Psychemedics Corporation provides testing services for the detection of drugs of abuse through the analysis of hair samples in the United States, Brazil, and internationally.
+ 1 more risk
Flawless balance sheet and fair value.
Share Price & News
How has Psychemedics's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PMD's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: PMD underperformed the US Healthcare industry which returned -8.9% over the past year.
Return vs Market: PMD underperformed the US Market which returned -15.9% over the past year.
Price Volatility Vs. Market
How volatile is Psychemedics's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StWhat Is Psychemedics's (NASDAQ:PMD) P/E Ratio After Its Share Price Tanked?
3 weeks ago | Simply Wall StA Sliding Share Price Has Us Looking At Psychemedics Corporation's (NASDAQ:PMD) P/E Ratio
4 weeks ago | Simply Wall StCould The Psychemedics Corporation (NASDAQ:PMD) Ownership Structure Tell Us Something Useful?
Is Psychemedics undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PMD ($5.45) is trading below our estimate of fair value ($15.3)
Significantly Below Fair Value: PMD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PMD is poor value based on its PE Ratio (19.5x) compared to the Healthcare industry average (19.4x).
PE vs Market: PMD is poor value based on its PE Ratio (19.5x) compared to the US market (12.2x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate PMD's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: PMD is good value based on its PB Ratio (1.8x) compared to the US Healthcare industry average (2.2x).
How is Psychemedics forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Forecasted Healthcare 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 Psychemedics 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.
- Examine whether Psychemedics is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Explore growth companies in the Healthcare industry.
How has Psychemedics performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PMD has a large one-off loss of $800.0K impacting its December 31 2019 financial results.
Growing Profit Margin: PMD's current net profit margins (4.1%) are lower than last year (10.7%).
Past Earnings Growth Analysis
Earnings Trend: PMD's earnings have grown by 8.4% per year over the past 5 years.
Accelerating Growth: PMD's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PMD had negative earnings growth (-66.4%) over the past year, making it difficult to compare to the Healthcare industry average (14%).
Return on Equity
High ROE: PMD's Return on Equity (9.2%) is considered low.
How is Psychemedics's financial position?
Financial Position Analysis
Short Term Liabilities: PMD's short term assets ($12.9M) exceed its short term liabilities ($5.8M).
Long Term Liabilities: PMD's short term assets ($12.9M) exceed its long term liabilities ($4.9M).
Debt to Equity History and Analysis
Debt Level: PMD's debt to equity ratio (15.6%) is considered satisfactory.
Reducing Debt: PMD's debt to equity ratio has reduced from 48.7% to 15.6% over the past 5 years.
Debt Coverage: PMD's debt is well covered by operating cash flow (163.9%).
Interest Coverage: PMD earns more interest than it pays, so coverage of interest payments is not a concern.
What is Psychemedics's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PMD's dividend (13.21%) is higher than the bottom 25% of dividend payers in the US market (2.07%).
High Dividend: PMD's dividend (13.21%) is in the top 25% of dividend payers in the US market (5.82%)
Stability and Growth of Payments
Stable Dividend: PMD's dividend payments have been volatile in the past 10 years.
Growing Dividend: PMD's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (257.5%), PMD's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Raymond Kubacki (74yo)
Mr. Raymond C. Kubacki has been the President and Chief Executive Officer at Psychemedics Corp., since July 1991. Prior to joining Psychemedics Corp., Mr. Kubacki served as Vice President National Accounts ...
CEO Compensation Analysis
Compensation vs Market: Raymond's total compensation ($USD736.80K) is about average for companies of similar size in the US market ($USD626.05K).
Compensation vs Earnings: Raymond's compensation has been consistent with company performance over the past year.
|Executive Vice President||1.25yrs||US$436.50k||0.0091% $2.7k|
|Vice President of Laboratory Operations||21.25yrs||US$349.80k||0.39% $115.9k|
|42.25yrs||no data||no data|
|42.25yrs||no data||no data|
|VP of Finance||8.92yrs||US$271.67k||0.20% $61.3k|
|VP & General Counsel||3.67yrs||no data||no data|
|Secretary||no data||no data||no data|
Experienced Management: PMD's management team is seasoned and experienced (21.3 years average tenure).
|Independent Director||4.58yrs||US$118.08k||0.023% $7.0k|
|Independent Director||21.25yrs||US$118.08k||0.57% $171.0k|
|Independent Director||29.25yrs||US$334.28k||2.45% $735.4k|
|Independent Director||16.58yrs||US$119.43k||0.92% $276.9k|
Experienced Board: PMD's board of directors are seasoned and experienced ( 16.6 years average tenure).
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Psychemedics Corporation's company bio, employee growth, exchange listings and data sources
- Name: Psychemedics Corporation
- Ticker: PMD
- Exchange: NasdaqCM
- Founded: 1986
- Industry: Health Care Services
- Sector: Healthcare
- Market Cap: US$30.040m
- Shares outstanding: 5.52m
- Website: https://www.psychemedics.com
Number of Employees
- Psychemedics Corporation
- 289 Great Road
- Suite 200
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|PMD||NasdaqCM (Nasdaq Capital Market)||Yes||Common Stock||US||USD||Jan 1987|
Psychemedics Corporation provides testing services for the detection of drugs of abuse through the analysis of hair samples in the United States, Brazil, and internationally. The company offers screening and confirmation by mass spectrometry using industry-accepted practices for cocaine, marijuana, PCP, amphetamines, opiates, synthetic cannabinoids, and benzodiazepines. Its testing results provide quantitative information that can indicate the approximate amount of drug ingested, as well as historical data that can show a pattern of individual drug use over a longer period-of-time. The company provides its services to employers for applicant and employee testing; and treatment professionals, law enforcement agencies, school administrators, and parents concerned about their children’s drug use. Psychemedics Corporation was founded in 1986 and is headquartered in Acton, Massachusetts.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/10 00:18|
|End of Day Share Price||2020/04/09 00:00|
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.