | US$5.02 | US$4.00 | US$3.15 | 3 |
| Apr ’24 | US$0.71 | US$4.28 +505.3% | 9.8% | US$5.01 | US$4.02 | US$3.41 | 4 |
| Mar ’24 | US$0.87 | US$4.30 +394.7% | 12.9% | US$5.27 | US$3.95 | US$3.97 | 4 |
| Feb ’24 | US$0.97 | US$4.48 +361.7% | 11.5% | US$5.35 | US$4.01 | US$3.98 | 4 |
| Jan ’24 | US$0.75 | US$4.43 +491.1% | 11.3% | US$5.29 | US$4.00 | US$2.31 | 4 |
| Dec ’23 | US$0.79 | US$4.34 +448.5% | 10.6% | US$5.13 | US$4.02 | US$2.22 | 4 |
| Nov ’23 | US$0.96 | US$5.25 +446.7% | 31.1% | US$7.99 | US$4.00 | US$2.00 | 4 |
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
Discover undervalued companies
Spectrum Pharmaceuticals
US$209.9m
Spectrum Pharmaceuticals, Inc., a biopharmaceutical company, develops and commercializes oncology drug products.
SPPI
US$1.03
7D
5.3%
1Y
17.0%
Collegium Pharmaceutical
US$966.2m
A specialty pharmaceutical company, engages in the development and commercialization of medicines for pain management.
COLL
US$29.96
7D
2.5%
1Y
15.9%
IQVIA Holdings
US$36.6b
Engages in the provision of advanced analytics, technology solutions, and clinical research services to the life sciences industry in the Americas, Europe, Africa, and the Asia-Pacific.
IQV
US$201.82
7D
5.6%
1Y
-4.2%