DB:MCD

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Executive Summary

Mallinckrodt plc, together with its subsidiaries, develops, manufactures, markets, and distributes specialty pharmaceutical products and therapies in the United States, Europe, the Middle East, Africa, and internationally.


Snowflake Analysis

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.3%

MCD

0.1%

DE Pharmaceuticals

2.0%

DE Market


1 Year Return

-62.6%

MCD

18.7%

DE Pharmaceuticals

-2.6%

DE Market

Return vs Industry: MCD underperformed the German Pharmaceuticals industry which returned 18.7% over the past year.

Return vs Market: MCD underperformed the German Market which returned -2.6% over the past year.


Shareholder returns

MCDIndustryMarket
7 Day-2.3%0.1%2.0%
30 Day-7.2%-0.5%8.4%
90 Day-22.1%3.0%-7.3%
1 Year-62.6%-62.6%22.5%18.7%-1.0%-2.6%
3 Year-92.3%-92.3%27.6%12.9%-6.6%-13.9%
5 Year-97.4%-97.4%30.1%7.6%1.1%-11.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Mallinckrodt 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: MCD (€2.97) is trading below our estimate of fair value (€20.25)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: MCD is good value based on its PB Ratio (0.1x) compared to the XE Pharmaceuticals industry average (3.1x).


Next Steps

Future Growth

How is Mallinckrodt forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

49.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: MCD's revenue is expected to decline over the next 3 years (-4.3% per year).

High Growth Revenue: MCD's revenue is forecast to decline over the next 3 years (-4.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MCD's Return on Equity is forecast to be high in 3 years time (22.1%)


Next Steps

Past Performance

How has Mallinckrodt performed over the past 5 years?

-44.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MCD is currently unprofitable.

Growing Profit Margin: MCD is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MCD is unprofitable, and losses have increased over the past 5 years at a rate of -44.4% per year.

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

Earnings vs Industry: MCD is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (7%).


Return on Equity

High ROE: MCD has a negative Return on Equity (-64.31%), as it is currently unprofitable.


Next Steps

Financial Health

How is Mallinckrodt's financial position?


Financial Position Analysis

Short Term Liabilities: MCD's short term assets ($1.9B) exceed its short term liabilities ($1.3B).

Long Term Liabilities: MCD's short term assets ($1.9B) do not cover its long term liabilities ($7.0B).


Debt to Equity History and Analysis

Debt Level: MCD's debt to equity ratio (278.7%) is considered high.

Reducing Debt: MCD's debt to equity ratio has increased from 77.4% to 278.7% over the past 5 years.


Balance Sheet


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: Whilst unprofitable MCD has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: MCD is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 5.5% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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

2.3yrs

Average management tenure


CEO

Mark Trudeau (58yo)

6.92yrs

Tenure

US$14,610,755

Compensation

Mr. Mark Christopher Trudeau has been the Chief Executive Officer and President at Mallinckrodt Public Ltd Company since June 2013. Mr. Trudeau was joined Covidien plc as Senior Vice President and Presiden ...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD14.61M) is above average for companies of similar size in the German market ($USD766.05K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Mark Trudeau
President6.92yrsUS$14.61m0.26% $662.6k
Bryan Reasons
Executive VP & CFO1.17yrsUS$3.13m0.0089% $23.1k
Steven Romano
Executive VP & Chief Scientific Officerno dataUS$4.62m0.041% $106.8k
Mark Casey
Executive VP & Chief Legal Officer2.25yrsUS$3.96m0.056% $144.3k
Hugh O'Neill
Executive VP & Chief Commercial Officerno dataUS$4.41m0.057% $146.8k
Daniel Speciale
Vice President of Investor Relations & Investor Relations Officer2.33yrsno datano data
Michele Robertson
Senior VP & Chief Compliance Officer0.67yrno datano data
Brandi Robinson
Senior VP & Chief Communications Officerno datano datano data
Ian Watkins
Executive VP & Chief Human Resources Officerno dataUS$2.15m0.063% $161.2k
Babatunde Otulana
Senior VP & Chief Medical Officerno datano datano data

2.3yrs

Average Tenure

56yo

Average Age

Experienced Management: MCD's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mark Trudeau
President6.92yrsUS$14.61m0.26% $662.6k
Angus Russell
Independent Non-Executive Chairman2yrsUS$567.00k0.061% $157.9k
Kneeland Youngblood
Independent Director6.92yrsUS$404.40k0.045% $116.8k
JoAnn Reed
Independent Director6.92yrsUS$420.00k0.040% $103.9k
J. Carroll
Independent Director6.92yrsUS$416.90k0.050% $128.3k
David Norton
Independent Director2.67yrsUS$415.00k0.031% $79.8k
David Carlucci
Independent Director6.92yrsUS$415.00k0.056% $143.7k
Paul Rutherford Carter
Independent Director2yrsUS$400.00k0.024% $62.0k
Anne Whitaker
Independent Director2yrsUS$400.00k0.025% $64.3k
Jörg Gerlach
Member of Scientific Advisory Council1.92yrsno datano data

4.8yrs

Average Tenure

63yo

Average Age

Experienced Board: MCD's board of directors are considered experienced (4.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

Mallinckrodt plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mallinckrodt plc
  • Ticker: MCD
  • Exchange: DB
  • Founded: 1867
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$282.925m
  • Listing Market Cap: US$257.547m
  • Shares outstanding: 84.46m
  • Website: https://www.mallinckrodt.com

Number of Employees


Location

  • Mallinckrodt plc
  • 3 Lotus Park
  • The Causeway
  • Staines-Upon-Thames
  • Surrey
  • TW18 3AG
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MNKNYSE (New York Stock Exchange)YesNew Ordinary SharesUSUSDJun 2013
MCDDB (Deutsche Boerse AG)YesNew Ordinary SharesDEEURJun 2013
MCDXTRA (XETRA Trading Platform)YesNew Ordinary SharesDEEURJun 2013

Biography

Mallinckrodt plc, together with its subsidiaries, develops, manufactures, markets, and distributes specialty pharmaceutical products and therapies in the United States, Europe, the Middle East, Africa, and internationally. It operates in two segments, Specialty Brands and Specialty Generics. The company markets branded pharmaceutical products for autoimmune and rare diseases in the areas of neurology, rheumatology, nephrology, ophthalmology, and pulmonology; and immunotherapy and neonatal respiratory critical care therapies, as well as analgesics and gastrointestinal products. It offers Acthar Gel, an injectable drug for rheumatoid arthritis, multiple sclerosis, infantile spasms, systemic lupus erythematosus, polymyositis, and others; Inomax, a vasodilator to enhance oxygenation and reduce the need for extracorporeal membrane oxygenation; Ofirmev, an intravenous formulation of acetaminophen for pain management; and Therakos photopheresis, an immunotherapy treatment platform, as well as Amitiza, a product for constipation. The company is also developing Terlipressin for the treatment of hepatorenal syndrome; StrataGraft, which is in Phase III and II clinical development for the treatment of burns; MNK-6105 and MNK-6106, an ammonia scavenger for the treatment of hepatic encephalopathy, a neuropsychiatric syndrome associated with hyperammonemia; and SLN500, a ribonucleic acid technology therapy. It markets its branded products to physicians, pharmacists, pharmacy buyers, hospital procurement departments, ambulatory surgical centers, and specialty pharmacies. Mallinckrodt plc has collaboration with Silence Therapeutics plc. The company was founded in 1867 and is based in Staines-Upon-Thames, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/27 04:18
End of Day Share Price2020/05/26 00:00
Earnings2020/03/27
Annual Earnings2019/12/27


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.