ASX:CYC

Stock Analysis Report

Executive Summary

Cyclopharm Limited engages in the research and development, manufacture, and sale of medical equipment and radiopharmaceuticals in the Asia Pacific, Europe, Canada, and internationally.

Rewards

Earnings are forecast to grow 103.18% per year

Risk Analysis

Highly volatile share price over past 3 months

Does not have a meaningful market cap (A$76M)



Snowflake Analysis

Excellent balance sheet with reasonable growth potential.

Share Price & News

How has Cyclopharm's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CYC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.2%

CYC

-1.4%

AU Medical Equipment

-2.0%

AU Market


1 Year Return

-0.9%

CYC

39.7%

AU Medical Equipment

16.7%

AU Market

Return vs Industry: CYC underperformed the Australian Medical Equipment industry which returned 39.7% over the past year.

Return vs Market: CYC underperformed the Australian Market which returned 16.7% over the past year.


Shareholder returns

CYCIndustryMarket
7 Day-5.2%-1.4%-2.0%
30 Day-9.9%3.8%-0.7%
90 Day-19.3%3.5%0.4%
1 Year-0.09%-0.9%42.0%39.7%22.5%16.7%
3 Year13.4%9.0%70.0%62.3%35.4%16.8%
5 Year329.7%303.7%144.8%125.0%60.6%24.4%

Price Volatility Vs. Market

How volatile is Cyclopharm's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cyclopharm undervalued compared to its fair value and its price relative to the market?

5.47x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: CYC (A$1.09) is trading above our estimate of fair value (A$0.17)

Significantly Below Fair Value: CYC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CYC is unprofitable, so we can't compare its PE Ratio to the Medical Equipment industry average.

PE vs Market: CYC is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CYC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CYC is overvalued based on its PB Ratio (5.5x) compared to the AU Medical Equipment industry average (5x).


Next Steps

Future Growth

How is Cyclopharm forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

103.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CYC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.1%).

Earnings vs Market: CYC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CYC's is expected to become profitable in the next 3 years.

Revenue vs Market: CYC's revenue (13.1% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: CYC's revenue (13.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CYC's Return on Equity is forecast to be low in 3 years time (17.6%).


Next Steps

Past Performance

How has Cyclopharm performed over the past 5 years?

-21.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CYC is currently unprofitable.

Growing Profit Margin: CYC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CYC is unprofitable, and losses have increased over the past 5 years at a rate of -21.7% per year.

Accelerating Growth: Unable to compare CYC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CYC is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (29.5%).


Return on Equity

High ROE: CYC has a negative Return on Equity (-17.31%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Cyclopharm's financial position?


Financial Position Analysis

Short Term Liabilities: CYC's short term assets (A$12.3M) exceed its short term liabilities (A$5.7M).

Long Term Liabilities: CYC's short term assets (A$12.3M) exceed its long term liabilities (A$5.4M).


Debt to Equity History and Analysis

Debt Level: CYC's debt to equity ratio (0.2%) is considered satisfactory.

Reducing Debt: CYC's debt to equity ratio has reduced from 36.9% to 0.2% over the past 5 years.


Balance Sheet

Inventory Level: CYC has a high level of physical assets or inventory.

Debt Coverage by Assets: CYC's debt is covered by short term assets (assets are 397.3x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CYC has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if CYC has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Cyclopharm's current dividend yield, its reliability and sustainability?

0.92%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%2.4%markettop25%5.6%industryaverage1.4%forecastin3Years1.3%

Current dividend yield vs market & industry

Notable Dividend: CYC's dividend (0.92%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.44%).

High Dividend: CYC's dividend (0.92%) is low compared to the top 25% of dividend payers in the Australian market (5.59%).


Stability and Growth of Payments

Stable Dividend: CYC is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: CYC is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: CYC is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CYC's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

What is the CEO of Cyclopharm's salary, the management and board of directors tenure and is there insider trading?

0.3yrs

Average management tenure


CEO

James McBrayer (54yo)

11.5yrs

Tenure

AU$425,542

Compensation

Mr. James S. McBrayer,, BSPharm, GDM, FAICD, AIM, has been the Managing Director at Cyclopharm Ltd. since June 3, 2008 and also serves as its Chief Executive Officer. Mr. McBrayer has been Company Secretar ...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD291.63K) is about average for companies of similar size in the Australian market ($USD255.57K).

Compensation vs Earnings: James's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

0.3yrs

Average Tenure

Experienced Management: CYC's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Age and Tenure

2.7yrs

Average Tenure

Experienced Board: CYC's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$1,72527 Jun 19
Thomas McDonald
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares1,170
Max PriceAU$1.47
BuyAU$20,19412 Jun 19
Thomas McDonald
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares13,800
Max PriceAU$1.46
BuyAU$24,34003 Apr 19
Vanda Gould
EntityIndividual
Shares19,412
Max PriceAU$1.25

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Caryn Cheah (49yo)

    Financial Controller

    • Tenure: 8.8yrs
    • Compensation: AU$64.44k
  • James McBrayer (54yo)

    CEO, MD

    • Tenure: 11.5yrs
    • Compensation: AU$425.54k
  • Lynn McLauchlin

    General Manager of Canada

    • Tenure: 0yrs
    • Compensation: AU$173.42k
  • Bjorn Altmann

    General Manager of Europe

    • Tenure: 0yrs
    • Compensation: AU$156.78k
  • Graham Phillips

    Finance Manager

    • Tenure: 0yrs
    • Compensation: AU$152.73k
  • Mathew Farag

    Chief Operating Officer

    • Tenure: 2.9yrs
    • Compensation: AU$333.28k
  • Mark Doverty

    Global Head of Regulatory Compliance & Clinical Research

    • Tenure: 0.3yrs
  • Niamh McAree

    Head of Quality and Regulatory

    • Tenure: 0.3yrs
  • Sally-Ann Cornelius

    Head of Sales

    • Tenure: 0.3yrs
  • Chris Quinn

    Head of Service

    • Tenure: 0.3yrs

Board Members

  • David Heaney (75yo)

    Independent Non-Executive Chairman

    • Tenure: 2.7yrs
    • Compensation: AU$71.40k
  • James McBrayer (54yo)

    CEO, MD

    • Tenure: 11.5yrs
    • Compensation: AU$425.54k
  • Tom McDonald

    Independent Non-Executive Director

    • Tenure: 2.7yrs
    • Compensation: AU$51.00k

Company Information

Cyclopharm Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cyclopharm Limited
  • Ticker: CYC
  • Exchange: ASX
  • Founded: 1986
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: AU$75.789m
  • Shares outstanding: 68.90m
  • Website: https://www.cyclopharm.com.au

Number of Employees


Location

  • Cyclopharm Limited
  • 1 The Crescent
  • Unit 4
  • Kingsgrove
  • New South Wales
  • 2208
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CYCASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 2007
CYCCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 2007

Biography

Cyclopharm Limited engages in the research and development, manufacture, and sale of medical equipment and radiopharmaceuticals in the Asia Pacific, Europe, Canada, and internationally. The company operate ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/08 10:33
End of Day Share Price2019/12/05 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.