How profitable is Mereo BioPharma Group plc (MREO)?

In FY 2025 (10-K), MREO converted $1.0M of revenue into a 52% gross margin, 0% operating margin, and $0 in free cash flow (0% FCF margin).

Stock Ratings / Health Care / MREO / financials

BMEA (30) ATNM (43) ELTX (28) HOWL (42) ⌘ Pro Terminal →

Mereo BioPharma Group plc (MREO) Revenue-to-Profit Sankey Flow & SEC XBRL Financials

$0.29 +0.17% NASDAQ • Live Quote vs Prior Daily Close (Synced Snapshot) EXT / AFTER-HRS: $0.29

Mereo BioPharma Group plc (MREO) carries a Roarable Rating of D- (Sell) with 37/100 RQD Confidence due to weak cash-flow efficiency and sensitivity to current interest rates. Wait for business cash flow and institutional buying to improve before committing fresh capital.

ROARABLE D- • RED ALERT Cap $46.2M

📤 Share Live RQD Speedometer Card: 𝕏 Post Reddit StockTwits ⬇ Live SVG Card

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🤖 Mara Quenwick • AI Quant Lead (Click for Instant Brief) Is MREO stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

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As of 2026-11-03, Mereo BioPharma Group plc (NASDAQ: MREO) is rated D- (Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 37/100 at a spot price of $0.29 (+0.17% 1D, market cap $46.2M). Pillar breakdown: Fundamental Cash Engine 6/20, Institutional 13F & Options Flow 9/20, SEC Balance-Sheet Forensics 10/20, FRED Macro Regime Fit 7/20, and Executive Insider Alignment 5/20. Across 1015 tracked Health Care issuers, MREO ranks #541 in composite RQD confidence.

✓ Pre-computed one-to-many AI Quant brief

🤖 Ellis Vennor • AI Peer & Flow Quant (Click for Instant Brief) How does MREO compare to BMEA and ATNM in the Health Care sector?

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Within the Health Care sector (Biotechnology: Pharmaceutical Preparations), MREO carries a Roarable D- (37/100 RQD), trailing P/E of N/A, gross margin of —, and ROIC of -35.0%. By comparison, BMEA (Biomea Fusion Inc.) holds a E grade (30/100 RQD, P/E N/A, ROIC -35.0%, cap $46.4M) and ATNM (Actinium Pharmaceuticals Inc. (Delaware)) posts a D- grade (43/100 RQD, P/E N/A, ROIC -35.0%, cap $46.5M). Among the 5-stock peer group, MREO leads on earnings multiple (N/A) while MREO leads on capital efficiency (-35.0% ROIC).

✓ Pre-computed one-to-many AI Quant brief

🤖 Gideon Ashmere • AI SEC 10-K Forensics (Click for Instant Brief) What are the biggest fundamental strengths and SEC risk factors for MREO?

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Per MREO's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-12-31, CIK 0001719714), Mereo BioPharma Group plc generated $500.0K in revenue (-99.6% YoY), $41.9M in net income, and -$31.0M in free cash flow against $45.9M in total assets and $0 in total debt. Key quantitative strengths: Established market leader in Health Care with deep daily trading liquidity. Primary risk factors monitored: Company executives have done more routine share selling than personal cash buying lately. Institutional options positioning shows a 50% call / 50% put premium split.

✓ Pre-computed one-to-many AI Quant brief

🤖 AI Quant Disclosure: Roarable Analysts are proprietary AI Quant Specialists — not human financial advisors. Pre-computed one-to-many briefings above are free; interactive 1-on-1 Q&A, custom AI sifting/indicator alerts, and personal ChatGPT/Claude MCP connections require a $9.95/mo Pro account (currently waitlist-only).

INTERACTIVE SCENARIO DECK:

🛡️ Portfolio Crash X-Ray

EXT / AFTER-HRS: $0.29 (-0.16%)🧬 Disciplined Float (+0.72% YoY Shares)⚙️ Cash Engine: 6/20 (E) • 0% FCF Margin

Verify 90D Bucket Audit →

📊 Historical Track Record Warning: Scores below 50 (37/100 · D-) historically underperformed SPY in 71% of rolling 90-day windows (-8.1% avg 90D alpha vs SPY • 29.0% hit rate).

Audit Bucket Track Record →

RQD QUANT TACHOMETERRED ALERT • D-

3-of-3 JEV AI Jury Bearish Warning

Cash

SEC

Whale

Impersonal quantitative research (0–100 RQD rubric) — not individualized investment advice. Past performance does not guarantee future results. Full Disclaimer

5-PILLAR SNOWFLAKE RADARRw E · Rk D-

Each axis scored 0–20

12M PRICE TARGET CONE-10.3% Base Target

WHALE OPTIONS SNAPSHOT: — (No Active Options Snapshot on file for MREO)Realized 20D OHLCV Swing Band: ±12.5%

Deterministic 5-Pillar Attribution (37/100 Composite)

🔍 WHY MREO SCORES 37/100 (D-) — TOP 3 DRIVERS2 Bullish Pillars + #1 Risk Drag

▲ #1 Bullish Driver: SEC 10-K Forensic Risk+10/20 pts (27% of score)

Altman Z-Score 3.80 (FORTRESS SAFE (>3.0)) • Piotroski F-Score 2/9

▲ #2 Bullish Driver: Whale & Options Positioning+9/20 pts (24% of score)

20D Institutional Volume Accumulation (±12.5% realized swing band)

▼ #1 Drag / Risk Factor: Insider Conviction & Share Dilution5/20 pts (-15 pt drag)

Disciplined Float (+0.72% YoY Shares) & executive Form 4 sales trim 15 pts from alignment

📈 PAST 4 QUARTERS RQD vs SUBSEQUENT RETURNQ1 → Q2 → Q3 → Current

Q1 (-3Q)

Grade D$0.32-9.4% Next Q

Q2 (-2Q)

Grade D$0.29+0% Next Q

Q3 (-1Q)

Grade D$0.29+0% Next Q

Current

Grade D-$0.29-8.1% Hist 90D α

Trajectory: D (45) → D- (37)Full Audit →

⚔️ ADVERSARIAL OPPOSING CASE & FORENSIC KILL-SWITCH (WHY THE BULL/BEAR THESIS COULD FAIL)CONTRARIAN TURNAROUND & SHORT-SQUEEZE DOSSIER

⚔️ Adversarial Opposing Case: What Could Spark a MREO Turnaround Squeeze

Gideon Ashmere Forensic Desk →

While MREO currently carries a cautious 37/100 (D-) rating due to Insider Conviction & Share Dilution (5/20), shorts face asymmetric squeeze risk if free cash flow inflects or management executes accretive buybacks.

🚀 Contrarian Squeeze Trigger #1

Established market leader in Health Care with deep daily trading liquidity.

🚀 Contrarian Squeeze Trigger #2

Options & Short-Covering Gamma: Reclaiming the 50-day SMA ($0.31) and Max Pain ($0.30) forces dealer call-delta covering toward $2.49.

🚀 Contrarian Squeeze Trigger #3

Forensic Repair Trigger: Halting share dilution (Disciplined Float (+0.72% YoY Shares)) or retiring high-cost debt immediately upgrades the SEC 10-K Forensic pillar.

🎲 LIVE PREDICTION MARKET ODDS TIED TO $MREO• $2.4M Crowd Pool • Kalshi / Polymarket Composite

Contract: “MREO Beats Next Quarter EPS Consensus (Dec 30, 2026) & Holds Above 200D SMA”

YES 37%NO 63%Trade / Inspect Odds →

VISUAL REVENUE-TO-PROFIT SANKEY WATERFALL • FY 2025 (10-K)

How MREO Turns Every Dollar of Sales Into Real Bottom-Line Profit

Free Cash Flow:$0 (0% FCF Margin)

Multi-Year SEC EDGAR XBRL Revenue, Net Profit & Free Cash Flow Trajectory

■ Revenue■ Net Profit■ Free Cash Flow

FY23

Rev $10.0M

FY24

Rev $132.6M

FY25

Rev $500.0K

Fiscal Year	Revenue	Gross Margin	Op Margin	Net Profit	Free Cash Flow	ROIC %
FY 2025	$500.0K	52%	-80%	$41.9M	-$31.0M	-45%
FY 2024	$132.6M	52%	-35.7%	$43.3M	-$32.8M	-45%
FY 2023	$10.0M	52%	-80%	$29.5M	-$21.1M	-35%

ON-DEMAND RQD QUANT WORKSHOP • SPONSORED / PARTNER SPOTLIGHTHosted by Perry Belcher & Roarable Forensic Quant Desk

Red-Light Warning Desk: Spotting SEC Cash-Flow & Dilution Risks Before Downgrades (Featuring MREO)

✓Walkthrough of MREO's RQD Radar, SEC cash-conversion gap & downside invalidation levels
✓3 asymmetric Bear/Hedge frameworks when 10-year Treasury yields stay elevated
✓Includes nightly RQD rating-change & forensic signal email alerts on your tracked stocks

RQD INSIDER CLUB WAITLIST$49/YR PLANNED

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MREO // CANDLESTICK & AUTO-TRENDLINE WORKSTATION6M: +0.00%📐 HORIZONTAL RANGE

2026-11-03O $0.30H $0.30L $0.29C $0.29VOL 543.7K

RES: $0.45SUP: $0.23SMA50: $0.31SMA200: $0.33

PRIMARY-SOURCE FORENSICS, SECOND-ORDER LINKS & AI ANALYST DESK

MREO Dilution Monitor, Expectations Hurdle, Butterfly Connections & Policy Exposure

🦋 MREO Butterfly Map → + Track MREO →

Share Count & Dilution Monitor

Multi-year comparable XBRL diluted share count not disclosed (ETF or recent listing).

Reverse-DCF Expectations Hurdle

8.0%/yr Implied 5Y Growth

vs. -99.6% actual YoY revenue growth (assuming 9.25% cost of equity & 16.5x terminal multiple).

Ellis Vennor Setup Ledger

No active Ellis Vennor swing setup published on MREO today. View full Setup Ledger →

🦋 Documented & Second-Order Butterfly Connections Open Graph →

No direct multi-tier Butterfly edges indexed yet for MREO. Explore sector supply chains on /butterfly.

AI Analyst Theses, Washington Policy & Company Video

🎬 No recent verified company-specific video clip queued for MREO today (we never pad ticker pages with unrelated generic clips). Browse Macro Video Desk →

DETERMINISTIC MULTI-FACTOR EQUITY AUDIT • SEC EDGAR XBRL × RQD PEER BENCHMARK

📊 Quantitative Sector Peer Comparison, SEC Filing Delta & Investment FAQ (MREO)

Health Care Rank #541 of 1015 ⚔️ BMEA vs MREO Full Matrix →

1. Head-to-Head Health Care Peer Comparison (MREO vs. BMEA, ATNM, ELTX, HOWL)

Industry: Biotechnology: Pharmaceutical Preparations (489 Tracked Issuers)

Across 1015 tracked Health Care securities in the Roarable RQD universe, Mereo BioPharma Group plc (MREO) ranks #541 by composite RQD confidence (37/100, grade D-) and #757 by equity capitalization ($46.2M). Within this direct 5-issuer industry benchmark cohort, MREO leads on earnings valuation at N/A trailing P/E, while MREO leads on capital efficiency and profitability with -35.0% ROIC and — gross margin. ATNM currently holds the highest overall quantitative score in the immediate peer group at 43/100 (D-) compared with MREO at 37/100 (D-).

Ticker / Company	Roarable Grade	RQD Score	Trailing P/E	Gross Margin	ROIC	1D Change	Market Cap	Head-to-Head
MREO ACTIVE Mereo BioPharma Group plc	D-	37/100	—	—	-35.0%	+0.17%	$46.2M	Benchmark Subject
BMEA Biomea Fusion Inc.	E	30/100	—	—	-35.0%	+3.19%	$46.4M	/bmea-vs-mreo →
ATNM Actinium Pharmaceuticals Inc. (Delaware)	D-	43/100	—	—	-35.0%	-3.38%	$46.5M	/atnm-vs-mreo →
ELTX Elicio Therapeutics Inc.	E	28/100	—	—	-35.0%	-5.36%	$45.5M	/eltx-vs-mreo →
HOWL Werewolf Therapeutics Inc.	D-	42/100	—	—	-35.0%	+6.48%	$47.9M	/howl-vs-mreo →

2. Multi-Year SEC XBRL Revenue, Cash Flow & Balance-Sheet Trajectory (FY2023–FY2025)

SEC EDGAR 10-K • FILED 2025-12-31 • CIK 0001719714 ↗

In its most recent audited fiscal period (FY2025, filed 2025-12-31), Mereo BioPharma Group plc (MREO) reported GAAP revenue of $500.0K (-99.6% vs. FY2024 revenue of $132.6M , and -95.0% cumulative change since FY2023) , GAAP net income of $41.9M, operating cash flow of -$31.0M, and free cash flow of -$31.0M (+5.6% YoY). On the balance sheet, MREO closed FY2025 with $45.9M in total assets against $0 in total debt (Altman Z-Score: N/A, Piotroski F-Score: 2/9).

Fiscal Period	Filing Date	Revenue	Net Income	Operating Cash Flow	Free Cash Flow	Total Assets	Total Debt
FY2025 (FY)	2025-12-31	$500.0K	$41.9M	-$31.0M	-$31.0M	$45.9M	—
FY2024 (FY)	2024-12-31	$132.6M	$43.3M	-$32.8M	-$32.8M	$76.4M	—
FY2023 (FY)	2023-12-31	$10.0M	$29.5M	-$21.1M	-$21.1M	—	—

3. MREO Data-Verified Investor FAQ (RQD Rating, Sector Peers, SEC Forensics & Technicals)

✓ SCHEMA.ORG FAQPAGE JSON-LD ENABLED

Is MREO stock a Buy, Hold, or Sell right now according to Roarable's RQD model?

How does MREO compare to BMEA and ATNM in the Health Care sector?

What are the biggest fundamental strengths and SEC risk factors for MREO?

Where is MREO trading relative to its 50-day, 200-day, and 52-week technical levels?

MREO last traded at $0.29 (+0.17% on volume of 482,723 shares), positioning the stock -6.45% below its 50-day simple moving average ($0.31) and -12.12% below its 200-day simple moving average ($0.33). Across its 52-week range of $0.20 to $2.37, MREO sits at the 4.1% percentile with a 14-day RSI of 43.7 (NEUTRAL RANGE) and an implied next-earnings move of ±12.5% ($1.00 to $0.33).

Direct Sub-Reports: MREO RQD Cockpit MREO 12M Forecast MREO Earnings & Move MREO Dividends & DRIP MREO Insiders & 13F MREO Whale Options MREO Profit Sankey MREO News & Why

ROARABLE RATING BRIEF • RQD 37/100 (D-) ✓ SEC XBRL & RQD VERIFIED

MREO — Mereo BioPharma Group plc: What the Facts Mean to a Prospective Investor

Methodology: RQD v6.2 Deterministic 5-Pillar & SEC XBRL Audit

Updated: 2025-12-31

1. Roarable Rating Brief: What This Means to a Prospective Investor

Mereo BioPharma Group plc (MREO) earns a live Roarable RQD composite score of 37/100, corresponding to a D- letter grade (Roarable Sell) at a spot price of $0.29 (+0.17% 1D, market capitalization $46.2M).

Fundamental Cash Engine (6/20): Anchored by return on invested capital (ROIC) of -35.0%, gross margin of —, operating margin of -60.0%, and free cash flow yield of —.
Whale 13F & Options Flow (9/20) + Insider Conviction (5/20): Tracks institutional 13F accumulation, CBOE options call/put positioning, and SEC Form 4 / Congressional PTR filings.
Macro Regime Fit (7/20) + Forensic Balance Sheet (10/20): Incorporates a 1.00x equity beta, Altman Z-Score of N/A, Piotroski F-Score of 2/9, and Debt/Equity of N/A.

2. Business Model, Unit Margins & SEC Financial Trajectory

Mereo BioPharma Group plc (MREO) is a NASDAQ-listed issuer in the Health Care sector, within the Biotechnology: Pharmaceutical Preparations industry.

In its latest audited SEC EDGAR 10-K filing for FY2025 (filed 2025-12-31), Mereo BioPharma Group plc (MREO) reported $500.0K in annual revenue (up from $132.6M in FY2024, -99.6% YoY) and $41.9M in GAAP net income. Over the multi-year SEC filing window from FY2023 ($10.0M revenue, $29.5M net income) through FY2025, MREO scaled operating cash flow to -$31.0M and free cash flow to -$31.0M, backed by $45.9M in total assets against $0 in total debt.

3. Institutional Bull vs. Bear Thesis & Valuation Tradeoff

🐂 Primary Bull Case (D- • RQD 37/100): Established market leader in Health Care with deep daily trading liquidity. Free cash flow yield of — and institutional whale pillar of 9/20. With Fundamental Cash Engine at 6/20 and Institutional Whale Flow at 9/20, sustained execution supports upside toward the upper end of the $0.20 – $2.37 52-week range.
🐻 Primary Bear Case & Valuation Risk: Company executives have done more routine share selling than personal cash buying lately. Investors must weigh current valuation against -60.0% operating margins and a 1.00x macro beta.

4. 2nd-Order Butterfly Ripples & Key Questions to Watch

There are no upstream or downstream dependencies, no sector correlations, and no proprietary signals recorded. The graph's supply_chain field is NONE and butterfly_links is empty. The source data therefore does not identify 2nd-order bottlenecks. The only sector-level information is the classification in the profile (Health Care / Biotechnology: Pharmaceutical Preparations), and the Roarable RQD rating's Macro Regime Fit pillar notes sector sensitivity with Beta 1.0. A prospective investor should recognize that the absence of mapped links is itself a data limitation rather than evidence of independence.

Key Question #1: Can MREO sustain or expand its -60.0% operating margin and -35.0% ROIC against Biotechnology: Pharmaceutical Preparations peers over the next 4 quarters?
Key Question #2: Following FY2025 revenue of $500.0K and free cash flow of -$31.0M, how will capital allocation balance growth reinvestment against $0 in total debt?
Key Question #3: How sensitive is MREO's equity valuation to Health Care capital spending cycles and macro interest-rate shifts (Beta 1.00x)?

MREO Live News Feed, Press Releases & Catalyst Wire

Real-time company headlines, analyst actions, and sector developments for Mereo BioPharma Group plc (MREO) • Click "Debate This Headline" to argue it in the Roar Pit below

💬 Jump to MREO Debate Forum (3) ↓

🟡 MARKET WIRE Yahoo! Finance Canada • 1d ago

Mereo BioPharma Group plc (MREO) Seasonal Returns Chart - Yahoo Finance

Yahoo! Finance Canada report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE Stock Titan • 1d ago

Bank of America reports shared voting power in Mereo BioPharma (MREO) in a passive stake amendment.

Stock Titan report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE Yahoo Finance UK • 1d ago

Mereo BioPharma Group plc (MREO) Seasonal returns chart

Yahoo Finance UK report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

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🟡 MARKET WIRE https://www.siam.in/ • 1d ago

Mereo BioPharma (MREO) Shares Edge Higher: Micro-Cap Ticks Up 5.82% to $0.29 - Opening Range Breakout

https://www.siam.in/ report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE Syfe • 1d ago

Marker Therapeutics, Inc. (MRKR) Stock Price & News

Syfe report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

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🟡 MARKET WIRE https://www.siam.in/ • 1d ago

Mereo BioPharma (MREO) Slips 3.13% to $0.31 as Shares Drift Toward Lower Support - Rounding Top

https://www.siam.in/ report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

Read Full Source ↗

🟡 MARKET WIRE Syfe • 1d ago

Theriva Biologics, Inc. (TOVX) Stock Price & News

Syfe report covering Mereo BioPharma Group plc (MREO) market action, institutional positioning, and fundamental catalysts.

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🔥 THE ROAR PIT • LIVE COMMUNITY DEBATE 3 Active Posts & Replies

MREO Bull vs. Bear Conversation Board — What's Your Call at $0.29?

🐂 67% BULLISH CONVICTION COMMUNITY TUG-OF-WAR ON MREO 🐻 33% BEARISH CONVICTION

MI MidwestValue RQD DEBATE OPENER • Fundamental Long-Only 🐂 BULLISH 🎯 Target: $0.34 (+17.2%)

📌 Pinned Debate

Institutional accumulation and options positioning (Whale 13F Flow pillar at 11/20) is the strongest pillar in the RQD rating.

The street is overcomplicating Mereo BioPharma Group plc (MREO). Institutional accumulation and options positioning (Whale 13F Flow pillar at 11/20) is the strongest pillar in the RQD rating.. With an RQD score of 37/100 (D-) and Forensic Balance Sheet at 10/20, any positive earnings surprise or guidance raise forces underweight funds to chase above $0.31.

SectorRotator 🐂 BULL

@MidwestValue Agree on the RQD 37/100 quality, though with 1.0 beta I'm scaling in with half-size at $0.29 and keeping dry powder in case we test $0.27.

BE BearTrap_Alert RQD DEBATE OPENER • Cycle Peak Watcher 🐻 BEARISH 🎯 Target: $0.23 (-20.7%)

Spot @ $0.29

Operating income was negative in every reported period, ROIC is -35%, and FCF yield is 0%, leaving the Fundamental Cash Engine pillar a

Sitting on the sidelines or leaning short MREO above $0.29. Operating income was negative in every reported period, ROIC is -35%, and FCF yield is 0%, leaving the Fundamental Cash Engine pillar at 6/20.. Until Fundamental Cash Engine (6/20) and FCF yield (0.0%) inflect higher, upside is capped near $2.37.