DB:AX9

Stock Analysis Report

Executive Summary

Akebia Therapeutics, Inc., a biopharmaceutical company, focuses on the development and commercialization of therapeutics for patients with kidney diseases.


Snowflake Analysis

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AX9's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

23.7%

AX9

11.7%

DE Biotechs

9.9%

DE Market


1 Year Return

0.1%

AX9

-8.1%

DE Biotechs

-17.5%

DE Market

Return vs Industry: AX9 underperformed the German Biotechs industry which returned -5.1% over the past year.

Return vs Market: AX9 exceeded the German Market which returned -17.7% over the past year.


Shareholder returns

AX9IndustryMarket
7 Day23.7%11.7%9.9%
30 Day-7.8%-5.9%-16.6%
90 Day22.6%-22.6%-24.8%
1 Year0.1%0.1%-7.9%-8.1%-15.0%-17.5%
3 Year-14.2%-14.2%16.6%15.4%-17.4%-24.5%
5 Year-15.4%-15.4%-6.1%-8.5%-16.6%-28.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

49.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AX9 (€6.25) is trading below our estimate of fair value (€11.89)

Significantly Below Fair Value: AX9 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AX9 is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: AX9 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 AX9's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AX9 is good value based on its PB Ratio (2.5x) compared to the DE Biotechs industry average (3.6x).


Next Steps

Future Growth

How is Akebia Therapeutics forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

59.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AX9 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: AX9 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: AX9 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: AX9's revenue (5.6% per year) is forecast to grow faster than the German market (4.1% per year).

High Growth Revenue: AX9's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AX9 is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Akebia Therapeutics performed over the past 5 years?

-25.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AX9 is currently unprofitable.

Growing Profit Margin: AX9 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AX9 is unprofitable, and losses have increased over the past 5 years at a rate of -25.2% per year.

Accelerating Growth: Unable to compare AX9's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AX9 is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (8.7%).


Return on Equity

High ROE: AX9 has a negative Return on Equity (-70.84%), as it is currently unprofitable.


Next Steps

Financial Health

How is Akebia Therapeutics's financial position?


Financial Position Analysis

Short Term Liabilities: AX9's short term assets ($309.5M) exceed its short term liabilities ($208.1M).

Long Term Liabilities: AX9's short term assets ($309.5M) exceed its long term liabilities ($168.3M).


Debt to Equity History and Analysis

Debt Level: AX9's debt to equity ratio (19.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if AX9's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: AX9 has a high level of physical assets or inventory.

Debt Coverage by Assets: AX9's debt is covered by short term assets (assets are 4.1x debt).


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: AX9 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: AX9 has less than a year of cash runway if free cash flow continues to reduce at historical rates of -40.6% each year


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AX9's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate AX9'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 AX9's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AX9'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 AX9'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?

3.8yrs

Average management tenure


CEO

John Butler (55yo)

6.42s

Tenure

US$3,471,072

Compensation

Mr. John P. Butler, MBA, has been the Chief Executive Officer and President of Akebia Therapeutics, Inc. since September 2013. Mr. Butler served as Chief Executive Officer of Inspiration Biopharmaceuticals ...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD3.47M) is above average for companies of similar size in the German market ($USD1.40M).

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


Leadership Team

NamePositionTenureCompensationOwnership
John Butler
CEO, President & Director6.42yrsUS$3.47m0.63% $5.7m
Jason Amello
Senior VP6.42yrsUS$1.09m0.040% $357.4k
Kristen Sheppard
Vice President of Investor Relationsno datano datano data
Nicole Hadas
SVP, Chief Legal Officer & Secretary7.17yrsno data0.069% $620.3k
Douglas Jermasek
Vice President of Marketing & Strategyno datano datano data
Tamara Dillon
Senior Vice President of Human Resources3.25yrsno datano data
Michel Dahan
Senior VP & Chief Business Officer4.42yrsUS$1.28m0.059% $532.7k
Karen Tubridy
Senior VP & Chief Development Officer3.25yrsno data0.013% $118.5k
Dell Faulkingham
Senior VP & Chief Commercial Officer0.83yrno datano data
Steven Burke
Senior VP & Chief Medical Officer0.67yrno data0.021% $186.2k

3.8yrs

Average Tenure

53yo

Average Age

Experienced Management: AX9's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Butler
CEO, President & Director6.42yrsUS$3.47m0.63% $5.7m
Suzette Dutch
Observerno datano datano data
Michael Rogers
Independent Director1.25yrsUS$133.44k0.0086% $77.5k
Peter Hutt
no datano datano data
Adrian Adams
Independent Chairperson1.25yrsUS$133.44k0.049% $439.4k
Randall Johnson
Advisor & Member of Scientific Advisory Boardno datano datano data
John Adamson
no datano datano data
Frank Bunn
no datano datano data
Volker Haase
Advisor & Member of Scientific Advisory Boardno datano datano data
Cynthia Smith
Independent Director1.58yrsUS$154.62k0.022% $198.0k

1.4yrs

Average Tenure

63.5yo

Average Age

Experienced Board: AX9's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: AX9 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 104%.


Top Shareholders

Company Information

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


Key Information

  • Name: Akebia Therapeutics, Inc.
  • Ticker: AX9
  • Exchange: DB
  • Founded: 2007
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$984.326m
  • Listing Market Cap: US$895.736m
  • Shares outstanding: 129.86m
  • Website: https://www.akebia.com

Number of Employees


Location

  • Akebia Therapeutics, Inc.
  • 245 First Street
  • Suite 1400
  • Cambridge
  • Massachusetts
  • 2142
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AKBANasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDMar 2014
AX9DB (Deutsche Boerse AG)YesCommon StockDEEURMar 2014
AX9BRSE (Berne Stock Exchange)YesCommon StockCHCHFMar 2014

Biography

Akebia Therapeutics, Inc., a biopharmaceutical company, focuses on the development and commercialization of therapeutics for patients with kidney diseases. Its lead product candidate includes Auryxia, a ferric citrate to control the serum phosphorus levels in adult patients with chronic kidney disease (CKD), on dialysis (DD)-CKD, or the hyperphosphatemia indication (HIF); and vadadustat, an oral therapy, which is in Phase III development for the treatment of anemia due to CKD in DD and non-dialysis patients. It has collaboration agreements with Otsuka Pharmaceutical Co. Ltd. for the development and commercialization of vadadustat in the United States, European Union, Russia, China, Australia, Canada, the Middle East, and other countries; and Mitsubishi Tanabe Pharma Corporation for the development and commercialization of vadadustat in Japan and other Asian countries, as well as research and license agreement with Janssen Pharmaceutica NV for the development and commercialization of HIF-prolyl hydroxylases-targeted compounds worldwide. The company was founded in 2007 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 Analysis2020/03/31 23:33
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.