DB:2K7

Stock Analysis Report

Executive Summary

TCR2 Therapeutics Inc., a clinical-stage immunotherapy company, develops novel T cell receptor therapies for patients suffering from cancer.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

How has TCR2 Therapeutics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2K7's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-4.8%

2K7

3.3%

DE Biotechs

2.2%

DE Market


1 Year Return

-59.3%

2K7

-11.2%

DE Biotechs

-17.2%

DE Market

Return vs Industry: 2K7 underperformed the German Biotechs industry which returned -8.1% over the past year.

Return vs Market: 2K7 underperformed the German Market which returned -17.5% over the past year.


Shareholder returns

2K7IndustryMarket
7 Day-4.8%3.3%2.2%
30 Day-43.8%-6.5%-15.7%
90 Day-57.9%-23.1%-24.0%
1 Year-59.3%-59.3%-11.0%-11.2%-14.9%-17.2%
3 Yearn/a14.9%13.6%-16.4%-23.3%
5 Yearn/a-8.0%-10.3%-16.5%-27.8%

Price Volatility Vs. Market

How volatile is TCR2 Therapeutics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is TCR2 Therapeutics undervalued compared to its fair value and its price relative to the market?

1.16x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 2K7's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 2K7's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 2K7 is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: 2K7 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 2K7's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 2K7 is good value based on its PB Ratio (0.9x) compared to the DE Biotechs industry average (3.6x).


Next Steps

Future Growth

How is TCR2 Therapeutics forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-4.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2K7 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 2K7 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 2K7 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if 2K7's revenue is forecast to grow faster than the German market.

High Growth Revenue: Insufficient data to determine if 2K7's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 2K7's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has TCR2 Therapeutics performed over the past 5 years?

-58.4%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: 2K7 is currently unprofitable.

Growing Profit Margin: 2K7 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if 2K7's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare 2K7's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 2K7 is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (8.7%).


Return on Equity

High ROE: 2K7 has a negative Return on Equity (-24.81%), as it is currently unprofitable.


Next Steps

Financial Health

How is TCR2 Therapeutics's financial position?


Financial Position Analysis

Short Term Liabilities: 2K7's short term assets ($166.6M) exceed its short term liabilities ($7.9M).

Long Term Liabilities: 2K7's short term assets ($166.6M) exceed its long term liabilities ($474.0K).


Debt to Equity History and Analysis

Debt Level: 2K7 is debt free.

Reducing Debt: 2K7 has not had any debt for past 5 years.


Balance Sheet

Inventory Level: 2K7 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 2K7'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: 2K7 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 2K7 has sufficient cash runway for 1.9 years if free cash flow continues to reduce at historical rates of -45% each year.


Next Steps

Dividend

What is TCR2 Therapeutics's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 2K7's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 2K7'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 2K7's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 2K7'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 2K7's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Garry Menzel (55yo)

4.25s

Tenure

US$3,177,825

Compensation

Dr. Garry E. Menzel, Ph.D. serves as President, Chief Executive Officer and Director of TCR2, Inc. Dr. Menzel served as the Chief Strategy and Financial Officer of Axcella Health, Inc. He is the Independen ...


CEO Compensation Analysis

Compensation vs Market: Garry's total compensation ($USD3.18M) is above average for companies of similar size in the German market ($USD731.58K).

Compensation vs Earnings: Garry's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Garry Menzel
President4.25yrsUS$3.18m0.36% $611.3k
Robert Hofmeister
Chief Scientific Officer3.5yrsUS$1.01m0.16% $273.6k
Alfonso Cardama
Chief Medical Officer3.25yrsUS$1.13m0.0080% $13.6k
Mayur Somaiya
Chief Financial Officer1.33yrsno data0.013% $22.1k
Carl Mauch
Director of Investor Relations & Corporate Communicationsno datano datano data
Margaret Siegel
Head of Legal & Corporate Secretary2.25yrsno datano data
Angela Justice
Chief People Officer0.50yrno datano data

2.8yrs

Average Tenure

48yo

Average Age

Experienced Management: 2K7's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Garry Menzel
President4.25yrsUS$3.18m0.36% $611.3k
Ansbert Gadicke
Chairman of the Board of Directorsno datano datano data
Patrick Baeuerle
Director4.92yrsUS$76.13kno data
Neil Gibson
Independent Director2.17yrsUS$55.41kno data
Mitchell Finer
Chairman of the Advisory Board & Directorno dataUS$76.03k0.15% $258.7k
Andrew Allen
Independent Director1.33yrsUS$53.63kno data
Kai Wucherpfennig
Member of Advisory Boardno datano datano data
Marcela Maus
Member of Advisory Boardno datano datano data
Stephan Grupp
Member of the Advisory Boardno datano datano data
Wolfgang Schamel
Member of Advisory Boardno datano datano data

3.2yrs

Average Tenure

60.5yo

Average Age

Experienced Board: 2K7's board of directors are considered experienced (3.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: 2K7 insiders have only sold shares 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 2669.4%.


Top Shareholders

Company Information

TCR2 Therapeutics Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TCR2 Therapeutics Inc.
  • Ticker: 2K7
  • Exchange: DB
  • Founded: 2015
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$185.807m
  • Listing Market Cap: US$169.084m
  • Shares outstanding: 24.01m
  • Website: https://ww.tcr2.com

Number of Employees


Location

  • TCR2 Therapeutics Inc.
  • 100 Binney Street
  • Suite 710
  • Cambridge
  • Massachusetts
  • 2142
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TCRRNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 2019
2K7MUN (Boerse Muenchen)YesCommon StockDEEURFeb 2019
2K7DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2019

Biography

TCR2 Therapeutics Inc., a clinical-stage immunotherapy company, develops novel T cell receptor therapies for patients suffering from cancer. The company’s lead product candidates include TC-210, mono TCR Fusion Construct T cells (TRuC-T cells) targeting mesothelin positive solid tumors, which initiated in phase I/II clinical trial for the treatment of non-small cell lung cancer (NSCLC), ovarian cancer, malignant pleural/peritoneal mesothelioma, and cholangiocarcinoma; and TC-110 a TRuC-T cell targeting CD19-positive B-Cell hematological malignancies. Its product candidates in pipeline comprise TC-220, a TRuC-T cell that targets MUC16 positive solid tumors; TC-310, a dual TRuC-T cells targeting both CD19 and CD22; and TC-410, a dual TRuC-T cell targeting both mesothelin and MUC16. The company has a cooperative research and development agreement with the National Cancer Institute to collaborate on the use of TCR2 proprietary T cell receptor Fusion Construct T cells as a cancer therapeutic agent against mesothelin in Phase I/II clinical trial of TC-210. The company was formerly known as TCR2, Inc. and changed its name to TCR2 Therapeutics Inc. in November 2016. TCR2 Therapeutics Inc. was founded in 2015 and is headquartered in Cambridge, Massachusetts. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 05:46
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
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.