AIM:N4P

Stock Analysis Report

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Executive Summary

N4 Pharma Plc, a specialist pharmaceutical company, develops and licenses novel therapeutic products pharmaceutical and biotechnology companies in the United Kingdom.


Snowflake Analysis

Excellent balance sheet with weak fundamentals.

Share Price & News

How has N4 Pharma's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: N4P's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.4%

N4P

0.9%

GB Pharmaceuticals

0.2%

GB Market


1 Year Return

-26.5%

N4P

14.2%

GB Pharmaceuticals

-16.2%

GB Market

Return vs Industry: N4P underperformed the UK Pharmaceuticals industry which returned 15.3% over the past year.

Return vs Market: N4P underperformed the UK Market which returned -15.7% over the past year.


Shareholder returns

N4PIndustryMarket
7 Day2.4%0.9%0.2%
30 Day-15.7%-2.0%-0.7%
90 Day-7.5%16.1%15.8%
1 Year-26.5%-26.5%18.4%14.2%-12.2%-16.2%
3 Year-49.4%-49.4%44.2%27.3%-3.8%-15.6%
5 Yearn/a89.5%52.1%18.3%-8.0%

Price Volatility Vs. Market

How volatile is N4 Pharma's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is N4 Pharma undervalued compared to its fair value and its price relative to the market?

4.42x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate N4P's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate N4P's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: N4P is unprofitable, so we can't compare its PE Ratio to the Pharmaceuticals industry average.

PE vs Market: N4P 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 N4P's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: N4P is overvalued based on its PB Ratio (4.4x) compared to the GB Pharmaceuticals industry average (4.2x).


Next Steps

Future Growth

How is N4 Pharma forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-94.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if N4P's forecast earnings growth is above the savings rate (1.2%).

Earnings vs Market: Insufficient data to determine if N4P's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: N4P is forecast to have no revenue next year.

High Growth Revenue: N4P is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if N4P's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has N4 Pharma performed over the past 5 years?

26.0%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: N4P is currently unprofitable.

Growing Profit Margin: N4P is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if N4P's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare N4P's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: N4P is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (36.3%).


Return on Equity

High ROE: N4P has a negative Return on Equity (-88.76%), as it is currently unprofitable.


Next Steps

Financial Health

How is N4 Pharma's financial position?


Financial Position Analysis

Short Term Liabilities: N4P's short term assets (£1.1M) exceed its short term liabilities (£77.7K).

Long Term Liabilities: N4P has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: N4P's debt to equity ratio (1.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if N4P's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


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: N4P has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: N4P is forecast to have sufficient cash runway for 10 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

What is N4 Pharma current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate N4P's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate N4P's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if N4P's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if N4P'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 N4P'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?

1.3yrs

Average management tenure


CEO

Nigel Theobald (56yo)

3.17yrs

Tenure

UK£70,000

Compensation

Mr. Nigel James Theobald has been Chief Executive Officer of N4 Pharma Plc since May 3, 2017 and serves as its Director. Mr. Theobald served as the Head of Emerge Marketing Ltd., for Alltracel Pharmaceutic ...


CEO Compensation Analysis

Compensation vs Market: Nigel's total compensation ($USD86.67K) is below average for companies of similar size in the UK market ($USD348.99K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Nigel Theobald
Founder3.17yrsUK£70.00k11.16% £730.2k
David Templeton
Part-Time Executive Director & Technical Director3.17yrsUK£62.79kno data
Rob Harris
Head of CMC Development0.42yrno datano data
Andrew Leishman
Consultant1.5yrsno datano data

1.3yrs

Average Tenure

Experienced Management: N4P's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Nigel Theobald
Founder3.17yrsUK£70.00k11.16% £730.2k
David Templeton
Part-Time Executive Director & Technical Director3.17yrsUK£62.79kno data
John Chiplin
Independent Non-Executive Chairman1.17yrsUK£14.67kno data
Luke Cairns
Independent Non-Executive Directorno dataUK£24.00k0.094% £6.1k
Christopher Britten
Independent Non-Executive Director1.17yrsUK£14.92kno data

1.2yrs

Average Tenure

53.5yo

Average Age

Experienced Board: N4P's board of directors are not considered experienced ( 1.2 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 diluted in the past year, with total shares outstanding growing by 50%.


Top Shareholders

Company Information

N4 Pharma Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: N4 Pharma Plc
  • Ticker: N4P
  • Exchange: AIM
  • Founded:
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: UK£6.544m
  • Shares outstanding: 152.19m
  • Website: https://www.n4pharma.com

Number of Employees


Location

  • N4 Pharma Plc
  • 60 Gracechurch Street
  • 6th Floor
  • London
  • Greater London
  • EC3V 0HR
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
N4PAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPMay 2017

Biography

N4 Pharma Plc, a specialist pharmaceutical company, develops and licenses novel therapeutic products pharmaceutical and biotechnology companies in the United Kingdom. It reformulates marketed generic drugs; and improves delivery of novel and existing vaccines and therapeutics. The company is developing Sildenafil for use in treating erectile dysfunction; Sartans for the treatment of hypertension; Aprepitant for use in oncology and pain relief; and Aprepitant for the treatment of premature ejaculation. It is also developing Nuvec, an engineered silica nanoparticle for use in intracellular delivery of large nucleic acids, such as pDNA and mRNA; and Single dose Hepatitis B vaccine. The company has a research collaboration with MedImmune to explore the manufacture of a prototype nanomedicine using its Nuvec system; and Nanomerics Limited to produce and test two candidate formulations using the Nuvec delivery system. N4 Pharma Plc is based in London, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/01 21:05
End of Day Share Price2020/07/01 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.