CNSX:HUGE

Stock Analysis Report

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Executive Summary

FSD Pharma Inc., through its subsidiary, FV Pharma Inc., produces medical cannabis in Canada. More Details


Snowflake Analysis

Excellent balance sheet and overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-5.9%

HUGE

4.2%

CA Pharmaceuticals

0.07%

CA Market


1 Year Return

-68.8%

HUGE

-17.0%

CA Pharmaceuticals

-3.6%

CA Market

Return vs Industry: HUGE underperformed the Canadian Pharmaceuticals industry which returned -17% over the past year.

Return vs Market: HUGE underperformed the Canadian Market which returned -3.6% over the past year.


Shareholder returns

HUGEIndustryMarket
7 Day-5.9%4.2%0.07%
30 Day-32.6%22.9%2.1%
90 Day-52.3%7.1%1.8%
1 Year-68.8%-68.8%-17.0%-17.0%-0.09%-3.6%
3 Yearn/a-14.3%-15.1%3.7%-6.1%
5 Yearn/a170.2%169.0%31.1%11.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.54x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HUGE is good value based on its PB Ratio (0.5x) compared to the CA Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

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

44.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: HUGE is forecast to have no revenue next year.

High Growth Revenue: HUGE is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HUGE's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has FSD Pharma performed over the past 5 years?

-78.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HUGE is currently unprofitable.

Growing Profit Margin: HUGE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HUGE is unprofitable, and losses have increased over the past 5 years at a rate of 78% per year.

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

Earnings vs Industry: HUGE is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (30.9%).


Return on Equity

High ROE: HUGE has a negative Return on Equity (-115.24%), as it is currently unprofitable.


Next Steps

Financial Health

How is FSD Pharma's financial position?


Financial Position Analysis

Short Term Liabilities: HUGE's short term assets (CA$29.4M) exceed its short term liabilities (CA$6.1M).

Long Term Liabilities: HUGE's short term assets (CA$29.4M) exceed its long term liabilities (CA$124.3K).


Debt to Equity History and Analysis

Debt Level: HUGE's debt to equity ratio (4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if HUGE'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: HUGE has sufficient cash runway for 8 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: HUGE is forecast to have sufficient cash runway for 5 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

What is FSD Pharma current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if HUGE'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 HUGE's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

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

0.8yrs

Average management tenure


CEO

Raza Bokhari (52 yo)

1.67yrs

Tenure

CA$1

Compensation

Dr. Raza Bokhari, M.D., MBA is the Managing Partner at RBx Capital LP. Dr. Bokhari has been Executive Co-Chairman of FSD Pharma Inc. since October 29, 2018 and serves as its Chief Executive Officer since J ...


CEO Compensation Analysis

Compensation vs Market: Raza's total compensation ($USD0.00) is below average for companies of similar size in the Canadian market ($USD171.35K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Anthony Durkacz
Founder & Executive Co-Chairman2yrsno data0.91%
CA$ 404.5k
Raza Bokhari
MD, Executive Co-Chairman & CEO1.67yrsCA$1.006.55%
CA$ 2.9m
Zeeshan Saeed
Founder2.42yrsCA$604.92k2.63%
CA$ 1.2m
Donal Carroll
Chief Financial Officer2.25yrsCA$58.67k0.45%
CA$ 198.9k
Sandy Huard
Head of Communications & Investor Relationno datano datano data
Maryann Adesso
Chief of Staff0.75yrno datano data
Sara May
Senior Vice President0.75yrno data0.077%
CA$ 34.4k
Sandra Lottes
VP & Head of Clinical Research of FSD BioSciences0.75yrno datano data
Edward Brennan
President of FSD BioSciences0.75yrno data0.59%
CA$ 263.1k

0.8yrs

Average Tenure

46.5yo

Average Age

Experienced Management: HUGE's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Anthony Durkacz
Founder & Executive Co-Chairman2yrsno data0.91%
CA$ 404.5k
Raza Bokhari
MD, Executive Co-Chairman & CEO1.67yrsCA$1.006.55%
CA$ 2.9m
Zeeshan Saeed
Founder2.42yrsCA$604.92k2.63%
CA$ 1.2m
Charles Pollack
Member of Scientific Advisory Board1.5yrsno datano data
Robert Ciaruffoli
Independent Director1.33yrsno data0.57%
CA$ 255.1k
Gerald Goldberg
Independent Director2.42yrsCA$33.33k0.17%
CA$ 75.1k
James Datin
Independent Director1.33yrsno data0.27%
CA$ 121.2k
Daniele Piomelli
Member of Scientific Advisory Board1.42yrsno datano data
David Urban
Independent Director1.92yrsCA$6.67k0.51%
CA$ 227.8k
Ryan Vandrey
Member of Scientific Advisory Board1.42yrsno datano data
Larry Kaiser
Chairman of Scientific Advisory Board & Director1.25yrsno data0.49%
CA$ 217.8k
Stephen Buyer
Independent Director1yrno data0.61%
CA$ 272.1k

1.5yrs

Average Tenure

54.5yo

Average Age

Experienced Board: HUGE's board of directors are not considered experienced ( 1.5 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: HUGE 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 substantially diluted in the past year, with total shares outstanding growing by 143.3%.


Top Shareholders

Company Information

FSD Pharma Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FSD Pharma Inc.
  • Ticker: HUGE
  • Exchange: CNSX
  • Founded: 1998
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CA$44.647m
  • Shares outstanding: 19.16m
  • Website: https://fsdpharma.com

Number of Employees


Location

  • FSD Pharma Inc.
  • 520 William Street
  • Cobourg
  • Ontario
  • K9A 3A5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HUGECNSX (Canadian National Stock Exchange)YesClass B Subordinate Voting SharesCACADMay 2018
HUGENasdaqCM (Nasdaq Capital Market)YesClass B Subordinate Voting SharesUSUSDMay 2018
0K9ADB (Deutsche Boerse AG)YesClass B Subordinate Voting SharesDEEURMay 2018

Biography

FSD Pharma Inc., through its subsidiary, FV Pharma Inc., produces medical cannabis in Canada. The company focuses on the development of indoor grown pharmaceutical grade cannabis; and research and developm ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/27 00:50
End of Day Share Price2020/10/26 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.