TSE:4597

Stock Analysis Report

Executive Summary

Solasia Pharma K.K. develops drugs in the field of oncology in Asia.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 4597's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.9%

4597

-3.5%

JP Biotechs

-4.6%

JP Market


1 Year Return

-40.3%

4597

-27.0%

JP Biotechs

-15.7%

JP Market

Return vs Industry: 4597 underperformed the JP Biotechs industry which returned -27% over the past year.

Return vs Market: 4597 underperformed the JP Market which returned -15.7% over the past year.


Shareholder returns

4597IndustryMarket
7 Day-0.9%-3.5%-4.6%
30 Day-17.6%-11.5%-11.2%
90 Day-41.3%-27.8%-21.0%
1 Year-40.3%-40.3%-26.9%-27.0%-13.5%-15.7%
3 Year-65.2%-65.2%1.0%0.9%-2.3%-9.2%
5 Yearn/a20.2%19.9%-1.1%-11.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Solasia Pharma K.K undervalued compared to its fair value and its price relative to the market?

1.82x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 4597's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 4597's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 4597 is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: 4597 is unprofitable, so we can't compare its PE Ratio to the JP market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 4597's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 4597 is good value based on its PB Ratio (1.8x) compared to the JP Biotechs industry average (4x).


Next Steps

Future Growth

How is Solasia Pharma K.K forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

35.7%

Forecasted Pharmaceuticals & Biotech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Solasia Pharma K.K has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Solasia Pharma K.K performed over the past 5 years?

-27.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4597 is currently unprofitable.

Growing Profit Margin: 4597 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 4597 is unprofitable, and losses have increased over the past 5 years at a rate of -27.3% per year.

Accelerating Growth: Unable to compare 4597's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 4597 is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-0.7%).


Return on Equity

High ROE: 4597 has a negative Return on Equity (-26.99%), as it is currently unprofitable.


Next Steps

Financial Health

How is Solasia Pharma K.K's financial position?


Financial Position Analysis

Short Term Liabilities: 4597's short term assets (¥4.3B) exceed its short term liabilities (¥925.0M).

Long Term Liabilities: 4597's short term assets (¥4.3B) exceed its long term liabilities (¥104.0M).


Debt to Equity History and Analysis

Debt Level: 4597 is debt free.

Reducing Debt: 4597 has no debt compared to 5 years ago when its debt to equity ratio was 519.6%.


Balance Sheet

Inventory Level: 4597 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 4597'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: 4597 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: 4597 has sufficient cash runway for 2 years if free cash flow continues to reduce at historical rates of -23.2% each year.


Next Steps

Dividend

What is Solasia Pharma K.K's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 4597's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 4597'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 4597's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 4597'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 4597's dividend in 3 years as they are not forecast to pay a notable one for the JP market.


Next Steps

Management

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

4.3yrs

Average board tenure


CEO

Yoshihiro Arai (59yo)

7.17s

Tenure

Mr. Yoshihiro Arai has been the President and Representative Director at Solasia Pharma KK since February 2013. Mr. Arai served as Executive Vice President of Development of JapanBridge, Inc. since Septemb ...


Board Members

NamePositionTenureCompensationOwnership
Yoshihiro Arai
President & Representative Director7.17yrsno data0.46% ¥58.1m
Toshio Miyashita
CFO & Director4.33yrsno data0.37% ¥45.9m
Masahiro Michisuji
External Director11.92yrsno data0.072% ¥9.0m
Makoto Matsuo
External Corporate Auditorno datano datano data
Stanley Lau
Independent Outside Directorno datano datano data
Norikazu Eiki
Independent Outside Director3.92yrsno datano data
Yasuhiro Abe
External Directorno datano datano data
Koichi Sagiya
Full-Time External Corporate Auditorno datano datano data
Tajio Enoki
External Directorno datano datano data
Jiro Mizukawa
Independent Outside Director0.083yrno datano data

4.3yrs

Average Tenure

67yo

Average Age

Experienced Board: 4597's board of directors are considered experienced (4.3 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.8%.


Top Shareholders

Company Information

Solasia Pharma K.K.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Solasia Pharma K.K.
  • Ticker: 4597
  • Exchange: TSE
  • Founded: 2006
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: JP¥12.574b
  • Shares outstanding: 116.43m
  • Website: https://www.solasia.co.jp

Number of Employees


Location

  • Solasia Pharma K.K.
  • Sumitomo Fudosan Shiba-Koen Tower
  • 4th Floor
  • Tokyo
  • 105-0011
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
4597TSE (The Tokyo Stock Exchange)YesCommon SharesJPJPYMar 2017
9SODB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2017

Biography

Solasia Pharma K.K. develops drugs in the field of oncology in Asia. The company offers episil oral liquid for the control and relief of pain; and Sancuso, a transdermal delivery system that delivers granisetron, an anti-emetic into the patient’s bloodstream for the treatment of chemotherapy induced nausea and vomiting. It is also developing SP-02, a mitochondrial-targeted agent, which is in Phase II clinical study to treat various hematologic and solid cancers; and SP-04, which has completed phase IIb clinical trials for chemotherapy induced peripheral neuropathy. The company was founded in 2006 and is based in Tokyo, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/02 19:09
End of Day Share Price2020/04/02 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.