TSX:NRI

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Executive Summary

Nuvo Pharmaceuticals Inc., a healthcare company, provides prescription and non-prescription products for pain, allergy, and dermatology in the United States, Canada, Europe, and internationally.


Snowflake Analysis

Undervalued with poor track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

3.9%

NRI

-8.9%

CA Pharmaceuticals

4.1%

CA Market


1 Year Return

14.5%

NRI

-61.3%

CA Pharmaceuticals

-8.6%

CA Market

Return vs Industry: NRI exceeded the Canadian Pharmaceuticals industry which returned -61.3% over the past year.

Return vs Market: NRI exceeded the Canadian Market which returned -8.6% over the past year.


Shareholder returns

NRIIndustryMarket
7 Day3.9%-8.9%4.1%
30 Day-2.5%18.6%7.9%
90 Day-2.5%12.2%-3.4%
1 Year14.5%14.5%-61.3%-61.3%-5.5%-8.6%
3 Year-81.8%-81.8%8.3%7.2%3.6%-6.1%
5 Year-86.0%-86.0%225.3%225.3%21.4%3.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Nuvo 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: NRI (CA$0.79) is trading below our estimate of fair value (CA$42.6)

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


Price To Earnings Ratio

PE vs Industry: NRI is good value based on its PE Ratio (0.6x) compared to the Pharmaceuticals industry average (9.4x).

PE vs Market: NRI is good value based on its PE Ratio (0.6x) compared to the Canadian market (13.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NRI is good value based on its PB Ratio (0.4x) compared to the CA Pharmaceuticals industry average (1.2x).


Next Steps

Future Growth

How is Nuvo Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-2.3%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if NRI's forecast earnings growth is above the savings rate (1.7%).

Earnings vs Market: Insufficient data to determine if NRI's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NRI's revenue is expected to decline over the next 3 years (-2.3% per year).

High Growth Revenue: NRI's revenue is forecast to decline over the next 3 years (-2.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Nuvo Pharmaceuticals performed over the past 5 years?

-57.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NRI has a large one-off loss of CA$33.5M impacting its March 31 2020 financial results.

Growing Profit Margin: NRI became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: NRI's earnings have declined by -57.9% per year over the past 5 years.

Accelerating Growth: NRI has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: NRI has become profitable in the last year, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (-19%).


Return on Equity

High ROE: Whilst NRI's Return on Equity (60.41%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Nuvo Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: NRI's short term assets (CA$46.4M) exceed its short term liabilities (CA$18.0M).

Long Term Liabilities: NRI's short term assets (CA$46.4M) do not cover its long term liabilities (CA$126.8M).


Debt to Equity History and Analysis

Debt Level: NRI's debt to equity ratio (535.1%) is considered high.

Reducing Debt: NRI's debt to equity ratio has increased from 0.6% to 535.1% over the past 5 years.

Debt Coverage: NRI's debt is not well covered by operating cash flow (14.9%).

Interest Coverage: NRI's interest payments on its debt are not well covered by EBIT (2.1x coverage).


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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

1.4yrs

Average management tenure


CEO

Jesse Ledger

2.58yrs

Tenure

CA$709,918

Compensation

Mr. Jesse F. Ledger has been the Chief Executive Officer of Nuvo Pharmaceuticals Inc. since November 21, 2017 and as its President since November 15, 2016. Mr. Ledger served as Vice President of Business D ...


CEO Compensation Analysis

Compensation vs Market: Jesse's total compensation ($USD525.03K) is above average for companies of similar size in the Canadian market ($USD163.24K).

Compensation vs Earnings: Jesse's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Harris
Executive Chairman1.42yrsCA$686.30k0.48% CA$43.5k
Jesse Ledger
President & CEO2.58yrsCA$709.92k0.63% CA$57.2k
Bernard Chiasson
VP of Operations & Chief Scientific Officerno dataCA$542.53k0.071% CA$6.4k
Katina Loucaides
VP, Corporate Secretary & General Counselno dataCA$547.38kno data
Mary-Jane Burkett
VP & CFO (Leave of Absence)0.25yrCA$514.05k0.091% CA$8.2k
Kelly Demerino
Interim Chief Financial Officer0.25yrno data0.011% CA$948.3
Renny Ho
Investor Relations Officerno datano datano data
Patrick Gushue
Director of Marketing & National Salesno datano datano data
J. Shainhouse
Medical Directorno dataCA$189.90kno data
Calogero Lunetta
Vice President of Manufacturing4.17yrsCA$324.58kno data

1.4yrs

Average Tenure

Experienced Management: NRI's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Robert Harris
Executive Chairman1.42yrsCA$686.30k0.48% CA$43.5k
Anthony Dobranowski
Independent Director15.75yrsCA$57.40k0.44% CA$39.5k
Rolf Zinkernagel
Member of Scientific Advisory Board14.75yrsno datano data
Stefan Meuer
Member of Scientific Advisory Board14.75yrsno datano data
Lee Simon
Member of Scientific Advisory Board14.75yrsno datano data
John London
Non-Executive Vice-Chairman1.42yrsCA$67.63k1.37% CA$123.1k
Daniel Chicoine
Independent Director15.75yrsCA$47.17k2.07% CA$186.3k
David Copeland
Independent Lead Director16.42yrsCA$63.40k0.51% CA$45.6k
Jonathan Wilkin
Member of Scientific Advisory Boardno datano datano data

14.8yrs

Average Tenure

68yo

Average Age

Experienced Board: NRI's board of directors are seasoned and experienced ( 14.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: NRI insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Nuvo Pharmaceuticals Inc.
  • Ticker: NRI
  • Exchange: TSX
  • Founded: 1983
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CA$9.006m
  • Shares outstanding: 11.40m
  • Website: https://www.nuvopharmaceuticals.com

Number of Employees


Location

  • Nuvo Pharmaceuticals Inc.
  • 6733 Mississauga Road
  • Suite 610
  • Mississauga
  • Ontario
  • L5N 6J5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NRITSX (The Toronto Stock Exchange)YesCommon SharesCACADFeb 1997
23NDB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 1997
NRIF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDFeb 1997

Biography

Nuvo Pharmaceuticals Inc., a healthcare company, provides prescription and non-prescription products for pain, allergy, and dermatology in the United States, Canada, Europe, and internationally. The company operates through three segments: Commercial Business, Production and Service Business, and Licensing and Royalty Business. It offers Blexten, an antihistamine drug for the symptomatic relief of allergic rhinitis and chronic spontaneous urticarial; Cambia, a nonsteroidal anti-inflammatory drug for the treatment of migraine; Resultz, a non-prescription product intended to kill head lice and remove their eggs from hair; and Suvexx/Treximet, a medicine for migraine. The company also provides Pennsaid, a topical pain product that is used to treat the signs and symptoms of osteoarthritis of the knee; Pennsaid 2%, a follow-on product to Pennsaid; Vimovo for relief of the signs and symptoms of osteoarthritis, rheumatoid arthritis, and ankylosing spondylitis; Yosprala for secondary prevention of cardiovascular and cerebrovascular events; and Heated Lidocaine/Tetracaine (HLT) Patch, a topical patch applied prior to painful medical procedures, such as venous access, blood draws, needle injections and minor dermatologic surgical procedures. The company was formerly known as Nuvo Research Inc. and changed its name to Nuvo Pharmaceuticals Inc. in March 2016. Nuvo Pharmaceuticals Inc. was founded in 1983 and is headquartered in Mississauga, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 03:37
End of Day Share Price2020/06/05 00:00
Earnings2020/03/31
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.