TSX:BLU

Stock Analysis Report

Executive Summary

BELLUS Health Inc., a clinical-stage biopharmaceutical company, develops novel therapeutics for conditions with high unmet medical need.

Snowflake

Fundamentals

Exceptional growth potential with flawless balance sheet.

Risks

  • BELLUS Health has significant price volatility in the past 3 months.
  • BELLUS Health is covered by less than 3 analysts.

Share Price & News

How has BELLUS Health's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.8%

BLU

-0.7%

CA Biotechs

1.0%

CA Market


1 Year Return

165.7%

BLU

-71.0%

CA Biotechs

-0.4%

CA Market

BLU outperformed the Biotechs industry which returned -73.7% over the past year.

BLU outperformed the Market in Canada which returned -0.4% over the past year.


Share holder returns

BLUIndustryMarket
7 Day-0.8%-0.7%1.0%
30 Day-7.0%7.4%3.7%
90 Day1.3%-2.6%1.3%
1 Year165.7%165.7%-71.0%-71.0%3.1%-0.4%
3 Year932.1%932.1%-28.5%-28.5%18.7%8.1%
5 Year108.0%108.0%30.0%30.0%22.8%5.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is BELLUS Health undervalued based on future cash flows and its price relative to the stock market?

10.82x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for BELLUS Health to establish if it is available at moderate discount.

Unable to calculate intrinsic value for BELLUS Health to establish if it is available at substantial discount.


Price Based on Earnings

BELLUS Health is loss making, we can't compare its value to the North America Biotechs industry average.

BELLUS Health is loss making, we can't compare the value of its earnings to the Canada market.


Price Based on Expected Growth

Unable to calculate PEG ratio for BELLUS Health, we can't assess if its growth is good value.


Price Based on Value of Assets

BELLUS Health is overvalued based on assets compared to the CA Biotechs industry average.


Next Steps

Future Growth

How is BELLUS Health expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

70.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

BELLUS Health's revenue is expected to grow significantly at over 20% yearly.

BELLUS Health's earnings are expected to grow significantly at over 20% yearly.

BELLUS Health's revenue growth is expected to exceed the Canada market average.

BELLUS Health's earnings growth is expected to exceed the Canada market average.

BELLUS Health's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

BELLUS Health is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).


Next Steps

Past Performance

How has BELLUS Health performed over the past 5 years?

-62.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

BELLUS Health does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare BELLUS Health's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare BELLUS Health's 1-year growth to the North America Biotechs industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if BELLUS Health has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if BELLUS Health has efficiently used its assets last year compared to the North America Biotechs industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if BELLUS Health improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is BELLUS Health's financial position?


Financial Position Analysis

BELLUS Health is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

BELLUS Health's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

BELLUS Health has no debt.

BELLUS Health has no debt compared to 5 years ago when it was 53.2%.


Balance Sheet

Low level of unsold assets.

BELLUS Health has no debt, it does not need to be 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.

BELLUS Health has sufficient cash runway for more than 3 years based on current free cash flow.

BELLUS Health has sufficient cash runway for 2.3 years if free cash flow continues to grow at historical rates of 49.8% each year.


Next Steps

Dividend

What is BELLUS Health's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate BELLUS Health's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate BELLUS Health's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as BELLUS Health has not reported any payouts.

Unable to verify if BELLUS Health's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as BELLUS Health has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of BELLUS Health's salary, the management and board of directors tenure and is there insider trading?

9.1yrs

Average management tenure


CEO

Roberto Bellini (39yo)

9.7yrs

Tenure

CA$1,001,729

Compensation

Mr. Roberto Bellini has been the Chief Executive Officer and President of BELLUS Health Inc, since January 1, 2010. Mr. Bellini served as an Executive Vice President of Picchio Pharma Inc. until January 1, ...


CEO Compensation Analysis

Roberto's remuneration is about average for companies of similar size in Canada.

Roberto's compensation has increased whilst company is loss making.


Management Age and Tenure

9.1yrs

Average Tenure

46yo

Average Age

The average tenure for the BELLUS Health management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

2.2yrs

Average Tenure

58yo

Average Age

The average tenure for the BELLUS Health board of directors is less than 3 years, this suggests a new board.


Insider Trading

More shares have been bought than sold by BELLUS Health individual insiders in the past 3 months.


Recent Insider Transactions

BuyCA$1,315,16909 Sep 19
Francesco Bellini
EntityIndividual
Role
Chairman of the Board
Chairman
Shares140,845
Max PriceCA$9.34
BuyCA$140,06609 Sep 19
Franklin Berger
EntityIndividual
Role
Member of the Board of Directors
Director
Shares15,000
Max PriceCA$9.34
BuyCA$6,577,99406 Sep 19
OrbiMed Advisors, L.L.C.
EntityCompany
Shares700,000
Max PriceCA$9.40
BuyCA$274,86524 Jun 19
Franklin Berger
EntityIndividual
Role
Member of the Board of Directors
Director
Shares27,777.77
Max PriceCA$10.08
BuyCA$1,893,09212 May 19
OrbiMed Advisors, L.L.C.
EntityCompany
Shares406,305.44
Max PriceCA$5.11
BuyCA$57,18401 May 19
Francesco Bellini
EntityIndividual
Role
Chairman of the Board
Chairman
Shares13,888.89
Max PriceCA$4.14
BuyCA$16,054,80820 Dec 18
OrbiMed Advisors, L.L.C.
EntityCompany
Shares4,694,387.57
Max PriceCA$3.42
BuyCA$50,00018 Dec 18
Clarissa Desjardins
EntityIndividual
Role
Member of the Board of Directors
Director
Shares14,620
Max PriceCA$3.42
BuyCA$256,22418 Dec 18
Francesco Bellini
EntityIndividual
Role
Chairman of the Board
Chairman
Shares74,919.42
Max PriceCA$3.42
BuyCA$250,00018 Dec 18
Franklin Berger
EntityIndividual
Role
Member of the Board of Directors
Director
Shares73,099.42
Max PriceCA$3.42
BuyCA$91,80027 Nov 18
Roberto Bellini
EntityIndividual
Role
Chief Executive Officer
President
Shares27,777.77
Max PriceCA$3.30
BuyCA$167,91522 Nov 18
Francesco Bellini
EntityIndividual
Role
Chairman of the Board
Chairman
Shares55,555.54
Max PriceCA$3.15

Ownership Breakdown


Management Team

  • Catherine Bonuccelli

    Chief Medical Officer

    • Tenure: 0.08yrs
  • Denis Garceau (62yo)

    Senior Vice President of Drug Development

    • Tenure: 14.7yrs
    • Compensation: CA$602.11k
  • Roberto Bellini (39yo)

    President

    • Tenure: 9.7yrs
    • Compensation: CA$1.00m
  • François Desjardins (56yo)

    Vice President of Finance

    • Tenure: 10.2yrs
    • Compensation: CA$362.17k
  • Sébastien Roy (43yo)

    Corporate Secretary

    • Tenure: 8.6yrs
  • Tony Matzouranis (46yo)

    Vice President of Business Development

    • Tenure: 7.6yrs
    • Compensation: CA$376.34k

Board Members

  • Francesco Bellini (71yo)

    Chairman

    • Tenure: 0yrs
    • Compensation: CA$322.39k
  • Franklin Berger (70yo)

    Director

    • Tenure: 9.3yrs
    • Compensation: CA$95.03k
  • Joseph Rus (73yo)

    Director

    • Tenure: 10.7yrs
    • Compensation: CA$108.53k
  • Clarissa Desjardins (52yo)

    Director

    • Tenure: 2yrs
    • Compensation: CA$87.53k
  • Youssef Bennani (58yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: CA$96.03k
  • Pierre Larochelle (47yo)

    Lead Director

    • Tenure: 0yrs
    • Compensation: CA$141.03k
  • Roberto Bellini (39yo)

    President

    • Tenure: 9.7yrs
    • Compensation: CA$1.00m
  • Alan Goldsobel

    Member of Clinical Advisory Board

    • Tenure: 1yrs
  • Jaclyn Smith

    Chairman of the Clinical Advisory Board

    • Tenure: 1yrs
  • Lorcan McGarvey

    Member of Clinical Advisory Board

    • Tenure: 1yrs

Company Information

BELLUS Health Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BELLUS Health Inc.
  • Ticker: BLU
  • Exchange: TSX
  • Founded: 1993
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CA$534.958m
  • Shares outstanding: 55.38m
  • Website: https://www.bellushealth.com

Number of Employees


Location

  • BELLUS Health Inc.
  • 275 Armand-Frappier Boulevard
  • Laval
  • Quebec
  • H7V 4A7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHN0DB (Deutsche Boerse AG)YesCommon SharesDEEURJun 2000
BLUNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJun 2000
BLUTSX (The Toronto Stock Exchange)YesCommon SharesCACADJun 2000

Biography

BELLUS Health Inc., a clinical-stage biopharmaceutical company, develops novel therapeutics for conditions with high unmet medical need. Its lead drug candidate includes BLU-5937, a small molecule antagoni ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 00:44
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
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.