AIM:SLN

Stock Analysis Report

Executive Summary

Silence Therapeutics plc focuses on the discovery, development, and delivery of novel RNA therapeutics in haematology, cardiovascular, and other rare and metabolic indications.

Snowflake

Fundamentals

Excellent balance sheet with concerning outlook.

Share Price & News

How has Silence Therapeutics's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

27.0%

SLN

0.5%

GB Biotechs

1.7%

GB Market


1 Year Return

106.0%

SLN

26.9%

GB Biotechs

2.9%

GB Market

Return vs Industry: SLN exceeded the UK Biotechs industry which returned 26.9% over the past year.

Return vs Market: SLN exceeded the UK Market which returned 2.9% over the past year.


Shareholder returns

SLNIndustryMarket
7 Day27.0%0.5%1.7%
30 Day7.1%3.2%-0.7%
90 Day67.8%2.1%-1.8%
1 Year106.0%106.0%27.9%26.9%8.0%2.9%
3 Year122.2%122.2%12.3%10.3%18.2%3.8%
5 Year2.1%2.1%55.5%51.8%35.6%6.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Silence Therapeutics undervalued compared to its fair value and its price relative to the market?

6.29x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: SLN (£2.4) is trading above our estimate of fair value (£0.32)

Significantly Undervalued: SLN is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SLN is overvalued based on its PB Ratio (6.3x) compared to the GB Biotechs industry average (1.8x).


Next Steps

Future Growth

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

12.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

Earnings vs Market: Insufficient data to determine if SLN'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: SLN's revenue (12% per year) is forecast to grow faster than the UK market (3.9% per year).

High Growth Revenue: SLN's revenue (12% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Silence Therapeutics performed over the past 5 years?

-6.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SLN is unprofitable, and losses have increased over the past 5 years at a rate of -6.9% per year.

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

Earnings vs Industry: SLN is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-2.3%).


Return on Equity

High ROE: SLN has a negative Return on Equity (-66.03%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: SLN is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: SLN is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Silence Therapeutics's financial position?


Financial Position Analysis

Short Term Liabilities: SLN's short term assets (£20.8M) exceeds its short term liabilities (£2.9M)

Long Term Liabilities: SLN has no long term liabilities


Debt to Equity History and Analysis

Debt Level: SLN is debt free.

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


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if SLN'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: SLN has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: SLN has sufficient cash runway for 1.069651 years if free cash flow continues to reduce at historical rates of -24.6% each year.


Next Steps

Dividend

What is Silence Therapeutics's current dividend yield, its reliability and sustainability?

1.25%

Forecast Dividend Yield


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.4%industryaverage0.8%forecastin3Years1.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Next Steps

Management

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

1.0yrs

Average management tenure


CEO

David Solomon (59yo)

1.3yrs

Tenure

UK£349,000

Compensation

Dr. David Horn Solomon, M.D., has been Chief Executive Officer & Director at Silence Therapeutics plc since July 17, 2018. Dr. Solomon served as Chief Executive Officer of Akari Therapeutics, Plc from Augu ...


CEO Compensation Analysis

Compensation vs. Market: David has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the UK market.

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


Management Age and Tenure

1.0yrs

Average Tenure

Experienced Management: SLN's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Age and Tenure

1.3yrs

Average Tenure

59.5yo

Average Age

Experienced Board: SLN's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: SLN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£7,44004 Oct 19
David Lemus
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares4,000
Max PriceUK£1.86
BuyUK£5,99303 Oct 19
Alistair Gray
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares3,171
Max PriceUK£1.89
BuyUK£19,30002 Oct 19
Steven Romano
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares10,000
Max PriceUK£1.93
BuyUK£47,00030 Sep 19
Iain Ross
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares25,000
Max PriceUK£1.88

Ownership Breakdown


Management Team

  • David Solomon (59yo)

    CEO & Director

    • Tenure: 1.3yrs
    • Compensation: UK£349.00k
  • Giles Campion (65yo)

    Head of R&D and Chief Medical Officer

    • Tenure: 0.3yrs
  • John Strafford

    VP & Head of Business Development

    • Tenure: 0.4yrs
  • Mark Cameron

    Head of Chemistry

    • Tenure: 3.4yrs
  • Richard Jenkins

    Head of Clinical Development

    • Tenure: 1.3yrs
  • Rob Quinn

    CFO & Secretary

    • Tenure: 0.8yrs
  • Linnea Elrington

    VP & Head of Human Resources

    • Tenure: 1.9yrs
  • Jørgen Wittendorff

    Head of Manufacturing

    • Tenure: 0.2yrs

Board Members

  • Dave Lemus (56yo)

    Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: UK£25.00k
  • David Solomon (59yo)

    CEO & Director

    • Tenure: 1.3yrs
    • Compensation: UK£349.00k
  • Iain Ross (65yo)

    Non-Executive Chairman

    • Tenure: 0.5yrs
  • James Ede-Golightly (39yo)

    Non-Executive Director

    • Tenure: 0.5yrs
  • Alistair Gray (71yo)

    Non-Executive Director

    • Tenure: 3.9yrs
    • Compensation: UK£50.00k
  • Jörg Vollmer

    Chairman of Technology Advisory Board

    • Tenure: 0yrs
  • Steven Romano (60yo)

    Non-Executive Director

    • Tenure: 0.3yrs
  • Kevin Morris

    Member of Technology Advisory Board

    • Tenure: 3.4yrs
  • Ekkehard Leberer

    Member of Technology Advisory Board

    • Tenure: 2.1yrs

Company Information

Silence Therapeutics plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Silence Therapeutics plc
  • Ticker: SLN
  • Exchange: AIM
  • Founded:
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: UK£187.985m
  • Shares outstanding: 78.33m
  • Website: https://www.silence-therapeutics.com

Number of Employees


Location

  • Silence Therapeutics plc
  • 72 Hammersmith Road
  • London
  • Greater London
  • W14 8TH
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SLNAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPApr 1995
XRP1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 1995
SLNC.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 1995

Biography

Silence Therapeutics plc focuses on the discovery, development, and delivery of novel RNA therapeutics in haematology, cardiovascular, and other rare and metabolic indications. The company designs short in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 20:36
End of Day Share Price2019/10/17 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.