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Pharma Mar

BME:PHM
Snowflake Description

Reasonable growth potential with imperfect balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PHM
BME
€476M
Market Cap
  1. Home
  2. ES
  3. Pharmaceuticals & Biotech
Company description

Pharma Mar, S.A., a biopharmaceutical company, engages in the discovery and development of marine-derived anticancer drugs in Spain and internationally. The last earnings update was 28 days ago. More info.


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  • Pharma Mar has significant price volatility in the past 3 months.
PHM Share Price and Events
7 Day Returns
-0.9%
BME:PHM
-1.9%
ES Biotechs
-2%
ES Market
1 Year Returns
32.8%
BME:PHM
-6.8%
ES Biotechs
-7.8%
ES Market
PHM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Pharma Mar (PHM) -0.9% 8.9% 44.8% 32.8% -13.5% -
ES Biotechs -1.9% -3.1% 0.4% -6.8% 18.1% 49.6%
ES Market -2% -3.6% -0.3% -7.8% 3.6% -16.6%
1 Year Return vs Industry and Market
  • PHM outperformed the Biotechs industry which returned -6.8% over the past year.
  • PHM outperformed the Market in Spain which returned -7.8% over the past year.
Price Volatility
PHM
Industry
5yr Volatility vs Market

PHM Value

 Is Pharma Mar undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Pharma Mar to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Pharma Mar.

BME:PHM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 13%
Perpetual Growth Rate 10-Year ES Government Bond Rate 1.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BME:PHM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year ES Govt Bond Rate 1.5%
Equity Risk Premium S&P Global 8.2%
Biotechs Unlevered Beta Simply Wall St/ S&P Global 1.38
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.38 (1 + (1- 25%) (20.72%))
1.398
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.4
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.53% + (1.398 * 8.18%)
12.96%

Discounted Cash Flow Calculation for BME:PHM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Pharma Mar is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BME:PHM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 12.96%)
2019 -6.00 Analyst x2 -5.31
2020 3.40 Analyst x2 2.66
2021 5.25 Est @ 54.4% 3.64
2022 7.27 Est @ 38.54% 4.47
2023 9.27 Est @ 27.44% 5.04
2024 11.09 Est @ 19.66% 5.34
2025 12.67 Est @ 14.22% 5.40
2026 13.99 Est @ 10.41% 5.28
2027 15.07 Est @ 7.75% 5.03
2028 15.96 Est @ 5.88% 4.72
Present value of next 10 years cash flows €36.26
BME:PHM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= €15.96 × (1 + 1.53%) ÷ (12.96% – 1.53%)
€141.66
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €141.66 ÷ (1 + 12.96%)10
€41.87
BME:PHM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €36.26 + €41.87
€78.13
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €78.13 / 221.23
€0.35
BME:PHM Discount to Share Price
Calculation Result
Value per share (EUR) From above. €0.35
Current discount Discount to share price of €2.15
= -1 x (€2.15 - €0.35) / €0.35
-508.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Pharma Mar is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Pharma Mar's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Pharma Mar's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BME:PHM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in EUR €-0.11
BME:PHM Share Price ** BME (2019-05-24) in EUR €2.15
Europe Biotechs Industry PE Ratio Median Figure of 29 Publicly-Listed Biotechs Companies 21.48x
Spain Market PE Ratio Median Figure of 132 Publicly-Listed Companies 17.76x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Pharma Mar.

BME:PHM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BME:PHM Share Price ÷ EPS (both in EUR)

= 2.15 ÷ -0.11

-19.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Pharma Mar is loss making, we can't compare its value to the Europe Biotechs industry average.
  • Pharma Mar is loss making, we can't compare the value of its earnings to the Spain market.
Price based on expected Growth
Does Pharma Mar's expected growth come at a high price?
Raw Data
BME:PHM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -19.72x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
32.1%per year
Europe Biotechs Industry PEG Ratio Median Figure of 23 Publicly-Listed Biotechs Companies 1.29x
Spain Market PEG Ratio Median Figure of 77 Publicly-Listed Companies 1.53x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Pharma Mar, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Pharma Mar's assets?
Raw Data
BME:PHM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in EUR €0.05
BME:PHM Share Price * BME (2019-05-24) in EUR €2.15
Spain Biotechs Industry PB Ratio Median Figure of 6 Publicly-Listed Biotechs Companies 3.58x
Spain Market PB Ratio Median Figure of 181 Publicly-Listed Companies 1.6x
BME:PHM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BME:PHM Share Price ÷ Book Value per Share (both in EUR)

= 2.15 ÷ 0.05

41.72x

* Primary Listing of Pharma Mar.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Pharma Mar is overvalued based on assets compared to the ES Biotechs industry average.
X
Value checks
We assess Pharma Mar's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Biotechs industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Biotechs industry average (and greater than 0)? (1 check)
  5. Pharma Mar has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

PHM Future Performance

 How is Pharma Mar expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
32.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Pharma Mar expected to grow at an attractive rate?
  • Pharma Mar's earnings growth is expected to exceed the low risk savings rate of 1.5%.
Growth vs Market Checks
  • Pharma Mar's earnings growth is expected to exceed the Spain market average.
  • Pharma Mar's revenue growth is expected to exceed the Spain market average.
Annual Growth Rates Comparison
Raw Data
BME:PHM Future Growth Rates Data Sources
Data Point Source Value (per year)
BME:PHM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 32.1%
BME:PHM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 7.5%
Europe Biotechs Industry Earnings Growth Rate Market Cap Weighted Average 20.1%
Spain Biotechs Industry Revenue Growth Rate Market Cap Weighted Average 5.9%
Spain Market Earnings Growth Rate Market Cap Weighted Average 8.4%
Spain Market Revenue Growth Rate Market Cap Weighted Average 4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BME:PHM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BME:PHM Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 192 -18 1
2020-12-31 136 30 27 2
2019-12-31 138 17 -31 2
BME:PHM Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-03-31 154 -22 -24
2018-12-31 163 -16 -16
2018-09-30 189 -20 -16
2018-06-30 189 -22 -16
2018-03-31 179 -19 -26
2017-12-31 159 -1 -28
2017-09-30 182 4 -22
2017-06-30 186 9 -18
2017-03-31 184 13 -19
2016-12-31 181 -8 -24
2016-09-30 187 -18
2016-06-30 188 5 -10

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Pharma Mar's earnings are expected to grow significantly at over 20% yearly.
  • Pharma Mar's revenue is expected to grow by 7.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BME:PHM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Pharma Mar Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BME:PHM Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 -0.08 -0.08 -0.08 1.00
2020-12-31 0.12 0.12 0.12 1.00
2019-12-31 -0.14 -0.14 -0.14 1.00
BME:PHM Past Financials Data
Date (Data in EUR Millions) EPS *
2019-03-31 -0.11
2018-12-31 -0.07
2018-09-30
2018-06-30
2018-03-31
2017-12-31 -0.13
2017-09-30
2017-06-30 -0.08
2017-03-31
2016-12-31 -0.11
2016-09-30
2016-06-30 -0.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Pharma Mar will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Pharma Mar's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Spain market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Pharma Mar has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

PHM Past Performance

  How has Pharma Mar performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Pharma Mar's growth in the last year to its industry (Biotechs).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Pharma Mar does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Pharma Mar's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Pharma Mar's 1-year growth to the Europe Biotechs industry average as it is not currently profitable.
Earnings and Revenue History
Pharma Mar's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Pharma Mar Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BME:PHM Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 154.20 -24.12 59.01 69.30
2018-12-31 162.59 -16.19 59.25 74.01
2018-09-30 188.90 -16.33 66.07 79.90
2018-06-30 189.40 -16.25 66.03 78.54
2018-03-31 178.55 -25.60 64.87 78.54
2017-12-31 158.88 -28.19 57.62 78.54
2017-09-30 181.73 -21.96 67.28 76.69
2017-06-30 185.74 -18.34 74.49 78.42
2017-03-31 184.25 -19.41 67.36 77.55
2016-12-31 180.95 -24.08 68.02 78.42
2016-09-30 186.85 -17.63 68.47 74.67
2016-06-30 188.46 -9.93 71.50 60.29
2016-03-31 190.39 -7.02 70.38 66.38
2015-12-31 193.82 6.59 68.60 60.29
2014-12-31 174.80 13.17 59.83 46.48
2013-12-31 74.35 11.87 59.08
2012-12-31 66.08 9.53 59.70

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Pharma Mar has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Pharma Mar has efficiently used its assets last year compared to the Europe Biotechs industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Pharma Mar improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Pharma Mar's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Biotechs industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Pharma Mar has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

PHM Health

 How is Pharma Mar's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Pharma Mar's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Pharma Mar is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Pharma Mar's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Pharma Mar's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Pharma Mar Company Filings, last reported 1 month ago.

BME:PHM Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 7.50 98.58 13.78
2018-12-31 17.47 93.41 26.88
2018-09-30 28.24 98.70 30.43
2018-06-30 26.13 109.86 18.95
2018-03-31 21.65 101.32 23.56
2017-12-31 22.98 100.00 31.76
2017-09-30 35.23 98.93 31.54
2017-06-30 43.19 103.73 41.10
2017-03-31 46.10 94.66 40.11
2016-12-31 48.50 95.49 32.37
2016-09-30 56.11 100.15 32.39
2016-06-30 58.65 107.90 39.44
2016-03-31 65.47 105.17 43.52
2015-12-31 73.04 93.62 45.63
2014-12-31 60.07 91.51 35.51
2013-12-31 126.58 341.27 11.56
2012-12-31 113.96 346.63 5.79
  • Pharma Mar's level of debt (1314.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (253.7% vs 1314.9% today).
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.

  • Pharma Mar has less than a year of cash runway based on current free cash flow.
  • Pharma Mar has less than a year of cash runway if free cash flow continues to grow at historical rates of 76.9% each year.
X
Financial health checks
We assess Pharma Mar's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Pharma Mar has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

PHM Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Pharma Mar dividends.
If you bought €2,000 of Pharma Mar shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Pharma Mar's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Pharma Mar's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BME:PHM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Europe Biotechs Industry Average Dividend Yield Market Cap Weighted Average of 9 Stocks 0.9%
Spain Market Average Dividend Yield Market Cap Weighted Average of 76 Stocks 4.5%
Spain Minimum Threshold Dividend Yield 10th Percentile 1.3%
Spain Bottom 25% Dividend Yield 25th Percentile 2.3%
Spain Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BME:PHM Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Pharma Mar has not reported any payouts.
  • Unable to verify if Pharma Mar's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Pharma Mar's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Pharma Mar has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Pharma Mar's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Pharma Mar afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Pharma Mar has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

PHM Management

 What is the CEO of Pharma Mar's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
José Fernández Sousa-Faro
COMPENSATION €294,000
CEO Bio

Dr. José María Fernández Sousa-Faro, Ph.D., founded Pharma Mar, S.A.U. in 1986. He Founded Noscira, S.A., in 2000. Dr. Fernández Sousa-Faro serves as the Chief Executive Officer and President of Pharma Mar, S.A.U. Dr. Sousa-Faro serves as the Chief Executive Officer of Zeltia SA. He has been President of ASEBIO since June 2008. Dr. Fernández Sousa-Faro was employed by Antibióticos, S.A. as Research Director from 1979 to 1985. In this position, Dr. Fernández Sousa-Faro was responsible for all Research Projects and Research personnel of Antibióticos, S.A., including the Screening and Recombinant DNA projects. He also served as President at Zeltia SA since 1985. He currently serves as Member of Board of Director at Fundación Innovación Bankinter. He serves as Executive Chairman at Pharma Mar, S.A.U. He also serves as Chairman of the Board at Noscira, S.A. He is also Chairman of Genomica, Noscira and Sylentis. He served as the Chairman of Zeltia SA and served as its Director since 1971. He was Member of the Board of Directors in Antibioticos Co., Penibérica, Biolys, ICI-Farma, Pescanova, Transfesa, Cooper-Zeltia, ICI-Zeltia and Banco Guipuzcoano. He is a University Professor in Biochemistry in the University Complutense of Madrid and University of Santiago de Compostela. Dr. Fernández Sousa-Faro has to his credit an extensive list of publications and owns various patents in the fields of biochemistry, antibiotics and molecular biology. He has over 25 years of experience in pharmaceutical and chemical companies, including ICI-Pharma, Shell-Research and Antibiotics. Between 1967 and 1979, he worked for short periods of time at the following institutions: Division Research Laboratories, Physikalish-Chemisches Institute of Basel University (Switzerland), Department of Biological Chemistry of the Washington University of St. Louis, Missouri and Institute de Biologie Physico-Chimique de la Fondation Edmond de Rothschild of Paris, France. Dr. Fernández Sousa has more than 90 publications and patents in the areas of biochemistry, antibiotics antitumorals and molecular biology. In addition, he has occupied various positions in investigation and education in Spain, Europe and the United States, among others a Biochemistry Chairman at the Complutense University of Madrid and the University of Santiago de Compostela. He received a Bachelor's Degree in Company Management and MBA from IESE. Dr. Fernández Sousa-Faro earned his licentiature in Chemical Sciences and received a Doctorate (PhD) in Biochemistry in 1971, received his Master of Science Degree in Chemistry in 1967 from (Complutense University of Madrid).

CEO Compensation
  • José's compensation has increased whilst company is loss making.
  • José's remuneration is higher than average for companies of similar size in Spain.
Management Team Tenure

Average tenure of the Pharma Mar management team in years:

8.7
Average Tenure
  • The average tenure for the Pharma Mar management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

José Fernández Sousa-Faro

TITLE
Founder
COMPENSATION
€294K

Pedro Fernández Puentes

TITLE
Executive Vice-Chairman
COMPENSATION
€124K

Juan Carretero

TITLE
AGE
69

María de Francia Caballero

TITLE
Chief Financial Officer
TENURE
19.3 yrs

Pascal Besman

TITLE
Chief Operating Officer
TENURE
2.5 yrs

Elena Crespo

TITLE
Director of Finance & Administration
TENURE
11.1 yrs

José Martinez-Losa

TITLE
Director of Investor Relations & Capital Markets
TENURE
4.3 yrs

Sebastián Miranda

TITLE
Chief Legal Officer

Juan Nogués

TITLE
Director of Marketing and Sales
TENURE
6.3 yrs

Luis Rupérez

TITLE
Director of Human Resources & Information Technologies
TENURE
15.8 yrs
Board of Directors

Pedro Fernández Puentes

TITLE
Executive Vice-Chairman
COMPENSATION
€124K

M. Carlos Catalán

TITLE
Independent Director
COMPENSATION
€35K
AGE
74

José Fernández Sousa-Faro

TITLE
Founder
COMPENSATION
€294K

Eduardo Serra Rexach

TITLE
Director
COMPENSATION
€35K
AGE
72

Jaime Zurita Sáenz de Navarrete

TITLE
Lead Independent Director
COMPENSATION
€54K
TENURE
1.9 yrs

José Félix Carceller

TITLE
Director

Ana Palacio del Vallelersundi

TITLE
Independent Director
COMPENSATION
€77K

Montserrat Andrade Detrell

TITLE
Proprietary Director
COMPENSATION
€34K

José Verdejo

TITLE
Director

Valentín de Torres-Solanot del Pino

TITLE
Independent Director
AGE
57
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Pharma Mar's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Pharma Mar has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

PHM News

Simply Wall St News

The Pharma Mar (BME:PHM) Share Price Is Up 24% And Shareholders Are Holding On

View our latest analysis for Pharma Mar Pharma Mar isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … To us that means that there isn't a lot of correlation between the past revenue performance and the share price, but a closer look at analyst forecasts and the bottom line may well explain a lot. … Shareholders might want to examine this detailed historical graph of past earnings, revenue and cash flow.

Simply Wall St -

Those Who Purchased Pharma Mar (BME:PHM) Shares Three Years Ago Have A 34% Loss To Show For It

When a company doesn't make profits, we'd generally expect to see good revenue growth. … Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth. … Over the last three years, Pharma Mar's revenue dropped 3.2% per year.

Simply Wall St -

Pharma Mar, S.A. (BME:PHM): When Will It Breakeven?

Pharma Mar, S.A., a biopharmaceutical company, engages in the discovery and development of marine-derived anticancer drugs in Spain and internationally. … As path to profitability is the topic on PHM’s investors mind, I’ve decided to gauge market sentiment. … Below I will provide a high-level summary of the industry analysts’ expectations for PHM

Simply Wall St -

What Kind Of Investor Owns Most Of Pharma Mar, S.A. (BME:PHM)?

Generally speaking, as a company grows, institutions will increase their ownership. … So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … institutions don't own many shares in the company.

Simply Wall St -

Before You Buy Pharma Mar, S.A. (BME:PHM), Consider Its Volatility

(BME:PHM), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

A Look At The Intrinsic Value Of Pharma Mar SA (BME:PHM)

by taking the expected future cash flows and discounting them to today's value. … discounted cash flows (DCF). … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Does Pharma Mar SA (BME:PHM) Go Up With The Market?

Generally, an investor should consider two types of risk that impact the market value of PHM. … Not every stock is exposed to the same level of market risk. … A widely-used metric to measure a stock's market risk is beta, and the broad market index represents a beta value of one.

Simply Wall St -

A Look At The Intrinsic Value Of Pharma Mar SA (BME:PHM)

Today I will be providing a simple run through of a valuation method used to estimate the attractiveness of Pharma Mar SA (BME:PHM) as an investment opportunity. … by estimating the company's future cash flows and discounting them to their present value. … Discounted Cash Flows (DCF).

Simply Wall St -

Does Pharma Mar SA. (BME:PHM) Fall With The Market?

A popular measure of market risk for a stock is its beta, and the market as a whole represents a beta value of one. … Therefore, this is a type of risk which is associated with higher beta. … However, this is the opposite to what PHM’s actual beta value suggests, which is higher stock volatility relative to the market.

Simply Wall St -

Is Pharma Mar SA. (BME:PHM) Still A Cheap Healthcare Stock?

The growth in development of new drugs for unmet needs, as well as the ongoing and increasing need for biotech drugs as Baby Boomer generation continues to age, are growth drivers for the positive outlook in the biotech industry over the long term. … Pharma Mar lags the pack with its negative growth rate of -11.02% over the past year, which indicates the company will be growing at a slower pace than its biotech peers. … If Pharma Mar has been on your watchlist for a while, now may be the time to enter into the stock, if you like its growth prospects and are not highly concentrated in the biotech industry.

Simply Wall St -

PHM Company Info

Description

Pharma Mar, S.A., a biopharmaceutical company, engages in the discovery and development of marine-derived anticancer drugs in Spain and internationally. The company operates through two segments, Biopharmaceuticals and Consumer Chemicals. It develops and commercializes Yondelis, an antitumor agent for the treatment of advanced soft tissue sarcomas and for relapsed ovarian cancer. The company also develops clinical-stage programs, including Aplidin, Lurbinectedin, PM184, and PM14. In addition, it develops and provides diagnostics kit for genetic diagnostics and DNA analysis; and produces and markets insecticides and air fresheners for household use, household products, wood treatment and decoration products, paints, and similar products. Pharma Mar, S.A. was founded in 1986 and is based in Madrid, Spain.

Details
Name: Pharma Mar, S.A.
PHM
Exchange: BME
Founded: 1986
€475,651,708
221,233,353
Website: http://www.pharmamar.com
Address: Pharma Mar, S.A.
Avda. De los Reyes, 1,
Pol. Industrial La Mina – Norte,
Madrid,
Madrid, 28770,
Spain
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BME PHM Bearer Shares Bolsas y Mercados Espanoles ES EUR 02. Nov 2015
OTCPK PHMM.F Bearer Shares Pink Sheets LLC US USD 02. Nov 2015
DB PMR Bearer Shares Deutsche Boerse AG DE EUR 02. Nov 2015
LSE 0RC6 Bearer Shares London Stock Exchange GB EUR 02. Nov 2015
BATS-CHIXE PHME Bearer Shares BATS 'Chi-X Europe' GB EUR 02. Nov 2015
Number of employees
Current staff
Staff numbers
599
Pharma Mar employees.
Industry
Biotechnology
Pharmaceuticals & Biotech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/24 22:11
End of day share price update: 2019/05/24 00:00
Last estimates confirmation: 2019/05/23
Last earnings filing: 2019/04/26
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.