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MREO:NASDAQMereo BioPharma Group plc Analysis

Data as of 2026-08-26 - not real-time

$0.29

Latest Price

9/10Risk

Risk Level: High

Executive Summary

At $0.2885, Mereo BioPharma Group plc shows a bearish moving-average alignment, with shorter averages beneath longer ones. The last 30 days have lost 10.2%. Relative strength is 41.5 — neutral — and the MACD signal is bearish. Recent trading has carved out support near $0.2660 and resistance around $0.3700.
The company is not currently profitable on a trailing basis, so earnings multiples offer no valuation support. Consensus targets land 596.9% above where the shares trade now.
The composite risk read is 9/10, putting it in high territory. With 30-day volatility of 70.0%, a beta of 1.49 and a maximum drawdown of 89.7%, position sizing matters more than entry timing here. The wider market backdrop reads extreme greed at 93 on the fear-greed composite.
This one splits by horizon — sell in the near term, hold further out, at 1/10 long-term conviction.

Top Market Events

The rare-disease biotech cut its quarterly net loss while a new Sentynl agreement could provide $40 million in upfront...Nasdaq15dMereo BioPharma and Sentynl Therapeutics Announce Option and License Agreement for alvelestat in Alpha-1...14dMereo BioPharma Extends Cash Runway Into Late 2027 as Alvelestat Phase 3 Partnership AdvancesThe rare-disease...

Market Outlook

Short Term

< 1 year
Cautious
Model confidence: 4/10

Key Factors

  • Short-term moving averages stacked below long-term ones
  • Trading below the 200-day average of 0.63
  • MACD momentum is negative

Medium Term

1–3 years
Neutral
Model confidence: 2/10

Key Factors

  • Short-term moving averages stacked below long-term ones
  • Trading below the 200-day average of 0.63
  • Analyst targets imply +596.9% versus the current price

Long Term

> 3 years
Neutral
Model confidence: 1/10

Key Factors

  • Analyst targets imply +596.9% versus the current price
  • Negative return on equity of -67.8%
  • Negative free cash flow

Key Metrics & Analysis

Financial Health

P/E Ratio-12.2
ROE-67.85%
ROA-42.46%
Debt/Equity3.60
P/B Ratio1.6
Op. Cash Flow$-25346000
Free Cash Flow$-13656500
Industry P/E31.1

Technical Analysis

TrendBearish
RSI41.5
Support$0.27
Resistance$0.37
MA 20$0.31
MA 50$0.31
MA 200$0.63
MACDBearish
VolumeDecreasing
Fear & Greed Index93.34

Valuation

Target Price$2.01
Upside/Downside596.92%
GradeFair
TypeBlend

Risk Assessment

Beta1.49
Volatility69.95%
Sector RiskMedium
Reg. RiskHigh
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.