Mereo BioPharma (UK) Buy Hold or Sell Recommendation
| 0A9G Stock | 3.38 0.19 5.32% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Mereo BioPharma Group is 'Sell'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Mereo BioPharma Group given historical horizon and risk tolerance towards Mereo BioPharma. When Macroaxis issues a 'buy' or 'sell' recommendation for Mereo BioPharma Group, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Mereo BioPharma Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as Mereo and provide practical buy, sell, or hold advice based on investors' constraints. Mereo BioPharma Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Mereo |
Execute Mereo BioPharma Buy or Sell Advice
The Mereo recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Mereo BioPharma Group. Macroaxis does not own or have any residual interests in Mereo BioPharma Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Mereo BioPharma's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Sell
Market Performance | Very Weak | Details | |
Volatility | Unstable | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Quite High | Details | |
Economic Sensitivity | Responds to the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Mereo BioPharma Trading Alerts and Improvement Suggestions
| Mereo BioPharma generated a negative expected return over the last 90 days | |
| Mereo BioPharma has high historical volatility and very poor performance | |
| Mereo BioPharma has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the revenue of 1000 K. Net Loss for the year was (34.2 M) with profit before overhead, payroll, taxes, and interest of 936 K. | |
| Mereo BioPharma generates negative cash flow from operations | |
| About 68.0% of the company shares are owned by institutions such as pension funds | |
| Latest headline from news.google.com: MREO Other Long-Term Liabilities 1.61 Mil - GuruFocus.com |
Mereo BioPharma Returns Distribution Density
The distribution of Mereo BioPharma's historical returns is an attempt to chart the uncertainty of Mereo BioPharma's future price movements. The chart of the probability distribution of Mereo BioPharma daily returns describes the distribution of returns around its average expected value. We use Mereo BioPharma Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Mereo BioPharma returns is essential to provide solid investment advice for Mereo BioPharma.
| Mean Return | -0.44 | Value At Risk | -6.05 | Potential Upside | 5.40 | Standard Deviation | 3.85 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Mereo BioPharma historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Mereo BioPharma Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Mereo BioPharma or Commercial Services & Supplies sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Mereo BioPharma's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Mereo stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.61 | |
β | Beta against Dow Jones | 1.35 | |
σ | Overall volatility | 3.85 | |
Ir | Information ratio | -0.15 |
Mereo BioPharma Volatility Alert
Mereo BioPharma Group exhibits very low volatility with skewness of -0.54 and kurtosis of 0.53. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Mereo BioPharma's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Mereo BioPharma's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Mereo BioPharma Fundamentals Vs Peers
Comparing Mereo BioPharma's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Mereo BioPharma's direct or indirect competition across all of the common fundamentals between Mereo BioPharma and the related equities. This way, we can detect undervalued stocks with similar characteristics as Mereo BioPharma or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Mereo BioPharma's fundamental indicators could also be used in its relative valuation, which is a method of valuing Mereo BioPharma by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Mereo BioPharma to competition |
| Fundamentals | Mereo BioPharma | Peer Average |
| Return On Equity | -0.74 | -0.31 |
| Return On Asset | -0.31 | -0.14 |
| Operating Margin | (38.07) % | (5.51) % |
| Current Valuation | 2.53 B | 16.62 B |
| Shares Owned By Insiders | 1.02 % | 10.09 % |
| Shares Owned By Institutions | 68.29 % | 39.21 % |
| Revenue | 1000 K | 9.43 B |
| Gross Profit | 936 K | 27.38 B |
| EBITDA | (37.48 M) | 3.9 B |
| Net Income | (34.2 M) | 570.98 M |
| Book Value Per Share | 0.47 X | 1.93 K |
| Cash Flow From Operations | (38.82 M) | 971.22 M |
| Earnings Per Share | (0.28) X | 3.12 X |
| Target Price | 4.38 | |
| Number Of Employees | 33 | 18.84 K |
| Beta | 0.97 | -0.15 |
| Retained Earnings | (331.16 M) | 9.33 B |
Mereo BioPharma Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Mereo . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Mereo BioPharma Buy or Sell Advice
When is the right time to buy or sell Mereo BioPharma Group? Buying financial instruments such as Mereo Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Business Services theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Business Services Theme or any other thematic opportunities.
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Additional Tools for Mereo Stock Analysis
When running Mereo BioPharma's price analysis, check to measure Mereo BioPharma's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Mereo BioPharma is operating at the current time. Most of Mereo BioPharma's value examination focuses on studying past and present price action to predict the probability of Mereo BioPharma's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Mereo BioPharma's price. Additionally, you may evaluate how the addition of Mereo BioPharma to your portfolios can decrease your overall portfolio volatility.