NasdaqGM:CERS

Stock Analysis Report

Executive Summary

Cerus Corporation, a biomedical products company, focuses on developing and commercializing the INTERCEPT Blood System to enhance blood safety.

Snowflake

Fundamentals

Adequate balance sheet with concerning outlook.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.3%

NasdaqGM:CERS

-1.2%

US Medical Equipment

1.2%

US Market


1 Year Return

-26.6%

NasdaqGM:CERS

8.7%

US Medical Equipment

1.7%

US Market

CERS underperformed the Medical Equipment industry which returned 8.7% over the past year.

CERS underperformed the Market in United States of America which returned 1.7% over the past year.


Share holder returns

CERSIndustryMarket
7 Day5.3%-1.2%1.2%
30 Day2.1%1.4%4.9%
90 Day16.7%4.8%3.7%
1 Year-26.6%-26.6%9.6%8.7%3.9%1.7%
3 Year-13.2%-13.2%70.8%65.5%47.2%37.7%
5 Year32.7%32.7%130.4%104.1%60.0%42.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

11.35x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Cerus to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Cerus to establish if it is available at substantial discount.


Price Based on Earnings

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

Cerus 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 Cerus, we can't assess if its growth is good value.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Cerus expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

20.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Cerus's revenue is expected to grow by 19.8% yearly, however this is not considered high growth (20% yearly).

Cerus is not considered high growth as it is expected to be loss making for the next 1-3 years.

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

Unable to compare Cerus's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare Cerus's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Cerus 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 Cerus performed over the past 5 years?

-7.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Cerus does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

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

Unable to compare Cerus'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 Cerus 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 Cerus 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 Cerus 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 Cerus's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Cerus's level of debt (66.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (22.3% vs 66.8% today).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.1x 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.

Cerus has sufficient cash runway for 1.8 years based on current free cash flow.

Cerus has sufficient cash runway for 2.5 years if free cash flow continues to reduce at historical rates of -8.2% each year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

6.6yrs

Average management tenure


CEO

Obi Greenman (52yo)

8.4yrs

Tenure

US$2,983,442

Compensation

Mr. William M. Greenman, also known as Obi, has been the Chief Executive Officer and President of Cerus Corporation since April 2011. Mr. Greenman served as the Chief Business Officer of Cerus Corporation  ...


CEO Compensation Analysis

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

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


Management Age and Tenure

6.6yrs

Average Tenure

52yo

Average Age

The average tenure for the Cerus management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.7yrs

Average Tenure

59.5yo

Average Age

The tenure for the Cerus board of directors is about average.


Insider Trading

Cerus individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$82,32409 Aug 19
Richard Benjamin
EntityIndividual
Role
Senior Key Executive
Chief Medical Officer
Shares16,444
Max PriceUS$5.01
BuyUS$46,00004 Jun 19
William Greenman
EntityIndividual
Role
Chief Executive Officer
President
Shares10,000
Max PriceUS$4.60

Ownership Breakdown


Management Team

  • Laurence Corash (75yo)

    Co-Founder & Chief Scientific Officer

    • Tenure: 0yrs
    • Compensation: US$1.04m
  • Lori Roll

    VP of Administration & Corporate Secretary

    • Tenure: 20.7yrs
  • Richard Benjamin (59yo)

    Chief Medical Officer

    • Tenure: 4.2yrs
    • Compensation: US$1.01m
  • Obi Greenman (52yo)

    President

    • Tenure: 8.4yrs
    • Compensation: US$2.98m
  • Carol Moore (69yo)

    Senior Vice President of Regulatory Affairs

    • Tenure: 6.6yrs
    • Compensation: US$847.11k
  • Kevin Green (47yo)

    VP of Finance & CFO

    • Tenure: 6.6yrs
    • Compensation: US$1.02m
  • Vivek Jayaraman (44yo)

    Chief Commercial Officer

    • Tenure: 3.1yrs
    • Compensation: US$1.09m
  • Lainie Corten

    Vice President of Global Marketing & Investor Relations

    • Tenure: 0yrs
  • Chrystal Menard (48yo)

    Chief Legal Officer and General Counsel

    • Tenure: 6.8yrs
    • Compensation: US$804.35k

Board Members

  • Timothy Anderson (72yo)

    Independent Director

    • Tenure: 16.3yrs
    • Compensation: US$201.42k
  • Frank Witney (65yo)

    Independent Director

    • Tenure: 5.5yrs
    • Compensation: US$212.42k
  • Eric Bjerkholt (59yo)

    Director

    • Tenure: 0.9yrs
    • Compensation: US$183.23k
  • Dan Swisher (56yo)

    Chairman

    • Tenure: 5.9yrs
    • Compensation: US$253.00k
  • Jami K. Nachtsheim (60yo)

    Director

    • Tenure: 0.5yrs
  • Gail Schulze (67yo)

    Independent Director

    • Tenure: 11.9yrs
    • Compensation: US$199.42k
  • Tim Moore (58yo)

    Director

    • Tenure: 1yrs
    • Compensation: US$199.01k
  • Obi Greenman (52yo)

    President

    • Tenure: 8.4yrs
    • Compensation: US$2.98m

Company Information

Cerus Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cerus Corporation
  • Ticker: CERS
  • Exchange: NasdaqGM
  • Founded: 1991
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: US$746.511m
  • Shares outstanding: 140.32m
  • Website: https://www.cerus.com

Number of Employees


Location

  • Cerus Corporation
  • 2550 Stanwell Drive
  • Concord
  • California
  • 94520
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CERSNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJan 1997
CU2DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1997

Biography

Cerus Corporation, a biomedical products company, focuses on developing and commercializing the INTERCEPT Blood System to enhance blood safety. Its INTERCEPT Blood System, a proprietary technology for cont ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/14 23:34
End of Day Share Price2019/09/13 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.