DB:SP4N

Stock Analysis Report

Executive Summary

Achieve Life Sciences, Inc., a clinical-stage pharmaceutical company, develops and commercializes smoking cessation aids in the United States and internationally.

Rewards

Earnings are forecast to grow 63.89% per year

Risk Analysis

Has less than 1 year of cash runway

Shareholders have been substantially diluted in the past year

Highly volatile share price over past 3 months

Does not have a meaningful market cap (€11M)



Snowflake Analysis

Adequate balance sheet with moderate growth potential.

Share Price & News

How has Achieve Life Sciences's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SP4N's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

28.2%

SP4N

1.0%

DE Biotechs

2.0%

DE Market


1 Year Return

-67.6%

SP4N

6.8%

DE Biotechs

15.1%

DE Market

Return vs Industry: SP4N underperformed the German Biotechs industry which returned 6.2% over the past year.

Return vs Market: SP4N underperformed the German Market which returned 15% over the past year.


Shareholder returns

SP4NIndustryMarket
7 Day28.2%1.0%2.0%
30 Day-15.1%-1.2%1.0%
90 Day-34.7%7.4%3.8%
1 Year-67.6%-67.6%7.1%6.8%18.6%15.1%
3 Yearn/a48.3%46.6%16.8%6.6%
5 Yearn/a11.4%9.0%23.7%6.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Achieve Life Sciences undervalued compared to its fair value and its price relative to the market?

0.53x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate SP4N's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate SP4N's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: SP4N is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: SP4N 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 SP4N's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SP4N is good value based on its PB Ratio (0.5x) compared to the DE Biotechs industry average (3.5x).


Next Steps

Future Growth

How is Achieve Life Sciences forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

63.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SP4N is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: SP4N is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SP4N's is expected to become profitable in the next 3 years.

Revenue vs Market: Insufficient data to determine if SP4N's revenue is forecast to grow faster than the German market.

High Growth Revenue: Insufficient data to determine if SP4N's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SP4N's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Achieve Life Sciences performed over the past 5 years?

-48.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SP4N is currently unprofitable.

Growing Profit Margin: SP4N is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SP4N is unprofitable, and losses have increased over the past 5 years at a rate of -48.8% per year.

Accelerating Growth: Unable to compare SP4N's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SP4N is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-4.7%).


Return on Equity

High ROE: SP4N has a negative Return on Equity (-206.83%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Achieve Life Sciences's financial position?


Financial Position Analysis

Short Term Liabilities: SP4N's short term assets ($7.6M) exceed its short term liabilities ($3.1M).

Long Term Liabilities: SP4N's short term assets ($7.6M) exceed its long term liabilities ($212.0K).


Debt to Equity History and Analysis

Debt Level: SP4N is debt free.

Reducing Debt: SP4N had no debt 5 years ago.


Balance Sheet

Inventory Level: SP4N has a low level of unsold assets or inventory.

Debt Coverage by Assets: SP4N's debt is not covered by short term assets (assets are -18.2x 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: SP4N has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: SP4N has less than a year of cash runway if free cash flow continues to reduce at historical rates of -54.8% each year


Next Steps

Dividend

What is Achieve Life Sciences's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate SP4N's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate SP4N'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 SP4N's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SP4N'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 SP4N'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?

3.1yrs

Average management tenure


CEO

Rick Stewart (60yo)

2.5yrs

Tenure

US$1,090,265

Compensation

Dr. Richard A. B. Stewart, also known as Rick, has been Chairman, Chief Executive Officer and Director of Achieve Life Sciences, Inc. since August 2017. Dr. Stewart has been a Founder of Ricanto Limited, a ...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD1.09M) is above average for companies of similar size in the German market ($USD412.37K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Richard A. Stewart
Chairman of the Board & CEO2.5yrsUS$1.09m1.05% $107.3k
Anthony Clarke
President2.5yrsUS$721.93k0.43% $44.4k
John Bencich
Executive VP5.5yrsUS$694.71k0.010% $1.0k
Cindy Jacobs
Executive VP & Chief Medical Officer11.5yrsUS$712.21k0.013% $1.4k
Jaime Xinos
Executive Vice President of Commercial3.1yrsno datano data

3.1yrs

Average Tenure

60.5yo

Average Age

Experienced Management: SP4N's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Richard A. Stewart
Chairman of the Board & CEO2.5yrsUS$1.09m1.05% $107.3k
Anthony Clarke
President2.5yrsUS$721.93k0.43% $44.4k
H. Parker
Non-Employee Director9.9yrsUS$82.15k0.00056% $57.2
Jay Moyes
Non-Employee Director2.5yrsUS$80.65kno data
Scott Cormack
Non-Employee Director11.5yrsUS$62.15k0.012% $1.2k
Donald Joseph
Lead Independent Director0yrsUS$98.15kno data
Martin Mattingly
Non-Employee Director9.7yrsUS$83.15k0.00045% $46.0

6.1yrs

Average Tenure

63yo

Average Age

Experienced Board: SP4N's board of directors are considered experienced (6.1 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 been substantially diluted in the past year, with total shares outstanding growing by 236.5%.


Top Shareholders

Company Information

Achieve Life Sciences, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Achieve Life Sciences, Inc.
  • Ticker: SP4N
  • Exchange: DB
  • Founded:
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$11.074m
  • Listing Market Cap: US$10.221m
  • Shares outstanding: 20.93m
  • Website: https://www.achievelifesciences.com

Number of Employees


Location

  • Achieve Life Sciences, Inc.
  • 1040 West Georgia Street
  • Suite 1030
  • Vancouver
  • British Columbia
  • V6E 4H1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ACHVNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDAug 2017
SP4NDB (Deutsche Boerse AG)YesCommon StockDEEURAug 2017

Biography

Achieve Life Sciences, Inc., a clinical-stage pharmaceutical company, develops and commercializes smoking cessation aids in the United States and internationally. The company offers cytisinicline, a plant-based alkaloid that interacts with nicotine receptors in the brain to help reduce the severity of nicotine withdrawal symptoms. It has license agreements with Sopharma AD and University of Bristol; and a strategic collaboration with National Institutes of Health for the development of cytisinicline for smoking cessation. The company is based in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 22:44
End of Day Share Price2020/02/17 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.