Eidos Therapeutics, Inc., a clinical stage biopharmaceutical company, focuses on developing drugs to treat diseases caused by transthyretin (TTR) amyloidosis (ATTR).
The last earnings update was 6 days ago.
Discounted Cash Flow Calculation for DB:6MX using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
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.
DB:6MX DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Eidos Therapeutics's share price is below the future cash flow value, and at a moderate discount (> 20%).
Eidos Therapeutics's share price is below the future cash flow value, but not at a substantial discount (< 40%).
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
is considered below, and whether this is a fair price.
Price based on past earnings
Eidos Therapeutics's earnings available for a low price, and how does
this compare to other companies in the same industry?
Eidos Therapeutics is not considered high growth as it is expected to be loss making for the next 1-3 years.
Unable to determine if Eidos Therapeutics is high growth as no revenue estimate data is available.
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.
Eidos Therapeutics's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Eidos Therapeutics's finances.
The net worth of a company is the difference between its assets and liabilities.
Eidos Therapeutics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Eidos Therapeutics's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Eidos Therapeutics'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
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Low level of unsold assets.
Eidos Therapeutics has no debt, it does not need to be covered by short term assets.
Nearly all companies have debt. Debt in itself isn’t
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.
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.
TENURE AS CEO
Dr. Neil Kumar, Ph.D., is the Co-Founder and Chief Executive Officer at BridgeBio Inc. He serves as the Chief Executive Officer and Director at Eidos Therapeutics Inc. Dr. Kumar served as a Principal at Third Rock Ventures, LLC. He joined Third Rock Ventures in 2011 and supported and managed various portfolio companies and focused on new company formation and due diligence. Dr. Kumar served as an Interim Head of Business Development and Operations at MyoKardia, Inc. He served as an Associate Principal at McKinsey & Company, where he developed strategies for pharmaceutical and medical device companies and helped lead McKinsey's Personalized Medicine efforts. He was involved in the formation of a gene chip startup. Dr. Kumar was a Technical Consultant for AstraZeneca’s pathway signaling group. He is the author of several peer-reviewed papers in the fields of oncology and systems biology. Dr. Kumar has a Ph.D. in Chemical Engineering from MIT. He holds B.S. and M.S. degrees in Chemical Engineering from Stanford University.
Insufficient data for Neil to compare compensation growth.
Neil's remuneration is lower than average for companies of similar size in Germany.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Eidos Therapeutics management team is less than 2 years, this suggests a new team.
CEO & Director
President & Chief Medical Officer
Founder & Board Advisor
Chief Scientific Officer
Chief Financial Officer
Chief Business Officer
Acting Chief Commercial Officer
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The average tenure for the Eidos Therapeutics board of directors is less than 3 years, this suggests a new board.
Board of Directors
CEO & Director
Founder & Board Advisor
Who owns this company?
Recent Insider Trading
Eidos Therapeutics insiders have only sold shares in the past 3 months.
Eidos Therapeutics, Inc., a clinical stage biopharmaceutical company, focuses on developing drugs to treat diseases caused by transthyretin (TTR) amyloidosis (ATTR). It is developing AG10, an orally-administered small molecule designed to stabilize tetrameric TTR, thereby halting at its outset the series of molecular events that give rise to ATTR. The company was founded in 2013 and is headquartered in San Francisco, California.
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