Mereo BioPharma GroupMREO +3.62%19 Piotroski F-Score is 4 as of Jul. 04, 2026, which is 33% above its 10-year median of 3.00. GuruFocus rates MREO with a GF Score™ of 19/100. The stock has 1 warning sign investors should review. Among 1,336 Biotechnology companies, Mereo BioPharma Group ranks better than 74.18% on this metric.
The zones of discrimination were as such:
Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3
Mereo BioPharma Group has an F-score of 5 indicating the company's financial situation is typical for a stable company.
The historical rank and industry rank for Mereo BioPharma Group's Piotroski F-Score or its related term are showing as below:
MREO'
s Piotroski F-Score Range Over the Past 10 Years
Min: 1 Med: 3 Max: 5
Current: 4
During the past 11 years, the highest Piotroski F-Score of Mereo BioPharma Group was 5. The lowest was 1. And the median was 3.
Mereo BioPharma Group (NAS:MREO) Piotroski F-Score Explanation
The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.
He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.
He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.
What he found was something that exceeded his most optimistic expectations.
Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.
Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).
Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.
Mereo BioPharma Group Piotroski F-Score Related Terms
Mereo BioPharma Group Piotroski F-Score Historical Data
* Premium members only.
The historical data trend for Mereo BioPharma Group's Piotroski F-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MREO vs VRTX, REGN, ALNY: Piotroski F-Score Comparison
For the Biotechnology subindustry, Mereo BioPharma Group's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Mereo BioPharma Group Piotroski F-Score vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Mereo BioPharma Group's Piotroski F-Score distribution charts can be found below:
* The bar in red indicates where Mereo BioPharma Group's Piotroski F-Score falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.
Profitability
Question 1. Return on Assets (ROA)
Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.
Score 1 if positive, 0 if negative.
Mereo BioPharma Group's current Net Income (TTM) was -35.71.
==> Negative ==> Score 0.
Question 2. Cash Flow Return on Assets (CFROA)
Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.
Score 1 if positive, 0 if negative.
Mereo BioPharma Group's current Cash Flow from Operations (TTM) was -26.95.
==> Negative ==> Score 0.
Question 3. Change in Return on Assets
Compare this year's return on assets (1) to last year's return on assets.
Mereo BioPharma Group's return on assets of this year was -0.52267205. Mereo BioPharma Group's return on assets of last year was -0.84360978.
==> This year is higher. ==> Score 1.
Question 4. Quality of Earnings (Accrual)
Compare Cash flow return on assets (2) to return on assets (1)
Mereo BioPharma Group's gearing of this year was 0. Mereo BioPharma Group's gearing of last year was 0.
==> This year is lower or equal to last year. ==> Score 1.
Question 6. Change in Working Capital (Liquidity)
Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.
Score 1 if this year's current ratio is higher, 0 if it's lower
Mereo BioPharma Group's current ratio of this year was 6.48113971. Mereo BioPharma Group's current ratio of last year was 8.92343604.
==> Last year's current ratio is higher ==> Score 0.
Question 7. Change in Shares in Issue
Compare the number of shares in issue this year, to the number in issue last year.
Score 0 if there is larger number of shares in issue this year, 1 otherwise.
Mereo BioPharma Group's number of shares in issue this year was 160.361. Mereo BioPharma Group's number of shares in issue last year was 156.856.
==> There is larger number of shares in issue this year. ==> Score 0.
Efficiency
Question 8. Change in Gross Margin
Compare this year's gross margin (Gross Profit divided by sales) to last year's.
Score 1 if this year's gross margin is higher, 0 if it's lower.
Mereo BioPharma Group's gross margin of this year was 0.736. Mereo BioPharma Group's gross margin of last year was .
==> This year's gross margin is higher. ==> Score 1.
Question 9. Change in asset turnover
Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.
Score 1 if this year's asset turnover ratio is higher, 0 if it's lower
Mereo BioPharma Group's asset turnover of this year was 0.00731829. Mereo BioPharma Group's asset turnover of last year was 0.
==> This year's asset turnover is higher. ==> Score 1.
Evaluation
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Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3
Mereo BioPharma Group has an F-score of 5 indicating the company's financial situation is typical for a stable company.
Mereo BioPharma Group (MREO) has a Piotroski F-Score of 4 as of Jul. 04, 2026. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on Mereo BioPharma Group and its competitors. This is 33% above median its historical median of 3.00. Over the past decade, Mereo BioPharma Group's Piotroski F-Score has ranged from 1.00 to 5.00. According to the industry distribution chart, Mereo BioPharma Group ranks #345 out of 1336 companies in the Biotechnology industry, placing it in the top 25.8%.
Is Mereo BioPharma Group's Piotroski F-Score too high?
Mereo BioPharma Group's current Piotroski F-Score of 4 is 33% above median its 10-year median of 3.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 5.00. The Biotechnology industry median Piotroski F-Score is 3.00. Mereo BioPharma Group's value of 4 is 33.3% above this industry median. Based on the distribution chart, Mereo BioPharma Group ranks #345 out of 1336 companies in the Biotechnology industry, which is above the industry midpoint. Overall, Mereo BioPharma Group has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Mereo BioPharma Group's Piotroski F-Score compare to VRTX and REGN?
According to the Biotechnology industry distribution chart, Mereo BioPharma Group ranks #345 out of 1336 companies for Piotroski F-Score. This puts Mereo BioPharma Group in the upper half of its industry. The industry median Piotroski F-Score is 3.00. Mereo BioPharma Group's value of 4 is 33.3% above this benchmark. Historically, Mereo BioPharma Group's own Piotroski F-Score has ranged from 1.00 to 5.00 over the past decade. While the company's 10-year median is 3.00 vs. the industry median of 3.00, Mereo BioPharma Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Piotroski F-Score for a Biotechnology company?
The median Piotroski F-Score among Biotechnology companies is 3.00, based on 1,336 companies in the industry. Companies in the top quartile (top 25%) have a Piotroski F-Score significantly above this median, while those in the bottom quartile fall well below. However, Piotroski F-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Mereo BioPharma Group's current Piotroski F-Score of 4 is 33.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Piotroski F-Score mean?
A high Piotroski F-Score can signal that a stock is expensive relative to its fundamentals. The Piotroski F-score grades a company's business operating strength from 0-9. View historical data on Mereo BioPharma Group and its competitors. For the Biotechnology industry, the median Piotroski F-Score is 3.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mereo BioPharma Group's current Piotroski F-Score is 4, which is 33% above median its own 10-year median of 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mereo BioPharma Group stock overvalued right now?
Mereo BioPharma Group (MREO) has a current Piotroski F-Score of 4. The current Piotroski F-Score is 4, which is 33% above median its 10-year median of 3.00 and 33.3% above the Biotechnology industry median of 3.00. Mereo BioPharma Group's overall GF Score™ is 19/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Piotroski F-Score calculated?
Piotroski F-Score is calculated from a company's financial statements. For Mereo BioPharma Group (MREO), the current Piotroski F-Score is 4 as of Jul. 04, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Mereo BioPharma Group PLC is a United Kingdom (U.K.) based biopharmaceutical company focused on the development of therapeutics for rare diseases. The company has developed a portfolio of late-stage clinical product candidates, and its two rare disease product candidates are setrusumab for the treatment of osteogenesis imperfecta (OI) and alvelestat, mainly for the treatment of severe alpha-1 antitrypsin deficiency-associated lung disease (AATD-LD).
19GF Score
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