NasdaqGS:SWAV

Stock Analysis Report

Executive Summary

ShockWave Medical, Inc., a medical device company, develops and commercializes intravascular lithotripsy technology to treat calcified plaque in patients with peripheral vascular, coronary vascular, and heart valve diseases worldwide.

Snowflake

Fundamentals

Adequate balance sheet with limited growth.

Risks

  • ShockWave Medical has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-4.8%

NasdaqGS:SWAV

0.8%

US Medical Equipment

1.1%

US Market


1 Year Return

n/a

NasdaqGS:SWAV

9.6%

US Medical Equipment

2.1%

US Market

No trading data on SWAV.

No trading data on SWAV.


Share holder returns

SWAVIndustryMarket
7 Day-4.8%0.8%1.1%
30 Day-22.8%0.2%3.7%
90 Day-44.5%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 ShockWave Medical's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

7.71x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

ShockWave Medical's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

ShockWave Medical's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

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

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


Price Based on Value of Assets

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


Next Steps

Future Growth

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

14.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

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

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

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

Unable to compare ShockWave Medical'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 ShockWave Medical'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 ShockWave Medical 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 ShockWave Medical performed over the past 5 years?

-25.1%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

ShockWave Medical 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 ShockWave Medical's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare ShockWave Medical'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 ShockWave Medical 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 ShockWave Medical 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 ShockWave Medical 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 ShockWave Medical's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

ShockWave Medical's level of debt (12.8%) compared to net worth is satisfactory (less than 40%).

Unable to establish if ShockWave Medical'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 9.2x 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.

ShockWave Medical has sufficient cash runway for 2.7 years based on current free cash flow.

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


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

No need to calculate the sustainability of ShockWave Medical'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 ShockWave Medical's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Doug Godshall (54yo)

2.3yrs

Tenure

US$510,925

Compensation

Mr. Douglas E. Godshall, also known as Doug, M.B.A., has been the Chief Executive Officer and President of Shockwave Medical, Inc. since May 10, 2017. Mr. Godshall has been an Executive Director at HeartWa ...


CEO Compensation Analysis

Doug's remuneration is lower than average for companies of similar size in United States of America.

Insufficient data for Doug to compare compensation growth.


Management Age and Tenure

2.3yrs

Average Tenure

54yo

Average Age

The tenure for the ShockWave Medical management team is about average.


Board Age and Tenure

0.7yrs

Average Tenure

54yo

Average Age

The average tenure for the ShockWave Medical board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$22,327,50007 Sep 19
Sofinnova Partners
EntityCompany
Shares650,000
Max PriceUS$34.35
SellUS$22,327,50007 Sep 19
Sofinnova Partners
EntityCompany
Shares650,000
Max PriceUS$34.35
BuyUS$510,00011 Mar 19
Deerfield Management Company, L.P.
EntityCompany
Shares30,000
Max PriceUS$17.00

Ownership Breakdown


Management Team

  • John Adams (72yo)

    Co-Founder and Technical Advisor

    • Tenure: 10.7yrs
  • Doug Godshall (54yo)

    CEO, President & Director

    • Tenure: 2.3yrs
    • Compensation: US$510.93k
  • Daniel Hawkins (52yo)

    Founder and Senior Advisor

    • Tenure: 10.7yrs
  • Dan Puckett (55yo)

    CFO & Secretary

    • Tenure: 3.4yrs
    • Compensation: US$429.75k
  • Haj Tada

    General Counsel

    • Tenure: 0.3yrs
  • Rob Williamson

    Vice President of Sales

    • Tenure: 2.3yrs
  • Rob Fletcher

    Vice President of Marketing

    • Tenure: 3.2yrs
  • Isaac Zacharias (44yo)

    Chief Commercial Officer

    • Tenure: 0.8yrs
    • Compensation: US$907.90k
  • Cathy Harnett

    Director of Human Resources

    • Tenure: 1.3yrs
  • Mike Maszy

    Vice President of Operations

    • Tenure: 0.8yrs

Board Members

  • Antoine Papiernik-Berkhauer (53yo)

    Director

    • Tenure: 0yrs
  • Fred Moll (67yo)

    Independent Director

    • Tenure: 0yrs
    • Compensation: US$15.00k
  • Laura Francis (52yo)

    Director

    • Tenure: 0.7yrs
  • Doug Godshall (54yo)

    CEO, President & Director

    • Tenure: 2.3yrs
    • Compensation: US$510.93k
  • Colin Cahill (43yo)

    Director

    • Tenure: 0yrs
  • Jay Watkins (66yo)

    Independent Director

    • Tenure: 0yrs
    • Compensation: US$15.00k
  • Ray Larkin (70yo)

    Chairman

    • Tenure: 0.7yrs

Company Information

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


Key Information

  • Name: ShockWave Medical, Inc.
  • Ticker: SWAV
  • Exchange: NasdaqGS
  • Founded: 2009
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$920.682m
  • Shares outstanding: 28.03m
  • Website: https://www.shockwavemedical.com

Number of Employees


Location

  • ShockWave Medical, Inc.
  • 5403 Betsy Ross Drive
  • Santa Clara
  • California
  • 95054
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SWAVNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMar 2019

Biography

ShockWave Medical, Inc., a medical device company, develops and commercializes intravascular lithotripsy technology to treat calcified plaque in patients with peripheral vascular, coronary vascular, and he ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 00:47
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.