| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 32.02 | 25516 |
| Intrinsic value (DCF) | 0.02 | -84 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 0.19 | 50 |
Cel AI PLC (formerly Cellular Goods PLC) is a UK-based company specializing in biosynthetic cannabinoid-infused consumer products, primarily in the skincare and ingestible segments. Operating in the Household & Personal Products industry under the Consumer Defensive sector, Cel AI leverages lab-created cannabinoids to develop premium wellness solutions. The company distributes its products via retail partnerships, direct-to-consumer e-commerce, and online platforms. Founded in 2018 and headquartered in London, Cel AI focuses on the growing demand for cannabinoid-based health and beauty products, positioning itself at the intersection of biotechnology and consumer goods. With a market cap of approximately £13.5 million, the company targets niche markets seeking science-backed, sustainable alternatives to traditional skincare and wellness offerings.
Cel AI PLC presents a high-risk, high-reward opportunity within the emerging biosynthetic cannabinoid market. The company’s negative net income (£1.83 million loss) and operating cash flow (-£1.1 million) reflect its early-stage R&D and commercialization costs, typical for a niche player in this space. However, its debt-free balance sheet and £213,627 in cash provide limited runway. The stock’s negative beta (-0.164) suggests low correlation with broader markets, potentially appealing to speculative investors betting on cannabinoid trends. Success hinges on scaling revenue (currently £17,942) and achieving profitability in a competitive wellness sector. Regulatory shifts in cannabinoid approvals could catalyze growth, but reliance on consumer adoption of synthetic alternatives remains a key risk.
Cel AI PLC competes in a fragmented market where differentiation relies on product efficacy, branding, and regulatory compliance. Its biosynthetic approach avoids agricultural supply-chain challenges associated with natural cannabinoids, offering scalability and consistency—a potential edge over plant-derived competitors. However, the company faces stiff competition from established personal care brands expanding into CBD segments and well-funded cannabis-focused firms. Cel AI’s small scale limits its distribution reach compared to multinational rivals, though its UK focus allows localized marketing agility. The lack of patented technology or significant IP could weaken its moat. Success depends on carving a premium niche via clinical claims (e.g., skincare benefits) and securing retail partnerships. The capital-intensive nature of the industry and negative EPS (-0.003p) underscore the need for strategic funding to outpace rivals.