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Cipher Pharmaceuticals

TSX:CPH
Snowflake Description

Good value with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CPH
TSX
CA$52M
Market Cap
  1. Home
  2. CA
  3. Pharmaceuticals & Biotech
Company description

Cipher Pharmaceuticals Inc. operates as a specialty pharmaceutical company in Canada. The last earnings update was 48 days ago. More info.


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CPH Share Price and Events
7 Day Returns
11%
TSX:CPH
-4.3%
CA Pharmaceuticals
-0.7%
CA Market
1 Year Returns
-55.6%
TSX:CPH
-3.6%
CA Pharmaceuticals
-2.2%
CA Market
CPH Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cipher Pharmaceuticals (CPH) 11% 4.8% -6.4% -55.6% -80.6% -85.2%
CA Pharmaceuticals -4.3% -14.7% -20.7% -3.6% 585.9% 416.2%
CA Market -0.7% 0.2% 0.3% -2.2% 11.9% 0.9%
1 Year Return vs Industry and Market
  • CPH underperformed the Pharmaceuticals industry which returned -3.6% over the past year.
  • CPH underperformed the Market in Canada which returned -2.2% over the past year.
Price Volatility
CPH
Industry
5yr Volatility vs Market

Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cipher Pharmaceuticals to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cipher Pharmaceuticals.

TSX:CPH Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.6%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:CPH
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Pharmaceuticals Unlevered Beta Simply Wall St/ S&P Global 0.68
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.679 (1 + (1- 26.5%) (47.16%))
0.943
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.94
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (0.943 * 5.96%)
7.57%

Discounted Cash Flow Calculation for TSX:CPH using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Cipher Pharmaceuticals is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

TSX:CPH DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.57%)
2019 4.20 Analyst x1 3.90
2020 3.03 Est @ -27.87% 2.62
2021 2.45 Est @ -18.92% 1.97
2022 2.14 Est @ -12.66% 1.60
2023 1.97 Est @ -8.28% 1.36
2024 1.86 Est @ -5.21% 1.20
2025 1.81 Est @ -3.06% 1.08
2026 1.78 Est @ -1.56% 0.99
2027 1.77 Est @ -0.51% 0.92
2028 1.77 Est @ 0.23% 0.85
Present value of next 10 years cash flows $16.50
TSX:CPH DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1.77 × (1 + 1.95%) ÷ (7.57% – 1.95%)
$32.16
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $32.16 ÷ (1 + 7.57%)10
$15.51
TSX:CPH Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $16.50 + $15.51
$32.01
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $32.01 / 39.85
$0.8
TSX:CPH Discount to Share Price
Calculation Result
Exchange Rate USD/CAD
(Reporting currency to currency of TSX:CPH)
1.312
Value per Share
(CAD)
= Value per Share in USD x Exchange Rate (USD/CAD)
= $0.8 x 1.312
CA$1.05
Value per share (CAD) From above. CA$1.05
Current discount Discount to share price of CA$1.31
= -1 x (CA$1.31 - CA$1.05) / CA$1.05
-24.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Cipher Pharmaceuticals is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cipher Pharmaceuticals's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cipher Pharmaceuticals's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:CPH PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.11
TSX:CPH Share Price ** TSX (2019-06-26) in CAD CA$1.31
TSX:CPH Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.762 $1
Canada Pharmaceuticals Industry PE Ratio Median Figure of 11 Publicly-Listed Pharmaceuticals Companies 17.67x
Canada Market PE Ratio Median Figure of 543 Publicly-Listed Companies 15x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cipher Pharmaceuticals.

TSX:CPH PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:CPH Share Price ÷ EPS (both in USD)

= 1 ÷ 0.11

9.01x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cipher Pharmaceuticals is good value based on earnings compared to the CA Pharmaceuticals industry average.
  • Cipher Pharmaceuticals is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does Cipher Pharmaceuticals's expected growth come at a high price?
Raw Data
TSX:CPH PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.01x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
24.8%per year
Canada Pharmaceuticals Industry PEG Ratio Median Figure of 7 Publicly-Listed Pharmaceuticals Companies 1.1x
Canada Market PEG Ratio Median Figure of 248 Publicly-Listed Companies 1.15x

*Line of best fit is calculated by linear regression .

TSX:CPH PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.01x ÷ 24.8%

0.36x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cipher Pharmaceuticals is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Cipher Pharmaceuticals's assets?
Raw Data
TSX:CPH PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $0.95
TSX:CPH Share Price * TSX (2019-06-26) in CAD CA$1.31
TSX:CPH Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.762 $1
Canada Pharmaceuticals Industry PB Ratio Median Figure of 145 Publicly-Listed Pharmaceuticals Companies 2.55x
Canada Market PB Ratio Median Figure of 2,426 Publicly-Listed Companies 1.44x
TSX:CPH PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:CPH Share Price ÷ Book Value per Share (both in USD)

= 1 ÷ 0.95

1.05x

* Primary Listing of Cipher Pharmaceuticals.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cipher Pharmaceuticals is good value based on assets compared to the CA Pharmaceuticals industry average.
X
Value checks
We assess Cipher Pharmaceuticals's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Pharmaceuticals industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Pharmaceuticals industry average (and greater than 0)? (1 check)
  5. Cipher Pharmaceuticals has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Cipher Pharmaceuticals expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
24.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Cipher Pharmaceuticals expected to grow at an attractive rate?
  • Cipher Pharmaceuticals's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • Cipher Pharmaceuticals's earnings growth is expected to exceed the Canada market average.
  • Cipher Pharmaceuticals's revenue growth is expected to exceed the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:CPH Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:CPH Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 24.8%
TSX:CPH Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 17.3%
Canada Pharmaceuticals Industry Earnings Growth Rate Market Cap Weighted Average 96.5%
Canada Pharmaceuticals Industry Revenue Growth Rate Market Cap Weighted Average 56.2%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14.8%
Canada Market Revenue Growth Rate Market Cap Weighted Average 5.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:CPH Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:CPH Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 41 19 9 1
2021-12-31 36 17 8 2
2020-12-31 32 13 8 4
2019-12-31 24 9 4 3
TSX:CPH Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 23 2 3
2018-12-31 23 8 1
2018-09-30 29 13 6
2018-06-30 34 18 9
2018-03-31 37 19 11
2017-12-31 40 13 11
2017-09-30 34 11 7
2017-06-30 32 9 5
2017-03-31 31 10 1
2016-12-31 30 11 4
2016-09-30 33 8 6
2016-06-30 34 7 2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Cipher Pharmaceuticals's earnings are expected to grow significantly at over 20% yearly.
  • Cipher Pharmaceuticals's revenue is expected to grow by 17.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:CPH Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Cipher Pharmaceuticals Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:CPH Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 0.33 0.33 0.33 1.00
2021-12-31 0.27 0.29 0.26 2.00
2020-12-31 0.28 0.42 0.19 3.00
2019-12-31 0.13 0.15 0.11 2.00
TSX:CPH Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.11
2018-12-31 0.04
2018-09-30 0.21
2018-06-30 0.33
2018-03-31 0.42
2017-12-31 0.40
2017-09-30 0.25
2017-06-30 0.19
2017-03-31 0.03
2016-12-31 0.16
2016-09-30 0.24
2016-06-30 0.07

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Cipher Pharmaceuticals is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Cipher Pharmaceuticals's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cipher Pharmaceuticals has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Cipher Pharmaceuticals performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cipher Pharmaceuticals's growth in the last year to its industry (Pharmaceuticals).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cipher Pharmaceuticals's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Cipher Pharmaceuticals's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Cipher Pharmaceuticals's 1-year earnings growth is negative, it can't be compared to the CA Pharmaceuticals industry average.
Earnings and Revenue History
Cipher Pharmaceuticals's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cipher Pharmaceuticals Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:CPH Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 23.32 2.97 13.48 0.57
2018-12-31 22.75 1.20 13.94 0.56
2018-09-30 28.66 5.75 11.47 0.52
2018-06-30 33.88 8.90 12.58 0.42
2018-03-31 36.61 11.27 13.30 0.33
2017-12-31 40.14 10.63 12.78 0.39
2017-09-30 34.43 6.68 12.61 0.40
2017-06-30 32.19 5.02 13.39 0.36
2017-03-31 30.86 0.84 14.41 0.60
2016-12-31 29.65 4.22 15.60 0.57
2016-09-30 32.96 6.28 22.63 0.68
2016-06-30 33.61 1.84 27.60 0.02
2016-03-31 33.90 1.05 29.46 0.23
2015-12-31 34.41 1.77 28.65 0.50
2015-09-30 32.15 2.92 21.08 0.54
2015-06-30 30.31 13.08 13.98 1.37
2015-03-31 30.40 18.22 10.45 1.47
2014-12-31 29.22 18.77 8.99 1.11
2014-09-30 32.99 30.83 7.37 0.85
2014-06-30 32.19 26.77 7.04 0.61
2014-03-31 28.64 24.77 6.58
2013-12-31 25.43 23.50 5.85
2013-09-30 16.89 9.12 5.52
2013-06-30 13.15 6.42 4.57
2013-03-31 9.77 3.85 3.71
2012-12-31 8.49 2.55 3.54
2012-09-30 6.71 0.61 3.45
2012-06-30 5.50 -0.37 3.20

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Cipher Pharmaceuticals has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Cipher Pharmaceuticals used its assets less efficiently than the CA Pharmaceuticals industry average last year based on Return on Assets.
  • Cipher Pharmaceuticals has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Cipher Pharmaceuticals's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Pharmaceuticals industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cipher Pharmaceuticals has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Cipher Pharmaceuticals's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cipher Pharmaceuticals's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cipher Pharmaceuticals is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Cipher Pharmaceuticals's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Cipher Pharmaceuticals's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cipher Pharmaceuticals Company Filings, last reported 2 months ago.

TSX:CPH Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 25.64 15.54 7.92
2018-12-31 24.76 17.57 10.36
2018-09-30 25.62 19.46 10.03
2018-06-30 24.69 21.48 12.64
2018-03-31 22.28 16.49 28.00
2017-12-31 23.30 18.12 28.24
2017-09-30 19.04 19.72 24.34
2017-06-30 16.09 19.61 19.66
2017-03-31 15.21 39.50 33.70
2016-12-31 18.01 36.38 34.49
2016-09-30 29.39 35.98 30.60
2016-06-30 50.09 35.17 30.79
2016-03-31 52.56 34.87 28.80
2015-12-31 54.26 34.58 27.18
2015-09-30 51.60 34.38 28.06
2015-06-30 52.92 33.86 29.65
2015-03-31 52.89 0.00 37.17
2014-12-31 54.08 0.00 45.37
2014-09-30 52.33 0.00 42.56
2014-06-30 45.70 0.00 37.23
2014-03-31 39.10 0.00 31.27
2013-12-31 36.48 0.00 22.76
2013-09-30 20.32 0.00 19.48
2013-06-30 16.38 0.00 16.87
2013-03-31 13.77 0.00 16.24
2012-12-31 12.45 0.00 15.89
2012-09-30 11.02 0.00 15.31
2012-06-30 9.81 0.00 14.12
  • Cipher Pharmaceuticals's level of debt (60.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 60.6% today).
  • Debt is not well covered by operating cash flow (15.9%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8.5x coverage).
X
Financial health checks
We assess Cipher Pharmaceuticals's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cipher Pharmaceuticals has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Cipher Pharmaceuticals dividends.
If you bought CA$2,000 of Cipher Pharmaceuticals shares you are expected to receive CA$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Cipher Pharmaceuticals's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Cipher Pharmaceuticals's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:CPH Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
North America Pharmaceuticals Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 2.7%
Canada Market Average Dividend Yield Market Cap Weighted Average of 336 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.1%
Canada Bottom 25% Dividend Yield 25th Percentile 2.1%
Canada Top 25% Dividend Yield 75th Percentile 5.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:CPH Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Cipher Pharmaceuticals has not reported any payouts.
  • Unable to verify if Cipher Pharmaceuticals's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Cipher Pharmaceuticals's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Cipher Pharmaceuticals 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.
X
Income/ dividend checks
We assess Cipher Pharmaceuticals's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cipher Pharmaceuticals afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cipher Pharmaceuticals has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Robert Tessarolo
COMPENSATION $3,223,317
AGE 50
TENURE AS CEO 2.2 years
CEO Bio

Mr. Robert D. Tessarolo has been Chief Executive Officer and President at Cipher Pharmaceuticals US LLC and Cipher Pharmaceuticals Inc. since April 17, 2017. Mr. Tessarolo has 22 years of experience in the pharmaceutical industry spanning business strategy, general management and commercial operations roles across multiple countries and therapeutic areas. He has demonstrated expertise in leading pharmaceutical organizations through start-up opportunities and turnaround challenges and delivering rapid growth, expansion and value creation. Mr. Tessarolo served as Vice President of Sales & Marketing of Biovail Pharmaceuticals Canada. Mr. Tessarolo held a number of positions of increasing responsibility with Biovail Pharmaceuticals Canada, culminating in his appointment to the position of Vice President and General Manager. Mr. Tessarolo's responsibilities include all aspects of commercial business within Canada, including marketing strategy, market research and access, reviewing all divisional sales and operational planning and budgeting as well as new product planning for Biovail. His practical sales and marketing experience includes operational planning, budgeting and accountability for quarterly sales reviews and departmental objectives on a national basis. Under his leadership, Mr. Tessarolo established a Canadian business of over 140 employees and $190 million in revenues, leading his team through several new product launches and the successful integration of multiple company acquisitions, including Warner Chilcott, Forest Labs and Allergan. Prior to joining Celgene in September, 2015, He joined Actavis in 2011 and led its launch of Actavis, plc's Canadian Specialty Pharmaceutical Division and served as its President and General Manager. Mr. Tessarolo served as Vice President and General Manager of Celgene Corporation, where he was responsible for leading their U.S. Inflammation & Immunology business until March 31, 2017. He held senior roles within the commercial business division of a major Canadian based pharmaceutical company. He has been a Director of Cipher Pharmaceuticals Inc. since May 11, 2017. Mr. Tessarolo has been a Director of Bradmer Pharmaceuticals Inc., since March 11, 2008. He contributed to the substantial expansion of the U.S. business in 2016, which was led by the rapid growth of Otezla for plaque psoriasis and psoriatic arthritis. He is a graduate of Carleton University with a B.A in Economics. He has attended the Advanced Management Program for General Management at Ross School of Business at the University of Michigan.

CEO Compensation
  • Robert's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Robert's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Cipher Pharmaceuticals management team in years:

2.1
Average Tenure
  • The tenure for the Cipher Pharmaceuticals management team is about average.
Management Team

Robert Tessarolo

TITLE
President
COMPENSATION
$3M
AGE
50
TENURE
2.2 yrs

Chris Watters

TITLE
Vice President of Corporate Development
COMPENSATION
$518K
TENURE
2 yrs

Nadine Jutlah

TITLE
Interim Chief Financial Officer
TENURE
0.3 yrs

Norm Evans

TITLE
Consultant
COMPENSATION
$560K
AGE
63
TENURE
2.8 yrs
Board of Directors Tenure

Average tenure and age of the Cipher Pharmaceuticals board of directors in years:

2.8
Average Tenure
66
Average Age
  • The average tenure for the Cipher Pharmaceuticals board of directors is less than 3 years, this suggests a new board.
Board of Directors

Craig Mull

TITLE
Chairman of the Board of Directors

Robert Tessarolo

TITLE
President
COMPENSATION
$3M
AGE
50
TENURE
2.1 yrs

Christian Godin

TITLE
Director
COMPENSATION
$59K
AGE
56
TENURE
2.8 yrs

Harold Wolkin

TITLE
Director
COMPENSATION
$67K
AGE
66
TENURE
2.8 yrs

John Mull

TITLE
Director
COMPENSATION
$47K
AGE
85
TENURE
15.4 yrs

Arthur Deboeck

TITLE
Director
COMPENSATION
$47K
AGE
71
TENURE
2.1 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Cipher Pharmaceuticals individual insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
20. Jun 19 Buy Christian Godin Individual 20. Jun 19 20. Jun 19 4,000 CA$1.17 CA$4,680
21. Dec 18 Buy John Mull Individual 20. Dec 18 21. Dec 18 90,000 CA$1.70 CA$153,185
20. Dec 18 Buy John Mull Individual 17. Dec 18 17. Dec 18 10,000 CA$1.71 CA$17,100
15. Aug 18 Buy Christian Godin Individual 15. Aug 18 15. Aug 18 2,000 CA$2.80 CA$5,600
02. Jul 18 Buy John Mull Individual 28. Jun 18 28. Jun 18 7,800 CA$2.90 CA$22,620
X
Management checks
We assess Cipher Pharmaceuticals's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cipher Pharmaceuticals has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

With A 12% Return On Equity, Is Cipher Pharmaceuticals Inc. (TSE:CPH) A Quality Stock?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Cipher Pharmaceuticals: 12% = US$3.0m ÷ US$26m (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Combining Cipher Pharmaceuticals's Debt And Its 12% Return On Equity Although Cipher Pharmaceuticals does use debt, its debt to equity ratio of 0.73 is still low. … In my book the highest quality companies have high return on equity, despite low debt.

Simply Wall St -

What Kind Of Shareholder Appears On The Cipher Pharmaceuticals Inc.'s (TSE:CPH) Shareholder Register?

As Charlie Munger said 'Show me the incentive and I will show you the outcome.' With a market capitalization of CA$37m, Cipher Pharmaceuticals is a small cap stock, so it might not be well known by many institutional investors. … Check out our latest analysis for Cipher Pharmaceuticals TSX:CPH Ownership Summary, May 22nd 2019 What Does The Institutional Ownership Tell Us About Cipher Pharmaceuticals? … Insider Ownership Of Cipher Pharmaceuticals While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders.

Simply Wall St -

Need To Know: Cipher Pharmaceuticals Inc. (TSE:CPH) Insiders Have Been Buying Shares

The Last 12 Months Of Insider Transactions At Cipher Pharmaceuticals. … In the last twelve months, the biggest single purchase by an insider was when Director John Mull bought CA$153k worth of shares at a price of CA$1.70 per share. … That means that even when the share price was higher than CA$1.36 (the recent price), an insider wanted to purchase shares

Simply Wall St -

What You Must Know About Cipher Pharmaceuticals Inc.'s (TSE:CPH) Beta Value

Volatility is considered to be a measure of risk in modern finance theory. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … While we should keep in mind that Warren Buffett has cautioned that 'Volatility is far from synonymous with risk', beta is still a useful factor to consider.

Simply Wall St -

These Factors Make Cipher Pharmaceuticals Inc. (TSE:CPH) An Interesting Investment

By this I mean, I look at stocks holistically, from their financial health to their future outlook. … In the case of Cipher Pharmaceuticals Inc. … is a company that has been able to sustain great financial health, trading at an attractive share price.

Simply Wall St -

Boasting A 22% Return On Equity, Is Cipher Pharmaceuticals Inc. (TSE:CPH) A Top Quality Stock?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows Cipher Pharmaceuticals has a return on equity of 22% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

The Cipher Pharmaceuticals Share Price Is Down 77% So Some Shareholders Are Rather Upset

(TSE:CPH) for five years would be nursing their metaphorical wounds since the share price dropped 77% in that time. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … Due to the lack of correlation between the EPS growth and the falling share price, it's worth taking a look at other metrics to try to understand the share price movement.

Simply Wall St -

Are Cipher Pharmaceuticals Inc.'s (TSE:CPH) Interest Costs Too High?

(TSE:CPH) is a small-cap stock with a market capitalization of CA$49m. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Evaluating financial health as part of your investment thesis is

Simply Wall St -

How Much Are Cipher Pharmaceuticals Inc. (TSE:CPH) Insiders Spending On Buying Shares?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … (TSE:CPH), you may well want to know whether insiders have been buying or selling. … It is perfectly legal for company insiders, including board members, to buy and sell stock in a company.

Simply Wall St -

Is Cipher Pharmaceuticals Inc.'s (TSE:CPH) Stock Available For A Good Price After Accounting For Growth?

(TSE:CPH) is considered a high-growth stock, but its last closing price of CA$2.21 left some investors wondering if this high future earnings potential can be rationalized by its current price tag. … View our latest analysis for Cipher Pharmaceuticals? … Want to help shape the future of investing tools and platforms.

Simply Wall St -

Company Info

Description

Cipher Pharmaceuticals Inc. operates as a specialty pharmaceutical company in Canada. It offers EPURIS (CIP-ISOTRETINOIN), a formulation of the active ingredient isotretinoin for use in the treatment of severe acne; LIPOFEN (CIP-FENOFIBRATE), a formulation of the active ingredient fenofibrate used for the treatment of hyperlipidemia, a cholesterol disorder; CONZIP/DURELA (CIP-TRAMADOL ER), a formulation of the active ingredient tramadol for the management of moderate to moderately severe pain; and BRINAVESS, a treatment for sinus rhythms in adults. The company also provides BETEFLAM PATCH, a self-adhesive medicated plaster for the treatment of inflammatory skin conditions; Actikerall, which is indicated for the treatment of palpable or moderately thick hyperkeratotic actinic keratosis; Vaniqa, a prescription cream that reduces the growth of unwanted facial hair in women; Ozenoxacin to treat adult and paediatric patients with impetigo; and AGGRASTAT, an intravenous anti-platelet drug. Its pipeline products include Xydalba, a one-dose treatment option for the treatment of acute bacterial skin and skin structure infections; Trevyent, a drug device combination that delivers treprostinil, the treatment for pulmonary arterial hypertension; TRULANCE, a once-daily tablet for the treatment of adults with chronic idiopathic constipation and irritable bowel syndrome with constipation; A-101, a treatment for raised seborrheic keratosis; CF-101 for severe plaque psoriasis and rheumatoid arthritis; and DTR-001 for tattoo removal. The company was founded in 2000 and is headquartered in Oakville, Canada.

Details
Name: Cipher Pharmaceuticals Inc.
CPH
Exchange: TSX
Founded: 2000
CA$52,209,613
39,854,667
Website: http://www.cipherpharma.com
Address: Cipher Pharmaceuticals Inc.
209 Oak Park Boulevard,
Suite 501,
Oakville,
Ontario, L6H 0M2,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX CPH Common Shares The Toronto Stock Exchange CA CAD 25. Feb 2004
OTCPK CPHR.F Common Shares Pink Sheets LLC US USD 25. Feb 2004
DB PHE Common Shares Deutsche Boerse AG DE EUR 25. Feb 2004
Number of employees
Current staff
Staff numbers
39
Cipher Pharmaceuticals employees.
Industry
Pharmaceuticals
Pharmaceuticals & Biotech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/27 00:01
End of day share price update: 2019/06/26 00:00
Last estimates confirmation: 2019/05/13
Last earnings filing: 2019/05/10
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.