NasdaqGM:RMTI

Stock Analysis Report

Executive Summary

Rockwell Medical, Inc. operates as a specialty pharmaceutical company that targets end-stage renal disease and chronic kidney disease with therapies and products for the treatment of iron deficiency and hemodialysis.

Rewards

Earnings are forecast to grow 57.22% per year

Risk Analysis

Has less than 1 year of cash runway

Shareholders have been diluted in the past year



Snowflake Analysis

High growth potential with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: RMTI has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

16.0%

RMTI

2.4%

US Medical Equipment

1.8%

US Market


1 Year Return

-40.2%

RMTI

22.1%

US Medical Equipment

20.1%

US Market

Return vs Industry: RMTI underperformed the US Medical Equipment industry which returned 22.1% over the past year.

Return vs Market: RMTI underperformed the US Market which returned 20.1% over the past year.


Shareholder returns

RMTIIndustryMarket
7 Day16.0%2.4%1.8%
30 Day-2.3%1.2%1.4%
90 Day23.9%8.6%8.8%
1 Year-40.2%-40.2%23.0%22.1%22.7%20.1%
3 Year-57.7%-57.7%84.6%79.4%50.1%40.4%
5 Year-76.3%-76.3%117.3%94.6%72.9%53.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Rockwell Medical undervalued compared to its fair value and its price relative to the market?

6.85x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: RMTI is overvalued based on its PB Ratio (6.8x) compared to the US Medical Equipment industry average (4x).


Next Steps

Future Growth

How is Rockwell Medical forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

57.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RMTI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: RMTI is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: RMTI's is expected to become profitable in the next 3 years.

Revenue vs Market: RMTI's revenue (23.4% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: RMTI's revenue (23.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Rockwell Medical performed over the past 5 years?

-16.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RMTI is currently unprofitable.

Growing Profit Margin: RMTI is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RMTI is unprofitable, and losses have increased over the past 5 years at a rate of -16.4% per year.

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

Earnings vs Industry: RMTI is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (7.1%).


Return on Equity

High ROE: RMTI has a negative Return on Equity (-152.73%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Rockwell Medical's financial position?


Financial Position Analysis

Short Term Liabilities: RMTI's short term assets ($40.6M) exceed its short term liabilities ($12.4M).

Long Term Liabilities: RMTI's short term assets ($40.6M) exceed its long term liabilities ($12.0M).


Debt to Equity History and Analysis

Debt Level: RMTI's debt to equity ratio (4.8%) is considered satisfactory.

Reducing Debt: RMTI had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

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

Debt Coverage by Assets: RMTI's debt is covered by short term assets (assets are 35.4x 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.

Stable Cash Runway: RMTI has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: RMTI has less than a year of cash runway if free cash flow continues to grow at historical rates of 3.9% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Stuart Paul (59yo)

1.4yrs

Tenure

US$7,483,803

Compensation

Mr. Stuart Paul has been Chief Executive Officer and Director at Rockwell Medical, Inc. since September 04, 2018 and also serves as it's President. He served as the President of Asia & Pacific (APAC) at Ga ...


CEO Compensation Analysis

Compensation vs Market: Stuart's total compensation ($USD7.48M) is above average for companies of similar size in the US market ($USD1.11M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Stuart Paul
President1.4yrsUS$7.48m0.20% $347.9k
Angus Smith
Chief Financial Officer1.3yrsUS$1.45m0.044% $75.2k
Ajay Gupta
Chief Scientific Officer & Member of Scientific Advisory Board14.3yrsUS$954.42k0.83% $1.4m
Michael DeYoung
Vice President of Operations1.2yrsno datano data
Paul McGarry
VP, Corporate Controller & Principal Accounting Officer0.7yrsno datano data
Michael Costello
General Counsel0yrsno datano data
James McCarthy
Senior Vice President of Business & Corporate Development1.4yrsno datano data
Anne Boardman
Vice President of Sales and Strategic Accounts1.3yrsno datano data
Raymond Pratt
Chief Development Officer7.8yrsUS$965.87k0.47% $807.6k
David Kull
Executive Officer0.7yrsno data0.0049% $8.3k

1.3yrs

Average Tenure

55.5yo

Average Age

Experienced Management: RMTI's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Stuart Paul
President1.4yrsUS$7.48m0.20% $347.9k
Ajay Gupta
Chief Scientific Officer & Member of Scientific Advisory Board14.3yrsUS$954.42k0.83% $1.4m
John Cooper
Independent Director2.4yrsUS$286.19kno data
Lisa Colleran
Independent Director1.9yrsUS$246.15kno data
John McLaughlin
Chairman0.3yrsno datano data
Anatole Besarab
Member of Medical Advisory Board14.3yrsno datano data
Rajiv Agarwal
Member of Scientific Advisory Board14.3yrsno datano data
Iain MacDougall
Member of Scientific Advisory Board9.5yrsno datano data
Alvin Crumbliss
Member of Scientific Advisory Board8.8yrsno datano data
Francesco Locatelli
Member of Scientific Advisory Board7.1yrsno datano data

8.0yrs

Average Tenure

61yo

Average Age

Experienced Board: RMTI's board of directors are considered experienced (8 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.3%.


Top Shareholders

Company Information

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


Key Information

  • Name: Rockwell Medical, Inc.
  • Ticker: RMTI
  • Exchange: NasdaqGM
  • Founded: 1994
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: US$170.554m
  • Shares outstanding: 67.15m
  • Website: https://www.rockwellmed.com

Number of Employees


Location

  • Rockwell Medical, Inc.
  • 30142 Wixom Road
  • Wixom
  • Michigan
  • 48393
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RMTINasdaqGM (Nasdaq Global Market)YesCommon SharesUSUSDJan 1998
RWMDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1998

Biography

Rockwell Medical, Inc. operates as a specialty pharmaceutical company that targets end-stage renal disease and chronic kidney disease with therapies and products for the treatment of iron deficiency and hemodialysis. The company offers Triferic, an iron therapy that replaces iron and maintains hemoglobin in dialysis patients without increasing iron stores; and Calcitriol, an active vitamin D injection for the management of hypocalcemia in patients undergoing chronic hemodialysis. It is also developing an intravenous formulation of Triferic for use by hemodialysis patients. In addition, the company manufactures, sells, delivers, and distributes hemodialysis concentrates, such as CitraPure citric acid concentrate, Dri-Sate dry acid concentrate, RenalPure liquid acid concentrate, dry acid concentrate mixer, RenalPure powder bicarbonate concentrate, and SteriLyte liquid bicarbonate concentrate; and ancillary products, including blood tubing, fistula needles, dialyzers, drugs, specialized component kits, dressings, cleaning agents, filtration salts, and other supplies used by hemodialysis providers. Its dialysis concentrate products are used to maintain human life by removing toxins and replacing critical nutrients in the dialysis patient’s bloodstream. Rockwell Medical, Inc. sells its products directly, as well as through independent sales agents and distributors. Its target customers include senior and operating management of dialysis companies, dialysis service providers, nephrologists, clinic administrators, nurses, medical directors, and technical and purchasing personnel. Rockwell Medical, Inc. was founded in 1994 and is based in Wixom, Michigan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 23:51
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
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.