DB:PK5

Stock Analysis Report

Executive Summary

Basilea Pharmaceutica AG, a commercial stage biopharmaceutical company, focuses on the development of products that address the medical needs in the therapeutic areas of oncology and anti-infectives.

Rewards

Earnings are forecast to grow 71.78% per year

Risk Analysis

No risks detected for PK5 from our risk checks.


Snowflake Analysis

Reasonable growth potential with worrying balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PK5 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

PK5

-2.3%

DE Biotechs

-0.2%

DE Market


1 Year Return

-31.9%

PK5

8.4%

DE Biotechs

13.7%

DE Market

Return vs Industry: PK5 underperformed the German Biotechs industry which returned 5.3% over the past year.

Return vs Market: PK5 underperformed the German Market which returned 17.1% over the past year.


Shareholder returns

PK5IndustryMarket
7 Day0%-2.3%-0.2%
30 Day0%-3.2%0.3%
90 Day0.7%6.3%3.7%
1 Year-31.9%-31.9%8.6%8.4%17.2%13.7%
3 Year-54.5%-54.5%44.5%42.9%15.4%5.3%
5 Year-59.2%-59.2%13.0%10.6%21.3%4.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Basilea Pharmaceutica undervalued compared to its fair value and its price relative to the market?


Share Price vs. Fair Value

Below Fair Value: PK5 (€32.28) is trading above our estimate of fair value (€11.85)

Significantly Below Fair Value: PK5 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PK5 is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: PK5 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 PK5's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PK5 has negative assets, so we can't compare its PB Ratio to the DE Biotechs industry average.


Next Steps

Future Growth

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

71.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PK5 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: PK5 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: PK5's is expected to become profitable in the next 3 years.

Revenue vs Market: PK5's revenue (16.6% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: PK5's revenue (16.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PK5's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Basilea Pharmaceutica performed over the past 5 years?

14.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PK5 is currently unprofitable.

Growing Profit Margin: PK5 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PK5 is unprofitable, but has reduced losses over the past 5 years at a rate of 14% per year.

Accelerating Growth: Unable to compare PK5's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PK5 is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (5.4%).


Return on Equity

High ROE: PK5's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Basilea Pharmaceutica's financial position?


Financial Position Analysis

Short Term Liabilities: PK5 has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: PK5 has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: PK5 has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: PK5's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: PK5 has a low level of unsold assets or inventory.

Debt Coverage by Assets: PK5 has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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: PK5 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if PK5 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%1.3%markettop25%3.7%industryaverage1.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate PK5's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PK5'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 PK5's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PK5's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PK5 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PK5'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?

1.9yrs

Average management tenure


CEO

David Veitch (54yo)

1.4yrs

Tenure

CHF1,505,675

Compensation

Mr. David Veitch has been the Chief Executive Officer of Basilea Pharmaceutica Ltd. since April 19, 2018 and Basilea Pharmaceutica International Ltd., since September 1, 2014. Mr. Veitch served as the Pres ...


CEO Compensation Analysis

Compensation vs Market: David 's total compensation ($USD1.52M) is above average for companies of similar size in the German market ($USD817.80K).

Compensation vs Earnings: Insufficient data to compare David 's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
David Veitch
Chief Executive Officer1.4yrsCHF1.51m0.012% CHF51.9k
Adesh Kaul
Chief Financial Officer0.4yrsno data0.0047% CHF20.0k
Laurenz Kellenberger
Chief Scientific Officer10.7yrsno data0.0047% CHF20.0k
Marc Engelhardt
Chief Medical Officer1.7yrsno datano data
Gerrit Hauck
Chief Technology Officer1.3yrsno datano data
Peer Schröder
Head of Corporate Communications & Investor Relations0yrsno datano data
Damian Heller
General Counsel & Corporate Secretary2.1yrsno datano data
Ursula Eberhardt
Head of Global Human Resources2.7yrsno datano data
Lutz Wevelsiep
Head of Regulatory Affairs13.7yrsno datano data
Dietrich Stüber
Head of Internal Services0yrsno datano data

1.9yrs

Average Tenure

54yo

Average Age

Experienced Management: PK5's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Nicole Onetto
Non-Executive Director2.4yrsCHF186.88kno data
Domenico Scala
Chairman3.4yrsCHF329.94k0.0036% CHF15.6k
Martin Nicklasson
Non-Executive Director6.4yrsCHF231.90kno data
Ronald Scott
Director1.4yrsno data0.072% CHF309.3k
Steven Skolsky
Non-Executive Director11.5yrsCHF190.82kno data
Thomas Werner
Vice-Chairman1.7yrsCHF215.45kno data

2.9yrs

Average Tenure

63.5yo

Average Age

Experienced Board: PK5's board of directors are not considered experienced ( 2.9 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Basilea Pharmaceutica AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Basilea Pharmaceutica AG
  • Ticker: PK5
  • Exchange: DB
  • Founded: 2000
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: CHF464.645m
  • Listing Market Cap: CHF428.459m
  • Shares outstanding: 10.74m
  • Website: https://www.basilea.com

Number of Employees


Location

  • Basilea Pharmaceutica AG
  • Grenzacherstrasse 487
  • Basel
  • Basel-Stadt
  • 4058
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BPMU.FOTCPK (Pink Sheets LLC)YesRegistered SharesUSUSDMar 2004
BSLNSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFMar 2004
PK5DB (Deutsche Boerse AG)YesRegistered SharesDEEURMar 2004
0QNALSE (London Stock Exchange)YesRegistered SharesGBCHFMar 2004

Biography

Basilea Pharmaceutica AG, a commercial stage biopharmaceutical company, focuses on the development of products that address the medical needs in the therapeutic areas of oncology and anti-infectives. It offers isavuconazole, an intravenous and oral azole antifungal drug for the treatment of invasive aspergillosis and mucormycosis in the United States, the European Union, and internationally under the Cresemba brand. The company also provides ceftobiprole, an intravenous antibiotic for the treatment of adult patients with community and hospital-acquired pneumonia, excluding ventilator-associated pneumonia under the Zevtera name in European and various non-European countries. In addition, it engages in developing Derazantinib, an orally administered small molecule inhibitor, which is in a clinical study for the treatment intrahepatic cholangiocarcinoma, a form of biliary tract cancer; BAL101553, a tumor checkpoint controller drug for tumor types unresponsive to standard therapeutics; and BAL3833, an orally available small-molecule drug candidate for use as a panRAF/SRC kinase inhibitor targeting cell signaling pathways. The company was founded in 2000 and is headquartered in Basel, Switzerland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/25 20:35
End of Day Share Price2019/06/28 00:00
Earnings2019/06/30
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.