Artelo Biosciences Inc. Common Stock (ARTL)

FairStock Score: 13/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I begin with business quality. Artelo is a clinical-stage biopharmaceutical company with no revenue and early-stage pipeline candidates: ART27.13 in Phase 1b/2a for cancer-related anorexia and ART12.11 for anxiety and depression. That is not a business with a durable moat; it is a research bet. The filed figures show losses in each of the last four years, which is why FairStock assigns no Lynch category. In fiscal FY2025, the year ended 2025-12-31, net loss was $12.9M, worse than $9.8M in fiscal FY2024, the year ended 2024-12-31, and $9.3M in fiscal FY2023, the year ended 2023-12-31. In fiscal Q1 2026, the quarter ended 2026-03-31, net loss was $3.0M, and in fiscal Q2 2026, the quarter ended 2026-06-30, net loss was $2.4M. Trailing free cash flow was -$12.6M, a -334.1% FCF yield against a $3.8M market cap. Financial health is poor: ROE -705.71%, ROCE -127.92%, Piotroski 2/9, Altman Z-Score -12.73. The one balance-sheet positive is D/E of 0.01. On valuation, at the 2026-10-13 close of $2.98, FairStock calculations show P/B of 0.28 and P/E of -0.03, so the apparent discount reflects a cash-consuming enterprise more than a proven bargain. The 52-week range of $0.66 to $19.91 tells me the market is pricing speculation, not stable value. Graham would demand a margin of safety in assets and earnings, and Artelo has neither today.

In plain English: Artelo Biosciences is a tiny drug company that is still testing medicines and has no product sales. It has lost money in each of the last four years, including a $12.9 million loss in fiscal 2025, and it is burning cash. The share price looks low compared with its accounting value, but the business itself looks weak and speculative, so it does not look like a safe bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer