Pacific Biosciences of California, Inc.

DB:P09 Stock Report

Market Cap: €462.4m

Pacific Biosciences of California Valuation

Is P09 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of P09 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: P09 (€1.54) is trading below our estimate of fair value (€3.57)

Significantly Below Fair Value: P09 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for P09?

Key metric: As P09 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for P09. This is calculated by dividing P09's market cap by their current revenue.
What is P09's PS Ratio?
PS Ratio2.8x
SalesUS$173.15m
Market CapUS$484.74m

Price to Sales Ratio vs Peers

How does P09's PS Ratio compare to its peers?

The above table shows the PS ratio for P09 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3x
EVT Evotec
2.3x12.1%€1.8b
GXI Gerresheimer
1.2x10.2%€2.4b
1SXP SCHOTT Pharma KGaA
4.2x10.7%€3.9b
SRT3 Sartorius
4.2x9.3%€12.8b
P09 Pacific Biosciences of California
2.8x19.6%€484.7m

Price-To-Sales vs Peers: P09 is good value based on its Price-To-Sales Ratio (2.8x) compared to the peer average (3x).

Price to Sales Ratio vs Industry

How does P09's PS Ratio compare vs other companies in the European Life Sciences Industry?

5 CompaniesPrice / SalesEstimated GrowthMarket Cap
P09 2.8xIndustry Avg. 4.2xNo. of Companies9PS03.26.49.612.816+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: P09 is good value based on its Price-To-Sales Ratio (2.8x) compared to the European Life Sciences industry average (4.2x).

Price to Sales Ratio vs Fair Ratio

What is P09's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

P09 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.8x
Fair PS Ratio3.5x

Price-To-Sales vs Fair Ratio: P09 is good value based on its Price-To-Sales Ratio (2.8x) compared to the estimated Fair Price-To-Sales Ratio (3.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst P09 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€1.54
€2.89
+87.3%
37.8%€5.65€1.88n/a11
Nov ’25€1.95
€2.85
+46.3%
44.6%€6.45€1.84n/a11
Oct ’25€1.62
€2.70
+66.6%
47.1%€6.30€1.80n/a11
Sep ’25€1.23
€2.70
+119.8%
47.1%€6.30€1.80n/a11
Aug ’25€1.80
€3.90
+116.6%
71.8%€11.93€1.84n/a12
Jul ’25€1.18
€3.90
+230.5%
71.8%€11.93€1.84n/a12
Jun ’25€1.64
€3.96
+141.2%
74.6%€12.05€1.85n/a11
May ’25€1.55
€5.47
+252.5%
60.5%€12.21€2.35n/a11
Apr ’25€3.37
€9.31
+176.4%
22.9%€13.90€6.02n/a11
Mar ’25€5.02
€9.73
+94.0%
23.7%€13.84€6.00n/a12
Feb ’25€5.92
€11.22
+89.7%
26.9%€17.46€7.35n/a12
Jan ’25n/a
€10.77
0%
27.9%€17.17€7.23n/a12
Dec ’24€7.66
€11.61
+51.6%
31.5%€18.34€7.33n/a12
Nov ’24€5.76
€12.28
+113.4%
29.3%€18.90€7.56€1.9512
Oct ’24€7.83
€13.97
+78.4%
20.9%€18.94€8.52€1.6212
Sep ’24€10.29
€14.13
+37.3%
15.1%€18.17€11.81€1.2311
Aug ’24n/a
€13.50
0%
16.9%€18.33€11.00€1.8011
Jul ’24€11.98
€13.50
+12.7%
16.9%€18.33€11.00€1.1811
Jun ’24€11.14
€12.35
+10.8%
10.5%€15.48€10.93€1.649
May ’24n/a
€11.41
0%
13.4%€13.83€9.22€1.558
Apr ’24€8.80
€11.41
+29.7%
13.4%€13.83€9.22€3.378
Mar ’24€8.22
€11.44
+39.1%
11.2%€13.20€9.43€5.028
Feb ’24€10.10
€11.54
+14.3%
10.3%€13.30€9.50€5.927
Jan ’24€7.74
€11.90
+53.7%
12.1%€13.51€9.65n/a6
Dec ’23n/a
€11.90
0%
12.1%€13.51€9.65€7.666
Nov ’23€8.44
€9.78
+15.9%
22.1%€12.15€6.07€5.766

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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