ASX:AVH

Stock Analysis Report

Executive Summary

Avita Medical Limited operates as a regenerative medicine company in the Asia Pacific, Europe, the Middle East, Africa, and the Americas.


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

22.4%

AVH

3.3%

AU Biotechs

0.1%

AU Market


1 Year Return

63.2%

AVH

41.2%

AU Biotechs

-22.8%

AU Market

Return vs Industry: AVH exceeded the Australian Biotechs industry which returned 41.2% over the past year.

Return vs Market: AVH exceeded the Australian Market which returned -22.8% over the past year.


Shareholder returns

AVHIndustryMarket
7 Day22.4%3.3%0.1%
30 Day-29.0%-11.2%-28.8%
90 Day-27.3%-2.1%-30.1%
1 Year63.2%63.2%42.7%41.2%-19.4%-22.8%
3 Year431.6%374.5%124.1%116.4%-9.5%-21.7%
5 Year736.4%638.1%201.6%182.4%2.1%-20.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

7.95x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: AVH is overvalued based on its PB Ratio (7.9x) compared to the AU Biotechs industry average (2.4x).


Next Steps

Future Growth

How is Avita Medical forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

35.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AVH is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: AVH is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: AVH is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: AVH's revenue (35.5% per year) is forecast to grow faster than the Australian market (4.2% per year).

High Growth Revenue: AVH's revenue (35.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AVH is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Avita Medical performed over the past 5 years?

-37.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AVH is currently unprofitable.

Growing Profit Margin: AVH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AVH is unprofitable, and losses have increased over the past 5 years at a rate of -37.6% per year.

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

Earnings vs Industry: AVH is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (3.5%).


Return on Equity

High ROE: AVH has a negative Return on Equity (-32.75%), as it is currently unprofitable.


Next Steps

Financial Health

How is Avita Medical's financial position?


Financial Position Analysis

Short Term Liabilities: AVH's short term assets (A$130.2M) exceed its short term liabilities (A$8.5M).

Long Term Liabilities: AVH's short term assets (A$130.2M) exceed its long term liabilities (A$3.7M).


Debt to Equity History and Analysis

Debt Level: AVH is debt free.

Reducing Debt: AVH has not had any debt for past 5 years.


Balance Sheet

Inventory Level: AVH has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if AVH's debt is covered by short term assets.


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: AVH has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: AVH has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -30.3% each year


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if AVH'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 AVH'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?

2.0yrs

Average management tenure


CEO

Mike Perry (60yo)

2.75s

Tenure

AU$2,384,877

Compensation

Dr. Michael S. Perry, also known as Mike, DVM, Ph.D., FACVPT, served as Director at Armata Pharmaceuticals, Inc. (formerly C3J Therapeutics, Inc.) since 2019 until February 12, 2020. He has been Chief Exec ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD1.46M) is above average for companies of similar size in the Australian market ($USD1.07M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Michael Perry
CEO & Executive Director2.75yrsAU$2.38m0.94% A$9.3m
Andrew Quick
Chief Technology Officer0.92yrAU$765.89kno data
Timothy Rooney
Chief Administrative Officer2.25yrsAU$765.88kno data
Donna Shiroma
General Counsel1.75yrsAU$807.83kno data
Erin Liberto
Chief Commercial Officer2.58yrsAU$817.77kno data
David McIntyre
Chief Financial Officer0.33yrno datano data
David Fencil
Vice President of Global Operations4.33yrsno datano data
Debbie Garner
Vice President of Global Marketing1.67yrsno datano data
Mark Licciardo
Company Secretary2yrsno datano data

2.0yrs

Average Tenure

51yo

Average Age

Experienced Management: AVH's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Perry
CEO & Executive Director2.75yrsAU$2.38m0.94% A$9.3m
Jeremy Curnock-Cook
Independent Non-Executive Director7.42yrsAU$61.04kno data
Louis Drapeau
Independent Non-Executive Director4.17yrsAU$60.81k0.0016% A$15.8k
Fiona Wood
Founder and Member of Clinical Advisory Board4.17yrsAU$40.00kno data
Louis Panaccio
Independent Non-Executive Chairman5.67yrsAU$86.23k0.093% A$927.0k
Suzanne Crowe
Independent Non-Executive Director4.17yrsAU$61.04k0.014% A$138.7k
Damien McDonald
Independent Non-Executive Director4.17yrsAU$61.13k0.075% A$739.1k

4.2yrs

Average Tenure

65yo

Average Age

Experienced Board: AVH's board of directors are considered experienced (4.2 years average tenure).


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 been diluted in the past year, with total shares outstanding growing by 38.9%.


Top Shareholders

Company Information

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


Key Information

  • Name: Avita Medical Limited
  • Ticker: AVH
  • Exchange: ASX
  • Founded:
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: AU$991.563m
  • Shares outstanding: 2.13b
  • Website: https://www.avitamedical.com

Number of Employees


Location

  • Avita Medical Limited
  • 28159 Avenue Stanford
  • Suite 220
  • Valencia
  • California
  • 91355
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AVMX.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJul 1999
GCRDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 1999
AVHASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJul 1999
AVHCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJul 1999
GCRBRSE (Berne Stock Exchange)YesOrdinary SharesCHCHFJul 1999
RCELNasdaqCM (Nasdaq Capital Market)SPONSORED ADSUSUSDMar 2012

Biography

Avita Medical Limited operates as a regenerative medicine company in the Asia Pacific, Europe, the Middle East, Africa, and the Americas. It offers regenerative products to address unmet medical needs in burn injuries, trauma injuries, chronic wounds, and dermatological and aesthetics indications. The company’s patented and proprietary platform technology provides treatment solutions derived from the regenerative properties of a patient’s own skin. Its lead product is RECELL System, a device that enables healthcare professionals to produce a suspension of Spray-On Skin cells using a small sample of the patient’s own skin for use in the treatment of acute thermal burns in patients 18 years and older. The company has a preclinical research collaboration with the University of Colorado School of Medicine to establish and explore development of a spray-on treatment for patients with epidermolysis bullosa. The company is based in Valencia, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 10:36
End of Day Share Price2020/03/27 00:00
Earnings2019/12/30
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.