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NEU

Neuren Pharmaceuticals ASX:NEU Stock Report

Last Price

AU$6.31

Market Cap

AU$794.8m

7D

-2.2%

1Y

207.8%

Updated

04 Oct, 2022

Data

Company Financials +
NEU fundamental analysis
Snowflake Score
Valuation1/6
Future Growth6/6
Past Performance0/6
Financial Health5/6
Dividends0/6

NEU Stock Overview

Neuren Pharmaceuticals Limited, a biopharmaceutical company, develops drugs for the treatment of neurological disorders.

Neuren Pharmaceuticals Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Neuren Pharmaceuticals
Historical stock prices
Current Share PriceAU$6.31
52 Week HighAU$7.28
52 Week LowAU$1.63
Beta1.93
1 Month Change-0.16%
3 Month Change60.97%
1 Year Change207.81%
3 Year Change206.31%
5 Year Change304.49%
Change since IPO-14.73%

Recent News & Updates

Sep 06
We Think Neuren Pharmaceuticals (ASX:NEU) Can Easily Afford To Drive Business Growth

We Think Neuren Pharmaceuticals (ASX:NEU) Can Easily Afford To Drive Business Growth

There's no doubt that money can be made by owning shares of unprofitable businesses. Indeed, Neuren Pharmaceuticals...

Shareholder Returns

NEUAU PharmaceuticalsAU Market
7D-2.2%1.0%3.6%
1Y207.8%-23.8%-8.0%

Return vs Industry: NEU exceeded the Australian Pharmaceuticals industry which returned -23.7% over the past year.

Return vs Market: NEU exceeded the Australian Market which returned -11.7% over the past year.

Price Volatility

Is NEU's price volatile compared to industry and market?
NEU volatility
NEU Average Weekly Movement8.1%
Pharmaceuticals Industry Average Movement10.8%
Market Average Movement9.4%
10% most volatile stocks in AU Market16.5%
10% least volatile stocks in AU Market4.2%

Stable Share Price: NEU is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: NEU's weekly volatility has decreased from 15% to 8% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2001n/aJon Pilcherhttps://www.neurenpharma.com

Neuren Pharmaceuticals Limited, a biopharmaceutical company, develops drugs for the treatment of neurological disorders. Its lead product is trofinetide, which is in Phase III clinical trial for the treatment of Rett syndrome, as well as has completed Phase II clinical trial to treat Fragile X syndrome. The company also develops NNZ-2591, which has completed Phase I clinical trial for the treatment of Phelan-McDermid, Angelman, Pitt Hopkins, and Prader-Will syndromes.

Neuren Pharmaceuticals Fundamentals Summary

How do Neuren Pharmaceuticals's earnings and revenue compare to its market cap?
NEU fundamental statistics
Market CapAU$794.84m
Earnings (TTM)-AU$6.88m
Revenue (TTM)AU$3.20m

248.7x

P/S Ratio

-115.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NEU income statement (TTM)
RevenueAU$3.20m
Cost of RevenueAU$7.17m
Gross Profit-AU$3.97m
Other ExpensesAU$2.92m
Earnings-AU$6.88m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.055
Gross Margin-124.15%
Net Profit Margin-215.33%
Debt/Equity Ratio0.0%

How did NEU perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is NEU undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NEU?

Other financial metrics that can be useful for relative valuation.

NEU key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue238.9x
Enterprise Value/EBITDA-103.7x
PEG Ration/a

Price to Book Ratio vs Peers

How does NEU's PB Ratio compare to its peers?

NEU PB Ratio vs Peers
The above table shows the PB ratio for NEU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPBEstimated GrowthMarket Cap
Peer Average4.2x
MYX Mayne Pharma Group
0.9x113.4%AU$495.8m
SPL Starpharma Holdings
5.1x0.9%AU$247.1m
BOT Botanix Pharmaceuticals
8xn/aAU$65.1m
MVP Medical Developments International
2.5x79.5%AU$141.5m
NEU Neuren Pharmaceuticals
23.7x53.4%AU$794.8m

Price-To-Book vs Peers: NEU is expensive based on its Price-To-Book Ratio (23.7x) compared to the peer average (4.2x).


Price to Earnings Ratio vs Industry

How does NEU's PE Ratio compare vs other companies in the AU Pharmaceuticals Industry?

Price-To-Book vs Industry: NEU is expensive based on its Price-To-Book Ratio (23.7x) compared to the Australian Pharmaceuticals industry average (2.7x)


Price to Book Ratio vs Fair Ratio

What is NEU's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NEU PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio23.7x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate NEU's Price-To-Book Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of NEU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NEU (A$6.31) is trading above our estimate of fair value (A$2.92)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

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

Future Growth Score

6/6

Future Growth Score 6/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


53.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NEU is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.8%).

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

High Growth Earnings: NEU is expected to become profitable in the next 3 years.

Revenue vs Market: NEU's revenue (32% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: NEU's revenue (32% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NEU's Return on Equity is forecast to be high in 3 years time (23%)


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Past Performance

How has Neuren Pharmaceuticals performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-37.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NEU is currently unprofitable.

Growing Profit Margin: NEU is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NEU is unprofitable, and losses have increased over the past 5 years at a rate of 37.9% per year.

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

Earnings vs Industry: NEU is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (9.4%).


Return on Equity

High ROE: NEU has a negative Return on Equity (-20.55%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Neuren Pharmaceuticals's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: NEU's short term assets (A$34.6M) exceed its short term liabilities (A$1.1M).

Long Term Liabilities: NEU has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: NEU is debt free.

Reducing Debt: NEU has not had any debt for 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: NEU has sufficient cash runway for more than 3 years based on its current free cash flow.

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


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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Neuren Pharmaceuticals Dividend Yield vs Market
How does Neuren Pharmaceuticals dividend yield compare to the market?
SegmentDividend Yield
Company (Neuren Pharmaceuticals)n/a
Market Bottom 25% (AU)2.8%
Market Top 25% (AU)7.0%
Industry Average (Pharmaceuticals)2.5%
Analyst forecast in 3 Years (Neuren Pharmaceuticals)n/a

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

High Dividend: Unable to evaluate NEU'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 NEU's dividends per share have been stable in the past.

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as NEU has not reported any payouts.


Discover strong dividend paying companies

Management

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

2.3yrs

Average management tenure


CEO

Jon Pilcher

1.33yrs

Tenure

AU$432,248

Compensation

Mr. Jonathan Charles Pilcher, also known as Jon, BSc (Hons), ACA serves as Managing Director at Neuren Pharmaceuticals Limited since June 14, 2021. He had been a Company Secretary at Neuren Pharmaceuticals...


CEO Compensation Analysis

Jon Pilcher's Compensation vs Neuren Pharmaceuticals Earnings
How has Jon Pilcher's remuneration changed compared to Neuren Pharmaceuticals's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-AU$7m

Mar 31 2022n/an/a

-AU$7m

Dec 31 2021AU$432kAU$203k

-AU$8m

Compensation vs Market: Jon's total compensation ($USD281.59K) is below average for companies of similar size in the Australian market ($USD890.92K).

Compensation vs Earnings: Insufficient data to compare Jon's compensation with company performance.


Leadership Team

Experienced Management: NEU's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: NEU's board of directors are considered experienced (4.3 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

ASX:NEU Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
26 Apr 22BuyAU$4,216,598Milford Asset Management LimitedCompany1,091,588AU$3.86
09 Dec 21BuyAU$11,841,097Milford Asset Management LimitedCompany3,951,991AU$3.00
19 Nov 21SellAU$2,246,878Milford Asset Management LimitedCompany1,226,348AU$1.83
18 Oct 21BuyAU$59,400Dianne AngusIndividual30,000AU$1.98

Ownership Breakdown

What is the ownership structure of NEU?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders6,014,3474.8%
Institutions8,091,9256.4%
Private Companies16,749,90313.3%
General Public95,109,50175.5%

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


Top Shareholders

Top 16 shareholders own 24.5% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
6.38%
Milford Asset Management Limited
8,041,925A$50.7m19.43%4.55%
4.31%
Cameron Richard Pty Limited
5,432,260A$34.3m0%no data
2.85%
Trevor Scott
3,589,784A$22.7m0%no data
2.12%
Stuart Andrew Pty. Ltd.
2,667,146A$16.8m0%no data
2.1%
Linwierik Super Pty. Limited
2,639,643A$16.7m0%no data
1.71%
Smithley Super Pty. Limited
2,148,000A$13.6m0%no data
1.19%
Neuren Trustee Limited
1,500,000A$9.5m0%no data
1.06%
Mxb Investments Llc
1,330,000A$8.4m0%no data
0.82%
First Colby Co Pty Ltd
1,032,854A$6.5m0%no data
0.79%
Robin Congreve
991,637A$6.3m0%no data
0.6%
Niv Dagan
754,116A$4.8m0%no data
0.32%
Jonathan Pilcher
398,207A$2.5m0%no data
0.18%
Patrick Donald Davies
220,940A$1.4m0%no data
0.04%
Mandarine Gestion
50,000A$315.5k0%0.01%
0.024%
Dianne Angus
30,000A$189.3k0%no data
0.024%
Jenny Harry
29,663A$187.2k0%no data

Company Information

Neuren Pharmaceuticals Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Neuren Pharmaceuticals Limited
  • Ticker: NEU
  • Exchange: ASX
  • Founded: 2001
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: AU$794.843m
  • Shares outstanding: 125.97m
  • Website: https://www.neurenpharma.com

Number of Employees


Location

  • Neuren Pharmaceuticals Limited
  • 697 Burke Road
  • Suite 201
  • Camberwell
  • Victoria
  • 3124
  • Australia


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NEUASX (Australian Securities Exchange)YesOrdinary SharesAUAUDFeb 2005
NURP.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 2005
NEUCHIA (Chi-X Australia)YesOrdinary SharesAUAUDFeb 2005

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/04 00:00
End of Day Share Price2022/10/04 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.