DB:PDL

Stock Analysis Report

Executive Summary

PDL BioPharma, Inc. acquires, manages, and commercializes commercial stage pharmaceutical assets and late clinical stage pharmaceutical products in the United States, Europe, and internationally.


Snowflake Analysis

Adequate balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PDL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-6.2%

PDL

-4.3%

DE Biotechs

-4.7%

DE Market


1 Year Return

-2.0%

PDL

5.5%

DE Biotechs

8.3%

DE Market

Return vs Industry: PDL underperformed the German Biotechs industry which returned 5.5% over the past year.

Return vs Market: PDL underperformed the German Market which returned 8.3% over the past year.


Shareholder returns

PDLIndustryMarket
7 Day-6.2%-4.3%-4.7%
30 Day5.2%-6.7%-4.0%
90 Day16.9%0.4%-1.4%
1 Year-2.0%-2.0%5.8%5.5%11.7%8.3%
3 Year55.9%55.9%40.9%39.4%11.4%1.6%
5 Year-42.7%-49.2%10.9%8.6%15.1%-0.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is PDL BioPharma undervalued compared to its fair value and its price relative to the market?

38.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PDL (€3.06) is trading below our estimate of fair value (€4.91)

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


Price To Earnings Ratio

PE vs Industry: PDL is poor value based on its PE Ratio (576.7x) compared to the Biotechs industry average (38x).

PE vs Market: PDL is poor value based on its PE Ratio (576.7x) compared to the German market (20.7x).


Price to Earnings Growth Ratio

PEG Ratio: PDL is poor value based on its PEG Ratio (42.1x)


Price to Book Ratio

PB vs Industry: PDL is good value based on its PB Ratio (0.6x) compared to the DE Biotechs industry average (3.5x).


Next Steps

Future Growth

How is PDL BioPharma forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

13.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PDL's forecast earnings growth (13.7% per year) is above the savings rate (-0.4%).

Earnings vs Market: PDL's earnings (13.7% per year) are forecast to grow faster than the German market (13% per year).

High Growth Earnings: PDL's earnings are forecast to grow, but not significantly.

Revenue vs Market: PDL's revenue is expected to decline over the next 3 years (-21.4% per year).

High Growth Revenue: PDL's revenue is forecast to decline over the next 3 years (-21.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has PDL BioPharma performed over the past 5 years?

-55.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PDL has a large one-off gain of $44.3M impacting its September 30 2019 financial results.

Growing Profit Margin: PDL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PDL's earnings have declined by -55.2% per year over the past 5 years.

Accelerating Growth: PDL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PDL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Biotechs industry (-4.7%).


Return on Equity

High ROE: PDL's Return on Equity (0.07%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is PDL BioPharma's financial position?


Financial Position Analysis

Short Term Liabilities: PDL's short term assets ($406.9M) exceed its short term liabilities ($40.9M).

Long Term Liabilities: PDL's short term assets ($406.9M) exceed its long term liabilities ($186.8M).


Debt to Equity History and Analysis

Debt Level: PDL's debt to equity ratio (20.8%) is considered satisfactory.

Reducing Debt: PDL's debt to equity ratio has reduced from 122.3% to 20.8% over the past 5 years.

Debt Coverage: PDL's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if PDL's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: PDL's debt is covered by short term assets (assets are 3.1x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%1.4%markettop25%3.7%industryaverage1.0%forecastin3Years0%

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if PDL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PDL is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PDL'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?

2.1yrs

Average management tenure


CEO

Dominique Monnet (58yo)

1.2yrs

Tenure

US$2,498,240

Compensation

Mr. Dominique P. Monnet serves as Member of Advisory Board at Antibe Therapeutics Inc. since October 2018. Mr. Monnet has been President at PDL BioPharma, Inc. since September 11, 2017 and has been its Chi ...


CEO Compensation Analysis

Compensation vs Market: Dominique's total compensation ($USD2.50M) is above average for companies of similar size in the German market ($USD805.15K).

Compensation vs Earnings: Dominique's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Dominique Monnet
CEO, President & Director1.2yrsUS$2.50m0.33% $1.2m
Christopher Stone
VP, General Counsel & Secretary11yrsUS$2.13m0.17% $628.2k
Edward Imbrogno
VP & Acting CFO0.3yrsno data0.020% $70.6k
Nathan Kryszak
Deputy General Counsel & Assistant Secretary3.1yrsno datano data

2.1yrs

Average Tenure

55yo

Average Age

Experienced Management: PDL's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dominique Monnet
CEO, President & Director1.2yrsUS$2.50m0.33% $1.2m
David Gryska
Independent Director5.9yrsUS$273.06k0.19% $693.1k
Paul Sandman
Independent Director11.3yrsUS$285.00k0.23% $829.8k
Shlomo Yanai
Independent Director1.7yrsUS$206.39k0.048% $171.6k
John McLaughlin
Director11.3yrsUS$4.09m0.44% $1.6m
Elizabeth O'Farrell
Independent Chairperson of the Board0.08yrsUS$211.69k0.055% $199.8k
Natasha Hernday
Independent Director0.7yrsno data0.044% $157.9k

1.7yrs

Average Tenure

64yo

Average Age

Experienced Board: PDL's board of directors are not considered experienced ( 1.7 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: 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

PDL BioPharma, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PDL BioPharma, Inc.
  • Ticker: PDL
  • Exchange: DB
  • Founded: 1986
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$392.224m
  • Listing Market Cap: US$360.532m
  • Shares outstanding: 114.18m
  • Website: https://www.pdl.com

Number of Employees


Location

  • PDL BioPharma, Inc.
  • 932 Southwood Boulevard
  • Incline Village
  • Nevada
  • 89451
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PDLINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1992
PDLDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

PDL BioPharma, Inc. acquires, manages, and commercializes commercial stage pharmaceutical assets and late clinical stage pharmaceutical products in the United States, Europe, and internationally. The company operates in three segments: Pharmaceutical, Medical Devices, and Income Generating Assets. The Pharmaceutical segment manufactures, markets, and sells prescription medicine products for the treatment of hypertension to wholesalers under the Tekturna and Tekturna HCT names in the United States, as well as under the Rasilez and Rasilez HCT names internationally. The Medical Devices segment manufactures, markets, and sells LENSAR laser systems for anterior capsulotomy, lens fragmentation, corneal and arcuate incisions to ophthalmic ambulatory surgical centers, specialty ophthalmic hospitals, and multi-specialty hospitals through a direct sales force. The Income Generating Assets segment consists of notes and other long-term receivables; royalty rights and hybrid notes/royalty receivables; equity investments in healthcare companies; and royalties from issued patents covering the humanization of antibodies, including Avastin, Herceptin, Xolair, Lucentis, Perjeta, Kadcyla, and Tysabri. The company was formerly known as Protein Design Labs, Inc. and changed its name to PDL BioPharma, Inc. in 2006. PDL BioPharma, Inc. was founded in 1986 and is headquartered in Incline Village, Nevada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 21:43
End of Day Share Price2020/02/25 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.