| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 2/6 |
| Past Performance | 0/6 |
| Financial Health | 3/6 |
| Dividends | 0/6 |
NVTA Stock Overview
Invitae Corporation, a medical genetics company, integrates genetic information into mainstream medicine to improve healthcare of people in the United States, Canada, and internationally.
Invitae Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$2.62 |
| 52 Week High | US$35.09 |
| 52 Week Low | US$2.08 |
| Beta | 1.9 |
| 1 Month Change | -34.83% |
| 3 Month Change | -68.81% |
| 1 Year Change | -92.31% |
| 3 Year Change | -88.66% |
| 5 Year Change | -72.57% |
| Change since IPO | -84.63% |
Recent News & Updates
Invitae: Coming Out Of The Cash Burn
Invitae, a next-gen healthcare/biotech company, has seen its stock getting hammered due to strong worries about a looming bankruptcy due to reckless cash burn. However, in the last few quarters, the company has started to shift from growth-at-all-costs to focusing on reducing the cash burn, with a $100M annualized reduction in Q1 alone. Invitae continues to target strong long-term growth and to become cash flow positive by 2025. At the current valuation, the risk/reward is shifting significantly such that even a small bet could lead to compelling returns.
Invitae: The Hype Train Crashed As We Warned Last Year
Invitae is a truly hyped-up story stock. When growth is slowing and you have no profitability to show for it, the market's hammering of NVTA stock is well-justified. We urge investors to be cautious in our previous article and beware of its hype. The stock has fallen almost 90% since our article was published. Invitae's underlying metrics continue to look awful amid slowing growth. So don't even bother considering adding a speculative position yet. We reiterate our Hold rating on NVTA stock. Investors are urged to avoid buying into its story thesis.
Shareholder Returns
| NVTA | US Healthcare | US Market | |
|---|---|---|---|
| 7D | 15.9% | 4.3% | 1.7% |
| 1Y | -92.3% | 3.8% | -20.4% |
Return vs Industry: NVTA underperformed the US Healthcare industry which returned 4% over the past year.
Return vs Market: NVTA underperformed the US Market which returned -18.8% over the past year.
Price Volatility
| NVTA volatility | |
|---|---|
| NVTA Average Weekly Movement | 16.5% |
| Healthcare Industry Average Movement | 9.5% |
| Market Average Movement | 8.0% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: NVTA is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 17% a week.
Volatility Over Time: NVTA's weekly volatility (17%) has been stable over the past year, but is still higher than 75% of US stocks.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2010 | 2,900 | Sean George | https://www.invitae.com |
Invitae Corporation, a medical genetics company, integrates genetic information into mainstream medicine to improve healthcare of people in the United States, Canada, and internationally. The company offers genetic tests in various clinical areas, including hereditary cancer, cardiology, neurology, pediatrics, oncology, metabolic conditions, and rare diseases; digital health solutions; and health data services. It serves patients, healthcare providers, biopharma companies, and other partners.
Invitae Fundamentals Summary
| NVTA fundamental statistics | |
|---|---|
| Market Cap | US$600.74m |
| Earnings (TTM) | -US$451.37m |
| Revenue (TTM) | US$480.52m |
1.3x
P/S Ratio-1.3x
P/E RatioIs NVTA overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| NVTA income statement (TTM) | |
|---|---|
| Revenue | US$480.52m |
| Cost of Revenue | US$370.29m |
| Gross Profit | US$110.23m |
| Other Expenses | US$561.60m |
| Earnings | -US$451.37m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -1.97 |
| Gross Margin | 22.94% |
| Net Profit Margin | -93.93% |
| Debt/Equity Ratio | 55.6% |
How did NVTA perform over the long term?
See historical performance and comparisonValuation
Is NVTA undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for NVTA?
Other financial metrics that can be useful for relative valuation.
| What is NVTA's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$600.74m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 3x |
| Enterprise Value/EBITDA | -2x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does NVTA's PS Ratio compare to its peers?
| NVTA PS Ratio vs Peers |
|---|
| Company | PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 2.3x | ||
CCRN Cross Country Healthcare | 0.4x | -14.5% | US$775.0m |
ACCD Accolade | 1.8x | 14.0% | US$559.8m |
CSTL Castle Biosciences | 6.2x | 21.1% | US$604.0m |
INNV InnovAge Holding | 0.8x | 15.8% | US$567.8m |
NVTA Invitae | 1.3x | 28.6% | US$600.7m |
Price-To-Sales vs Peers: NVTA is good value based on its Price-To-Sales Ratio (1.3x) compared to the peer average (2.3x).
Price to Earnings Ratio vs Industry
How does NVTA's PE Ratio compare vs other companies in the US Healthcare Industry?
Price-To-Sales vs Industry: NVTA is good value based on its Price-To-Sales Ratio (1.3x) compared to the US Healthcare industry average (1.4x)
Price to Sales Ratio vs Fair Ratio
What is NVTA's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 1.3x |
| Fair PS Ratio | 2.6x |
Price-To-Sales vs Fair Ratio: NVTA is good value based on its Price-To-Sales Ratio (1.3x) compared to the estimated Fair Price-To-Sales Ratio (2.6x).
Share Price vs Fair Value
What is the Fair Price of NVTA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: Insufficient data to calculate NVTA's fair value for valuation analysis.
Significantly Below Fair Value: Insufficient data to calculate NVTA's fair value for valuation analysis.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate NVTA's PEG Ratio to determine if it is good value.
Discover undervalued companies
Future Growth
How is Invitae forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Future Growth Score
2/6Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
13.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NVTA is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: NVTA is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: NVTA is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: NVTA's revenue (28.6% per year) is forecast to grow faster than the US market (8.3% per year).
High Growth Revenue: NVTA's revenue (28.6% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NVTA is forecast to be unprofitable in 3 years.
Discover growth companies
Past Performance
How has Invitae performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-33.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NVTA is currently unprofitable.
Growing Profit Margin: NVTA is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: NVTA is unprofitable, and losses have increased over the past 5 years at a rate of 33.8% per year.
Accelerating Growth: Unable to compare NVTA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: NVTA is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (9.8%).
Return on Equity
High ROE: NVTA has a negative Return on Equity (-15.87%), as it is currently unprofitable.
Discover strong past performing companies
Financial Health
How is Invitae's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway
Financial Position Analysis
Short Term Liabilities: NVTA's short term assets ($1.0B) exceed its short term liabilities ($167.9M).
Long Term Liabilities: NVTA's short term assets ($1.0B) do not cover its long term liabilities ($1.8B).
Debt to Equity History and Analysis
Debt Level: NVTA's net debt to equity ratio (24.8%) is considered satisfactory.
Reducing Debt: NVTA's debt to equity ratio has increased from 47.4% to 55.6% over the past 5 years.
Balance Sheet
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: NVTA has sufficient cash runway for more than a year based on its current free cash flow.
Forecast Cash Runway: NVTA has less than a year of cash runway if free cash flow continues to reduce at historical rates of 38.2% each year
Discover healthy companies
Dividend
What is Invitae current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate NVTA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate NVTA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if NVTA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if NVTA's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as NVTA has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.0yrs
Average management tenure
CEO
Sean George (47 yo)
9.83yrs
Tenure
US$8,828,254
Compensation
Dr. Sean Emerson George, Ph.D. is the Co-Founder of InVitae Corporation and has been its Chief Executive Officer since January 9, 2017, President since August 2012. Dr. George served the Chief Operating Of...
CEO Compensation Analysis
Compensation vs Market: Sean's total compensation ($USD8.83M) is above average for companies of similar size in the US market ($USD4.00M).
Compensation vs Earnings: Sean's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: NVTA's management team is considered experienced (2 years average tenure).
Board Members
Experienced Board: NVTA's board of directors are considered experienced (8.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NVTA insiders have only sold shares 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 14.7%.
Top Shareholders
Company Information
Invitae Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Invitae Corporation
- Ticker: NVTA
- Exchange: NYSE
- Founded: 2010
- Industry: Health Care Services
- Sector: Healthcare
- Implied Market Cap: US$600.736m
- Shares outstanding: 229.29m
- Website: https://www.invitae.com
Number of Employees
Location
- Invitae Corporation
- 1400 16th Street
- San Francisco
- California
- 94103
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/06/28 00:00 |
| End of Day Share Price | 2022/06/28 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
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.