Mesoblast Limited American Depositary Shares (MESO)

FairStock Score: 36/100 — MIXED

Key Financials

AI Analysis

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

Mesoblast is a 108-employee regenerative-medicine company trying to turn a mesenchymal-cell platform into commercial therapies, with Ryoncil as its lead product for inflammatory diseases. I look for durable economics and a margin of safety; here the evidence is thin. The company has no Lynch category because there are only zero years of filed results, so I cannot judge a multi-year earnings record. As of the 2026-10-13 close, the price was $13.90 and market capitalisation about $2.0 billion. The FairStock-calculated P/B is 3.17 and P/E is -31.59, confirming that reported earnings are negative. FairStock also shows ROE of -9.86% and ROCE of -4.11%, so capital is not yet being rewarded. The balance sheet has modest leverage, debt-to-equity of 0.22, and the Altman Z-Score of 4.10 suggests low near-term bankruptcy risk on that accounting model. But the Piotroski F-Score is only 2/9, and the FairStock score is 36/100, both warning that financial quality is weak. Beta of 0.82 implies less price volatility than the broad market, but that does not create business quality. The 52-week range of $13.05 to $21.50 shows the shares near the low end. Growth is the central unknown: without filed revenue and profit growth figures, and with only a handful of employees, commercial execution remains speculative. A true moat would come from approved therapies, reimbursement, and clinical data, not from a cell platform alone. At 3.17 times book with negative returns, the price already discounts successful commercialisation. I would need years of improving returns and positive cash generation before calling this a Graham-style bargain.

In plain English: Mesoblast is a small biotech that develops cell-based medicines, including Ryoncil, for serious inflammatory diseases. The business looks financially weak today because it is not yet profitable and its financial returns are negative, though it carries only modest debt. At $13.90 a share, the price does not look cheap compared with those current results.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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

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