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RAC

Race OncologyASX:RAC Stock Report

Market Cap

AU$473.3m

7D

-0.6%

1Y

230.9%

Updated

18 Oct, 2021

Data

Company Financials
RAC fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health6/6
Dividends0/6

RAC Overview

Race Oncology Limited operates as a precision oncology company in Australia.

Price History & Performance

Summary of all time highs, changes and price drops for Race Oncology
Historical stock prices
Current Share PriceAU$3.16
52 Week HighAU$0.91
52 Week LowAU$4.23
Beta1.92
1 Month Change-10.99%
3 Month Change-11.98%
1 Year Change230.89%
3 Year Change2,240.74%
5 Year Change1,164.00%
Change since IPO1,092.45%

Recent News & Updates

Apr 05
We're Hopeful That Race Oncology (ASX:RAC) Will Use Its Cash Wisely

We're Hopeful That Race Oncology (ASX:RAC) Will Use Its Cash Wisely

Just because a business does not make any money, does not mean that the stock will go down. By way of example, Race...

Shareholder Returns

RACAU BiotechsAU Market
7D-0.6%2.3%0.9%
1Y230.9%1.5%20.2%

Return vs Industry: RAC exceeded the Australian Biotechs industry which returned 1.5% over the past year.

Return vs Market: RAC exceeded the Australian Market which returned 20.2% over the past year.

Price Volatility

Is RAC's price volatile compared to industry and market?
RAC volatility
RAC Beta1.92
Industry Beta1.61
Market Beta1

Stable Share Price: RAC is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: RAC's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2011n/aPhil Lynchhttps://www.raceoncology.com

Race Oncology Limited operates as a precision oncology company in Australia. The company is developing Zantrene, a potent small molecule inhibitor of the fatso/fat mass and obesity associated protein for treating for melanoma and clear cell renal cell carcinoma, as well as acute myeloid leukaemia, breast, and ovarian cancers, which is in Phase II/III clinical trial. It has a preclinical research program with the University of Newcastle for investigating Zantrene.

Race Oncology Fundamentals Summary

How do Race Oncology's earnings and revenue compare to its market cap?
RAC fundamental statistics
Market CapAU$473.34m
Earnings (TTM)-AU$6.34m
Revenue (TTM)AU$387.39k

1.2kx

P/S Ratio

-73.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RAC income statement (TTM)
RevenueAU$387.39k
Cost of RevenueAU$620.08k
Gross Profit-AU$232.69k
ExpensesAU$6.11m
Earnings-AU$6.34m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.043
Gross Margin-60.07%
Net Profit Margin-1,636.70%
Debt/Equity Ratio0.0%

How did RAC perform over the long term?

See historical performance and comparison

Valuation

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

33.75x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: RAC is overvalued based on its PB Ratio (33.7x) compared to the AU Biotechs industry average (4.9x).


Future Growth

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

11.5%

Forecasted Pharmaceuticals & Biotech 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 Race Oncology 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.


Past Performance

How has Race Oncology performed over the past 5 years?

-11.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RAC is currently unprofitable.

Growing Profit Margin: RAC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RAC is unprofitable, and losses have increased over the past 5 years at a rate of 11.2% per year.

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

Earnings vs Industry: RAC is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (46.5%).


Return on Equity

High ROE: RAC has a negative Return on Equity (-46.2%), as it is currently unprofitable.


Financial Health

How is Race Oncology's financial position?


Financial Position Analysis

Short Term Liabilities: RAC's short term assets (A$10.6M) exceed its short term liabilities (A$523.1K).

Long Term Liabilities: RAC has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: RAC is debt free.

Reducing Debt: RAC has no debt compared to 5 years ago when its debt to equity ratio was 0.1%.


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

Forecast Cash Runway: RAC has sufficient cash runway for 1.6 years if free cash flow continues to reduce at historical rates of 23.5% each year.


Dividend

What is Race Oncology current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if RAC'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 RAC'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

Phil Lynch

1.08yrs

Tenure

AU$4,000

Compensation

Mr. Phillip R. Lynch, also known as Phil, has been a Non-Executive Director of Race Oncology Limited since June 1, 2020 and has been its Chief Executive officer and Managing Director since September 2, 202...


Leadership Team

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


Board Members

Experienced Board: RAC's board of directors are not considered experienced ( 1.6 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: RAC insiders have only sold shares 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 14.9%.


Top Shareholders

Company Information

Race Oncology Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Race Oncology Limited
  • Ticker: RAC
  • Exchange: ASX
  • Founded: 2011
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: AU$473.340m
  • Shares outstanding: 146.54m
  • Website: https://www.raceoncology.com

Location

  • Race Oncology Limited
  • Gateway, 1 Macquarie Place
  • Level 36
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 07:04
End of Day Share Price2021/10/18 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.