NasdaqGM:AVDR

Stock Analysis Report

Executive Summary

Avedro, Inc., an ophthalmic pharmaceutical and medical device company, develops and commercializes products to treat ophthalmic disorders and conditions, primarily associated with corneal weakness.

Snowflake

Fundamentals

High growth potential with mediocre balance sheet.

Risks

  • Avedro has significant price volatility in the past 3 months.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

2.5%

NasdaqGM:AVDR

0.8%

US Medical Equipment

1.1%

US Market


1 Year Return

n/a

NasdaqGM:AVDR

9.6%

US Medical Equipment

2.1%

US Market

No trading data on AVDR.

No trading data on AVDR.


Share holder returns

AVDRIndustryMarket
7 Day2.5%0.8%1.1%
30 Day12.8%0.2%3.7%
90 Day21.7%2.7%2.3%
1 Yearn/a10.5%9.6%4.4%2.1%
3 Yearn/a69.5%64.3%47.0%37.4%
5 Yearn/a132.5%105.9%61.6%43.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

37%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Avedro's share price is below the future cash flow value, and at a moderate discount (> 20%).

Avedro's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Avedro is loss making, we can't compare its value to the US Medical Equipment industry average.

Avedro is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Avedro, we can't assess if its growth is good value.


Price Based on Value of Assets

Avedro is overvalued based on assets compared to the US Medical Equipment industry average.


Next Steps

Future Growth

How is Avedro expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

49.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Avedro's revenue is expected to grow significantly at over 20% yearly.

Avedro's earnings are expected to grow significantly at over 20% yearly.

Avedro's revenue growth is expected to exceed the United States of America market average.

Avedro's earnings growth is expected to exceed the United States of America market average.

Avedro's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Avedro will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has Avedro performed over the past 5 years?

-15.7%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Avedro does not make a profit and there is insufficient past data to establish if their 5 year on year earnings growth rate was positive.

Unable to compare Avedro's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Avedro's 1-year growth to the US Medical Equipment industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Avedro has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Avedro has efficiently used its assets last year compared to the US Medical Equipment industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Avedro improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Avedro's financial position?


Financial Position Analysis

Avedro is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Avedro's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Avedro's level of debt (41.4%) compared to net worth is high (greater than 40%).

Unable to establish if Avedro's debt level has increased without past 5-year debt data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 3.7x debt.


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.

Avedro has sufficient cash runway for 2.4 years based on current free cash flow.

Unable to confirm if Avedro has at least 1 year of cash runway based on growing free cash flows without relevant data.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Avedro's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Avedro's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Avedro has not reported any payouts.

Unable to verify if Avedro's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Avedro has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Avedro's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Reza Zadno (64yo)

3yrs

Tenure

US$1,719,991

Compensation

Dr. Reza Zadno, Ph.D., has been Chief Executive Officer at Avedro, Inc. since September 2016. Dr. Zando serves as a President and Director of Avedro, Inc. From July 2016 to August 2016, he served as Interi ...


CEO Compensation Analysis

Reza's remuneration is about average for companies of similar size in United States of America.

Reza's compensation has increased whilst company is loss making.


Management Age and Tenure

2.7yrs

Average Tenure

55.5yo

Average Age

The tenure for the Avedro management team is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$49,00020 Feb 19
Donald Zurbay
EntityIndividual
Role
Member of the Board of Directors
Director
Shares3,500
Max PriceUS$14.00
BuyUS$1,999,99820 Feb 19
HealthQuest Capital
EntityCompany
Shares142,857
Max PriceUS$14.00
BuyUS$350,00020 Feb 19
InterWest Partners LLC
EntityCompany
Shares25,000
Max PriceUS$14.00
BuyUS$21,00020 Feb 19
Thomas Griffin
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares1,500
Max PriceUS$14.00
BuyUS$21,00020 Feb 19
David First
EntityIndividual
Role
Head of Human Resources
Chief Human Resources
Shares1,500
Max PriceUS$14.00

Ownership Breakdown


Management Team

  • Steve Blinn

    Chief Commercial Officer

    • Tenure: 0yrs
  • Reza Zadno (64yo)

    President

    • Tenure: 3yrs
    • Compensation: US$1.72m
  • Tom Griffin (56yo)

    Chief Financial Officer

    • Tenure: 2.7yrs
    • Compensation: US$222.12k
  • Marc Friedman

    Chief Scientific Officer

    • Tenure: 0yrs
  • Jim Schuermann (51yo)

    Chief Business Officer

    • Tenure: 1.4yrs
    • Compensation: US$628.53k
  • Paul Bavier (47yo)

    General Counsel & Secretary

    • Tenure: 2.7yrs
  • Rajesh Rajpal (56yo)

    Chief Medical Officer & Member of Advisory Board

    • Tenure: 0yrs
    • Compensation: US$549.68k
  • Dave Iannetta

    Vice President of Marketing

    • Tenure: 0yrs
  • Sujal Bhalakia

    Vice President of Operations

    • Tenure: 0.08yrs
  • David First (55yo)

    Chief Human Resources

    • Tenure: 1yrs

Board Members

  • Bob Palmisano (74yo)

    Chairman of the Board of Directors

    • Tenure: 0yrs
    • Compensation: US$60.33k
  • Dan Durrie (69yo)

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Reza Zadno (64yo)

    President

    • Tenure: 3yrs
    • Compensation: US$1.72m
  • John Marshall

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Vance Thompson (59yo)

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Roger Steinert

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Don Zurbay (51yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: US$20.33k
  • Michael Gordon

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Stephen Trokel

    Member of Medical Advisory Board

    • Tenure: 0yrs
  • Rajesh Rajpal (56yo)

    Chief Medical Officer & Member of Advisory Board

    • Tenure: 0yrs
    • Compensation: US$549.68k

Company Information

Avedro, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Avedro, Inc.
  • Ticker: AVDR
  • Exchange: NasdaqGM
  • Founded: 2002
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$438.144m
  • Shares outstanding: 17.14m
  • Website: https://avedro.com

Number of Employees


Location

  • Avedro, Inc.
  • 201 Jones Road
  • Waltham
  • Massachusetts
  • 2451
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AVDRNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDFeb 2019
219MUN (Boerse Muenchen)YesCommon StockDEEURFeb 2019
219DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2019

Biography

Avedro, Inc., an ophthalmic pharmaceutical and medical device company, develops and commercializes products to treat ophthalmic disorders and conditions, primarily associated with corneal weakness. The com ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 00:53
End of Day Share Price2019/09/16 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.