TSX:AUP

Stock Analysis Report

Executive Summary

Aurinia Pharmaceuticals Inc., a clinical stage biopharmaceutical company, engages in the research, development, and commercialization of therapeutic drugs for the treatment of various diseases in the United States and China.


Snowflake Analysis

Flawless balance sheet with exceptional growth potential.

Share Price & News

How has Aurinia Pharmaceuticals's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

8.6%

AUP

6.7%

CA Biotechs

0.1%

CA Market


1 Year Return

230.8%

AUP

-29.3%

CA Biotechs

4.7%

CA Market

Return vs Industry: AUP exceeded the Canadian Biotechs industry which returned -29.3% over the past year.

Return vs Market: AUP exceeded the Canadian Market which returned 4.7% over the past year.


Shareholder returns

AUPIndustryMarket
7 Day8.6%6.7%0.1%
30 Day8.0%7.5%0.8%
90 Day227.1%113.9%3.7%
1 Year230.8%230.8%-29.3%-29.3%7.9%4.7%
3 Year451.0%451.0%70.2%70.2%17.9%7.3%
5 Year359.7%359.7%14.1%14.1%33.8%14.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Aurinia Pharmaceuticals undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AUP (CA$26.89) is trading below our estimate of fair value (CA$94.14)

Significantly Below Fair Value: AUP is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: AUP is overvalued based on its PB Ratio (15.5x) compared to the CA Biotechs industry average (3.9x).


Next Steps

Future Growth

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

58.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AUP is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.4%).

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

High Growth Earnings: AUP's is expected to become profitable in the next 3 years.

Revenue vs Market: AUP's revenue (62.1% per year) is forecast to grow faster than the Canadian market (4.7% per year).

High Growth Revenue: AUP's revenue (62.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AUP's Return on Equity is forecast to be very high in 3 years time (57.7%).


Next Steps

Past Performance

How has Aurinia Pharmaceuticals performed over the past 5 years?

-28.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AUP is currently unprofitable.

Growing Profit Margin: AUP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AUP is unprofitable, and losses have increased over the past 5 years at a rate of -28.7% per year.

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

Earnings vs Industry: AUP is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (66.2%).


Return on Equity

High ROE: AUP has a negative Return on Equity (-50.07%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Aurinia Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: AUP's short term assets ($138.6M) exceed its short term liabilities ($13.5M).

Long Term Liabilities: AUP's short term assets ($138.6M) exceed its long term liabilities ($13.6M).


Debt to Equity History and Analysis

Debt Level: AUP is debt free.

Reducing Debt: AUP had no debt 5 years ago.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if AUP'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: AUP has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: AUP has sufficient cash runway for 1.2 years if free cash flow continues to reduce at historical rates of -30.7% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.4%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

2.5yrs

Average management tenure


CEO

Peter Greenleaf (49yo)

0.8yrs

Tenure

0

Mr. Peter S. Greenleaf, M.B.A., has been Chief Executive Officer and Director of Aurinia Pharmaceuticals Inc. since April 29, 2019. He has been a Director at Antares Pharma, Inc. since December 13, 2018. H ...


Leadership Team

NamePositionTenureCompensationOwnership
Michael Martin
Co-Founder & COO0yrsUS$702.00k0.15% $4.5m
Dennis Bourgeault
CFO & Secretary21.8yrsUS$680.62k0.063% $1.9m
Robert Huizinga
Executive Vice President of Corporate Development2.8yrsUS$963.41k0.077% $2.3m
Richard Glickman
0.8yrsUS$1.80m1.02% $30.5m
Neil Solomons
Chief Medical Officer6.4yrsUS$881.21k0.25% $7.5m
Peter Greenleaf
CEO & Director0.8yrsno data0.0075% $224.0k
Glenn Schulman
Senior Vice President of Corporate Communications & Investor Relations0yrsno datano data
Erik Eglite
Chief Corporate Compliance Officer2.6yrsno data0.0034% $102.2k
Rashieda Gluck
Senior Vice President of Global Clinical Operations2.1yrsno data0.0018% $53.8k
Simrat Randhawa
Senior VP of Clinical & Medical Affairs2.5yrsno datano data

2.5yrs

Average Tenure

54yo

Average Age

Experienced Management: AUP's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Peter Greenleaf
CEO & Director0.8yrsno data0.0075% $224.0k
George Milne
Chairman of the Board0.8yrsUS$126.62k0.018% $537.8k
Michael Hayden
Independent Director2yrsUS$175.41kno data
Norman Kneteman
Member of Scientific Advisory Board0yrsno datano data
Walter Maksymowych
Member of Scientific Advisory Board0yrsno datano data
Anthony Jevnikar
Member of Transplant Advisory Board & Scientific Advisory Board0yrsno datano data
R. Mackay-Dunn
Independent Director0.7yrsno data0.0013% $40.3k
Joseph Hagan
Independent Director2yrsUS$165.10k0.0031% $94.1k
Neil Shear
Member of the Clinical Advisory Board0yrsno datano data
Kim Papp
Member of the Scientific Advisory Board & Clinical Advisory Board0yrsno datano data

0.8yrs

Average Tenure

68yo

Average Age

Experienced Board: AUP's board of directors are not considered experienced ( 0.8 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: AUP insiders have sold more shares than they have bought 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 6.4%.


Top Shareholders

Company Information

Aurinia Pharmaceuticals Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Aurinia Pharmaceuticals Inc.
  • Ticker: AUP
  • Exchange: TSX
  • Founded:
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CA$3.006b
  • Shares outstanding: 111.80m
  • Website: https://www.auriniapharma.com

Number of Employees


Location

  • Aurinia Pharmaceuticals Inc.
  • 4464 Markham Street
  • Suite 1203
  • Victoria
  • British Columbia
  • V8Z 7X8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AUPTSX (The Toronto Stock Exchange)YesCommon SharesCACADJan 1999
IKAPDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1999
AUPHNasdaqGM (Nasdaq Global Market)YesCommon SharesUSUSDJan 1999
0UJFLSE (London Stock Exchange)YesCommon SharesGBCADJan 1999

Biography

Aurinia Pharmaceuticals Inc., a clinical stage biopharmaceutical company, engages in the research, development, and commercialization of therapeutic drugs for the treatment of various diseases in the United States and China. The company is involved in developing voclosporin, an investigational drug for the treatment of lupus nephritis, dry eye syndrome, and focal segmental glomerulosclerosis. Aurinia Pharmaceuticals Inc. is headquartered in Victoria, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 00:42
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.