Quoin Pharmaceuticals Ltd. American Depositary Shares (QNRX)

FairStock Score: 37/100 — MIXED

Key Financials

AI Analysis

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

Measured by Graham's standards, Quoin is not an investment I can underwrite on current facts. It is a four-employee, clinical-stage specialty pharmaceutical company. The filings I see report no revenue for fiscal Q2 2026, the quarter ended 2026-06-30; fiscal Q1 2026, the quarter ended 2026-03-31; FY2025, the year ended 2025-12-31; FY2024, the year ended 2024-12-31; or FY2023, the year ended 2023-12-31. Net losses are worsening: in fiscal Q2 2026, the quarter ended 2026-06-30, net income was -$5.4M; in fiscal Q1 2026, the quarter ended 2026-03-31, net income was -$5.0M; in FY2025, the year ended 2025-12-31, net income was -$15.8M versus FY2024, the year ended 2024-12-31, at -$9.0M, and FY2023, the year ended 2023-12-31, at -$8.7M. That is a pipeline bet, not a predictable earnings stream. The moat is unproven: QRX003 is only in Phase 2 for Netherton syndrome, with earlier programs behind it, so there is no commercial franchise. Financial health is poor. Trailing free cash flow is -$15.3M, a -148.6% FCF yield against a $10.3M market cap. In other words, the business burns more than the entire market value of the equity each year. FairStock calculations reinforce the strain: ROE -575.73%, ROCE -114.60%, Piotroski 0/9, Altman Z -8.24, and a 37/100 FairStock Score. At the 2026-10-13 close of $4.15, FairStock shows P/E -0.73 and P/B 0.47. That low P/B might look statistically cheap, and the 52-week range of $3.25 to $23.50 shows how volatile sentiment is. But low P/B for a loss-making biotech is not the same as margin of safety; it often reflects cash consumption. The Lynch category is none because it has lost money in each of the last four years. Unless QRX003 data change the economics, the likely path is continued dilution or worse. I would call this speculation, not value.

In plain English: Quoin Pharmaceuticals is a very small drug company with four employees. It is testing skin treatments for rare diseases and does not report revenue in the periods shown. The business looks weak because losses are growing and cash spending is much larger than the value of the whole company. The stock may look inexpensive compared with its accounting book value, but without sales or profits it is hard to call cheap on business 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

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