ASX:RHY

Stock Analysis Report

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Executive Summary

Rhythm Biosciences Limited, a medical diagnostics technology company, engages in developing and commercializing medical diagnostics technology in Australia and internationally.


Snowflake Analysis

Excellent balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-7.1%

RHY

4.2%

AU Healthcare

5.1%

AU Market


1 Year Return

-44.8%

RHY

-0.6%

AU Healthcare

-9.4%

AU Market

Return vs Industry: RHY underperformed the Australian Healthcare industry which returned -1.9% over the past year.

Return vs Market: RHY underperformed the Australian Market which returned -11.2% over the past year.


Shareholder returns

RHYIndustryMarket
7 Day-7.1%4.2%5.1%
30 Day5.8%8.2%11.1%
90 Day23.0%-5.0%-9.3%
1 Year-44.8%-44.8%2.3%-0.6%-5.7%-9.4%
3 Yearn/a7.3%-2.6%14.4%-0.8%
5 Yearn/a16.2%-0.6%30.9%2.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.32x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate RHY's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate RHY's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

PE vs Market: RHY 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 RHY's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: RHY is overvalued based on its PB Ratio (2.4x) compared to the AU Healthcare industry average (1.4x).


Next Steps

Future Growth

How is Rhythm Biosciences forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.8%

Forecasted Healthcare industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Rhythm Biosciences has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Rhythm Biosciences performed over the past 5 years?

-17.4%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: RHY is currently unprofitable.

Growing Profit Margin: RHY is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if RHY's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: RHY is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (4.3%).


Return on Equity

High ROE: RHY has a negative Return on Equity (-75.79%), as it is currently unprofitable.


Next Steps

Financial Health

How is Rhythm Biosciences's financial position?


Financial Position Analysis

Short Term Liabilities: RHY's short term assets (A$3.8M) exceed its short term liabilities (A$526.7K).

Long Term Liabilities: RHY's short term assets (A$3.8M) exceed its long term liabilities (A$20.5K).


Debt to Equity History and Analysis

Debt Level: RHY's debt to equity ratio (1.5%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if RHY's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


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: RHY has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: RHY has sufficient cash runway for 1.3 years if free cash flow continues to reduce at historical rates of 50.5% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RHY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate RHY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RHY's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RHY's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average management tenure


CEO

Glenn Gilbert

1.5yrs

Tenure

AU$391,929

Compensation

Mr. Glenn Gilbert has been Chief Executive Officer of Rhythm Biosciences Ltd since November 28, 2018 and has been its Chief Operating Officer since May 21, 2018. Mr. Gilbert served as General Manager of Sa ...


CEO Compensation Analysis

Compensation vs Market: Glenn's total compensation ($USD260.61K) is about average for companies of similar size in the Australian market ($USD251.35K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Glenn Gilbert
CEO & COO1.5yrsAU$391.93kno data
Trevor Lockett
Technical Director1.5yrsAU$331.18k0.099% A$9.4k
Adrien Wing
Company Secretary2.92yrsAU$105.60k11.02% A$1.0m
Pauline Moffatt
Joint Company Secretary1.58yrsno datano data

1.5yrs

Average Tenure

Experienced Management: RHY's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Trevor Lockett
Technical Director1.5yrsAU$331.18k0.099% A$9.4k
Louis Panaccio
Non-Executive Director2.75yrsAU$42.00k0.50% A$47.0k
David White
Non-Executive Director2.92yrsAU$36.00k0.53% A$49.8k
Otto Buttula
Chairman of the Board0.58yrno data1.49% A$141.0k

2.1yrs

Average Tenure

Experienced Board: RHY's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Rhythm Biosciences Limited
  • Ticker: RHY
  • Exchange: ASX
  • Founded: 2017
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: AU$9.471m
  • Shares outstanding: 100.75m
  • Website: https://www.rhythmbio.com

Location

  • Rhythm Biosciences Limited
  • 500 Collins Street
  • Level 17
  • Melbourne
  • Victoria
  • 3000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RHYASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2017
RHYCHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2017

Biography

Rhythm Biosciences Limited, a medical diagnostics technology company, engages in developing and commercializing medical diagnostics technology in Australia and internationally. It is developing ColoSTAT, a test for the early detection of colorectal cancer. The company was incorporated in 2017 and is headquartered in Melbourne, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/28 10:56
End of Day Share Price2020/05/28 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.