NasdaqGM:TNDM

Stock Analysis Report

Executive Summary

Tandem Diabetes Care, Inc., a medical device company, designs, develops, and commercializes various products for people with insulin-dependent diabetes in the United States.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Tandem Diabetes Care's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.9%

TNDM

1.1%

US Medical Equipment

-0.6%

US Market


1 Year Return

46.4%

TNDM

9.9%

US Medical Equipment

0.6%

US Market

TNDM outperformed the Medical Equipment industry which returned 9.9% over the past year.

TNDM outperformed the Market in United States of America which returned 0.6% over the past year.


Share holder returns

TNDMIndustryMarket
7 Day3.9%1.1%-0.6%
30 Day-4.4%0.6%2.2%
90 Day-0.3%2.9%1.1%
1 Year46.4%46.4%10.8%9.9%2.9%0.6%
3 Year-24.0%-24.0%70.1%64.9%44.6%35.2%
5 Year-51.5%-51.5%138.9%111.8%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

1 month ago | Simply Wall St

Have Insiders Sold Tandem Diabetes Care, Inc. (NASDAQ:TNDM) Shares Recently?

Valuation

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

45%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

Tandem Diabetes Care's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

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

Tandem Diabetes Care 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 Tandem Diabetes Care, we can't assess if its growth is good value.


Price Based on Value of Assets

Tandem Diabetes Care is overvalued based on assets compared to the US Medical Equipment industry average.


Next Steps

Future Growth

How is Tandem Diabetes Care expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

69.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

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

Tandem Diabetes Care's earnings are expected to grow significantly at over 20% yearly.

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

Tandem Diabetes Care is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tandem Diabetes Care performed over the past 5 years?

-6.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

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

Unable to compare Tandem Diabetes Care'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 Tandem Diabetes Care 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 Tandem Diabetes Care 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 Tandem Diabetes Care 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 Tandem Diabetes Care's financial position?


Financial Position Analysis

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

Tandem Diabetes Care's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tandem Diabetes Care has no debt.

Tandem Diabetes Care has no debt compared to 5 years ago when it was 35.3%.


Balance Sheet

High level of physical assets or inventory.

Tandem Diabetes Care has no debt, it does not need to be covered by short term assets.


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.

Whilst loss making Tandem Diabetes Care has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Tandem Diabetes Care has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -46.9% per year.


Next Steps

Dividend

What is Tandem Diabetes Care's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

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

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

Unable to perform a dividend volatility check as Tandem Diabetes Care has not reported any payouts.

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


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Tandem Diabetes Care has not reported any payouts.


Future Payout to Shareholders

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

2.1yrs

Average management tenure


CEO

John Sheridan (64yo)

0.5yrs

Tenure

US$1,937,417

Compensation

Mr. John F. Sheridan has been President and Chief Executive Officer at Tandem Diabetes Care, Inc., since March 01, 2019 and served as its Chief Operating Officer and Executive Vice President since April 20 ...


CEO Compensation Analysis

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

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


Management Age and Tenure

2.1yrs

Average Tenure

50yo

Average Age

The tenure for the Tandem Diabetes Care management team is about average.


Board Age and Tenure

1.3yrs

Average Tenure

64yo

Average Age

The average tenure for the Tandem Diabetes Care board of directors is less than 3 years, this suggests a new board.


Insider Trading

Tandem Diabetes Care individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$7,096,20030 Aug 19
Kim Blickenstaff
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares100,000
Max PriceUS$71.01
SellUS$615,03806 Aug 19
Howard Greene
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$61.92
SellUS$245,48003 May 19
Cornerstone Ventures Inc.
EntityCompany
Shares4,000
Max PriceUS$61.37
SellUS$797,33503 May 19
Dick Allen
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares13,000
Max PriceUS$61.34
SellUS$12,990,44413 Mar 19
Kim Blickenstaff
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares200,000
Max PriceUS$65.67
SellUS$839,87711 Mar 19
Dick Allen
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares13,436
Max PriceUS$63.22
SellUS$257,75311 Mar 19
Cornerstone Ventures Inc.
EntityCompany
Shares4,103
Max PriceUS$63.21
SellUS$653,88401 Mar 19
Howard Greene
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$66.21
SellUS$29,79703 Jan 19
John Sheridan
EntityIndividual
Role
Chief Executive Officer
President
Shares788
Max PriceUS$37.81
BuyUS$49,07507 Nov 18
Richard Valencia
EntityIndividual
Role
Member of the Board of Directors
Director
Shares1,300
Max PriceUS$37.75
SellUS$430,57907 Nov 18
Howard Greene
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares11,787
Max PriceUS$36.53
SellUS$431,52607 Nov 18
Dick Allen
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares11,324
Max PriceUS$38.11
SellUS$7,327,62607 Nov 18
Kim Blickenstaff
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares198,000
Max PriceUS$37.01
SellUS$147,15007 Nov 18
Cornerstone Ventures Inc.
EntityCompany
Shares3,898
Max PriceUS$37.75

Ownership Breakdown


Management Team

  • Kim Blickenstaff (67yo)

    Executive Chairman of the Board

    • Tenure: 0.5yrs
    • Compensation: US$2.98m
  • John Sheridan (64yo)

    President

    • Tenure: 0.5yrs
    • Compensation: US$1.94m
  • David Berger (49yo)

    Executive VP

    • Tenure: 6.1yrs
    • Compensation: US$1.94m
  • Brian Hansen (51yo)

    Executive VP & Chief Commercial Officer

    • Tenure: 3.6yrs
    • Compensation: US$1.94m
  • Leigh Vosseller (46yo)

    Executive VP

    • Tenure: 6.7yrs
    • Compensation: US$1.89m
  • Jim Leal

    Senior Vice President of Operations

    • Tenure: 2.1yrs
  • Manuel Jaime

    Senior Vice President of Technology & Digital Health

    • Tenure: 0.6yrs
  • Susan Morrison (40yo)

    Executive VP & Chief Administrative Officer

    • Tenure: 6yrs
    • Compensation: US$3.17m
  • Tom Fox

    Vice President of Human Resources

    • Tenure: 2.1yrs

Board Members

  • Ed Cahill (66yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$574.21k
  • Beckie Robertson (58yo)

    Independent Director

    • Tenure: 0.7yrs
  • Doug Roeder (48yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$587.71k
  • Ted Greene (76yo)

    Independent Director

    • Tenure: 11.7yrs
    • Compensation: US$571.71k
  • Kim Blickenstaff (67yo)

    Executive Chairman of the Board

    • Tenure: 0.5yrs
    • Compensation: US$2.98m
  • Christopher Twomey (60yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$588.71k
  • Dick Allen (75yo)

    Lead Independent Director

    • Tenure: 0.5yrs
    • Compensation: US$618.21k
  • Rick Valencia (57yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$845.69k
  • John Sheridan (64yo)

    President

    • Tenure: 0.5yrs
    • Compensation: US$1.94m

Company Information

Tandem Diabetes Care, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tandem Diabetes Care, Inc.
  • Ticker: TNDM
  • Exchange: NasdaqGM
  • Founded: 2006
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$3.747b
  • Shares outstanding: 58.65m
  • Website: https://www.tandemdiabetes.com

Number of Employees


Location

  • Tandem Diabetes Care, Inc.
  • 11075 Roselle Street
  • San Diego
  • California
  • 92121
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TNDMNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDNov 2013
TD5ADB (Deutsche Boerse AG)YesCommon StockDEEURNov 2013
0M0FLSE (London Stock Exchange)YesCommon StockGBUSDNov 2013

Biography

Tandem Diabetes Care, Inc., a medical device company, designs, develops, and commercializes various products for people with insulin-dependent diabetes in the United States. The company’s flagship product  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 00:33
End of Day Share Price2019/09/20 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.