AIM:AOR

Stock Analysis Report

Executive Summary

AorTech International plc, together with its subsidiaries, focuses on the commercialization of its biomedical polymer technology, components, and medical devices in the United Kingdom.


Snowflake Analysis

Flawless balance sheet with limited growth.

Share Price & News

How has AorTech International's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

21.7%

AOR

13.7%

GB Medical Equipment

10.0%

GB Market


1 Year Return

17.6%

AOR

-1.1%

GB Medical Equipment

-23.0%

GB Market

Return vs Industry: AOR exceeded the UK Medical Equipment industry which returned -1.4% over the past year.

Return vs Market: AOR exceeded the UK Market which returned -22.7% over the past year.


Shareholder returns

AORIndustryMarket
7 Day21.7%13.7%10.0%
30 Day-9.7%-15.3%-17.6%
90 Day-30.7%-18.5%-27.3%
1 Year17.6%17.6%0.7%-1.1%-18.9%-23.0%
3 Year438.5%438.5%5.7%0.9%-12.9%-24.2%
5 Year182.8%182.8%37.3%25.7%1.6%-21.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is AorTech International undervalued compared to its fair value and its price relative to the market?

3.62x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

PE vs Market: AOR is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AOR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AOR is overvalued based on its PB Ratio (3.6x) compared to the GB Medical Equipment industry average (2.9x).


Next Steps

Future Growth

How is AorTech International forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-24.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AOR is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: AOR is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: AOR is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: AOR's revenue (61.4% per year) is forecast to grow faster than the UK market (2.6% per year).

High Growth Revenue: AOR's revenue (61.4% per year) 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 AOR's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has AorTech International performed over the past 5 years?

-4.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AOR is currently unprofitable.

Growing Profit Margin: AOR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AOR is unprofitable, and losses have increased over the past 5 years at a rate of -4.5% per year.

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

Earnings vs Industry: AOR is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (-7.4%).


Return on Equity

High ROE: AOR has a negative Return on Equity (-19.07%), as it is currently unprofitable.


Next Steps

Financial Health

How is AorTech International's financial position?


Financial Position Analysis

Short Term Liabilities: AOR's short term assets (£2.6M) exceed its short term liabilities (£80.0K).

Long Term Liabilities: AOR has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: AOR is debt free.

Reducing Debt: AOR has not had any debt for past 5 years.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if AOR's debt is 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: AOR has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: AOR has sufficient cash runway for 2.7 years if free cash flow continues to reduce at historical rates of -18.1% each year.


Next Steps

Dividend

What is AorTech International's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if AOR'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 AOR's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average board tenure


CEO

Bill Brown (55yo)

no data

Tenure

UK£180,022

Compensation

Mr. William Donald Brown, also known as Bill, serves as the Finance Director and CEO at AorTech International plc. Mr. Brown serves as a Fund manager at F&C Asset Management plc. Mr. Brown was a Partner of ...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD223.33K) is below average for companies of similar size in the UK market ($USD332.86K).

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


Board Members

NamePositionTenureCompensationOwnership
William Brown
CEO, Executive Chairman & Finance Directorno dataUK£180.02k3.45% £354.7k
John McKenna
Director of Clinical Marketing & Executive Director3.42yrsUK£60.38k0.13% £13.1k
James Wright
Non-Executive Director14.33yrsUK£18.00k4.37% £449.2k
John Ely
Non-Executive Director1.75yrsUK£14.55kno data
David Richmond
Non-Executive Director1.75yrsUK£14.50k0.23% £23.3k
Geoffrey Berg
Non-Executive Director1.75yrsUK£14.50k0.11% £11.7k

2.6yrs

Average Tenure

64.5yo

Average Age

Experienced Board: AOR's board of directors are not considered experienced ( 2.6 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 been substantially diluted in the past year, with total shares outstanding growing by 75.4%.


Top Shareholders

Company Information

AorTech International plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AorTech International plc
  • Ticker: AOR
  • Exchange: AIM
  • Founded: 1996
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: UK£10.281m
  • Shares outstanding: 14.69m
  • Website: https://www.aortech.net

Number of Employees


Location

  • AorTech International plc
  • Springfield House
  • Level Two
  • Weybridge
  • Surrey
  • KT13 9LZ
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AORAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPFeb 1997
AOHADB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 1997

Biography

AorTech International plc, together with its subsidiaries, focuses on the commercialization of its biomedical polymer technology, components, and medical devices in the United Kingdom. The company offers Elast-Eon, a bio stable polyurethane material used in long term implantation; and Elast-Eon Carbonate Silicone, a family of biomedical polymers for applications in cardiac pacing leads, orthopedics, and spinal discs, as well as in other applications where the device requires a high level of mechanical performance. It also provides Elast-Eon Reaction Injection Molding products for use in high-precision medical device components. In addition, the company licenses its technology; and offers support services to other medical device companies. AorTech International plc was incorporated in 1996 and is headquartered in Weybridge, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 20:52
End of Day Share Price2020/03/30 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.