NasdaqGM:ADMS

Stock Analysis Report

Executive Summary

Adamas Pharmaceuticals, Inc. focuses on the discovery, development, and commercialization of medicines for patients suffering from chronic neurologic disorders.

Snowflake

Fundamentals

Fair value with mediocre balance sheet.

Share Price & News

How has Adamas Pharmaceuticals's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.5%

ADMS

3.1%

US Biotechs

0.07%

US Market


1 Year Return

-78.0%

ADMS

-1.6%

US Biotechs

8.9%

US Market

Return vs Industry: ADMS underperformed the US Biotechs industry which returned -1.6% over the past year.

Return vs Market: ADMS underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

ADMSIndustryMarket
7 Day-2.5%3.1%0.07%
30 Day-46.6%0.2%-0.3%
90 Day-35.1%0.9%-1.6%
1 Year-78.0%-78.0%-0.7%-1.6%11.3%8.9%
3 Year-72.8%-72.8%18.9%14.7%46.3%36.8%
5 Year-75.4%-75.4%-1.8%-6.6%62.1%44.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Adamas Pharmaceuticals undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ADMS ($3.9) is trading below our estimate of fair value ($57.91)

Significantly Below Fair Value: ADMS is trading below fair value by more than 20%.


Price To Earnings Ratio

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

PE vs Market: ADMS 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 ADMS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ADMS is good value based on its PB Ratio (2.5x) compared to the US Biotechs industry average (2.6x).


Next Steps

Future Growth

How is Adamas Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

52.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ADMS is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ADMS is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ADMS is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ADMS's revenue (38.9% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: ADMS's revenue (38.9% 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 ADMS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Adamas Pharmaceuticals performed over the past 5 years?

-46.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ADMS is unprofitable, and losses have increased over the past 5 years at a rate of -46.1% per year.

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

Earnings vs Industry: ADMS is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (83.4%).


Return on Equity

High ROE: ADMS has a negative Return on Equity (-272.96%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ADMS is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ADMS is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Adamas Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: ADMS's short term assets ($187.0M) exceeds its short term liabilities ($25.7M)

Long Term Liabilities: ADMS's short term assets (187.0M) exceeds its long term liabilities (131.8M)


Debt to Equity History and Analysis

Debt Level: ADMS's debt to equity ratio (289.3%) is considered high

Reducing Debt: Insufficient data to determine if ADMS's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: ADMS's debt is covered by short term assets (assets are 1.5x 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: ADMS has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if ADMS has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Adamas Pharmaceuticals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.2%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Stable Dividend: Insufficient data to determine if ADMS's dividends per share have been stable in the past.

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


Next Steps

Management

What is the CEO of Adamas Pharmaceuticals's salary, the management and board of directors tenure and is there insider trading?

2.1yrs

Average management tenure


CEO

Neil McFarlane (46yo)

0.08yrs

Tenure

0

Mr. Neil F. Mcfarlane serves as Chief Executive Officer and Director of Adamas Pharmaceuticals, Inc. since September 11, 2019. Mr. Mcfarlane served as Chief Operating Officer of Retrophin, Inc. since Augus ...


Management Age and Tenure

2.1yrs

Average Tenure

49.5yo

Average Age

Experienced Management: ADMS's management team is considered experienced (2.1 years average tenure).


Board Age and Tenure

5.6yrs

Average Tenure

65.5yo

Average Age

Experienced Board: ADMS's board of directors are considered experienced (5.6 years average tenure).


Insider Trading

Insider Buying: ADMS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$10,94523 Sep 19
Alfred Merriweather
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares1,584
Max PriceUS$6.91
SellUS$6,49223 Jul 19
Christopher Prentiss
EntityIndividual
Role
Chief Accounting Officer
Senior VP of Finance & Chief Accounting Officer
Shares1,082
Max PriceUS$6.00
SellUS$5,02921 Jun 19
Jennifer Rhodes
EntityIndividual
Role
Chief Legal Officer
Chief Business Officer
Shares940
Max PriceUS$5.35
SellUS$6,84721 Mar 19
Alfred Merriweather
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares857
Max PriceUS$7.99
SellUS$18,99221 Mar 19
Rajiv Patni
EntityIndividual
Role
Senior Key Executive
Chief Medical Officer
Shares2,374
Max PriceUS$8.00
SellUS$9,48021 Mar 19
Christopher Prentiss
EntityIndividual
Role
Chief Accounting Officer
Senior VP of Finance & Chief Accounting Officer
Shares1,185
Max PriceUS$8.00
SellUS$14,31821 Mar 19
Jennifer Rhodes
EntityIndividual
Role
Chief Legal Officer
Chief Business Officer
Shares1,792
Max PriceUS$7.99
SellUS$50,48921 Mar 19
Gregory Went
EntityIndividual
Role
Top Key Executive
Founder & Strategic Advisor
Shares6,319
Max PriceUS$7.99
SellUS$1,71226 Dec 18
Christopher Prentiss
EntityIndividual
Role
Chief Accounting Officer
Senior VP of Finance & Chief Accounting Officer
Shares228
Max PriceUS$7.51
SellUS$3,19621 Dec 18
Jennifer Rhodes
EntityIndividual
Role
Chief Legal Officer
Chief Business Officer
Shares425
Max PriceUS$7.52
BuyUS$49,95608 Nov 18
Gregory Went
EntityIndividual
Role
Top Key Executive
Founder & Strategic Advisor
Shares3,850
Max PriceUS$12.98

Ownership Breakdown


Management Team

  • Alf Merriweather (65yo)

    Chief Financial Officer

    • Tenure: 2.3yrs
    • Compensation: US$1.64m
  • Greg Went (55yo)

    Founder & Strategic Advisor

    • Tenure: 0yrs
    • Compensation: US$3.36m
  • Dean Hart

    Senior Vice President of Sales

    • Tenure: 0yrs
  • Melissa Masterson

    Senior Vice President of Commercial Operations & Market Access

    • Tenure: 0yrs
  • Rajiv Patni (50yo)

    Chief Medical Officer

    • Tenure: 4.3yrs
    • Compensation: US$1.75m
  • Neil McFarlane (46yo)

    CEO & Director

    • Tenure: 0.08yrs
  • Jennifer Rhodes (49yo)

    Chief Business Officer

    • Tenure: 3.5yrs
    • Compensation: US$1.46m
  • Chris Prentiss (44yo)

    Senior VP of Finance & Chief Accounting Officer

    • Tenure: 2.1yrs
  • Sarah Mathieson

    Head of Corporate Communications & Engagement and VP of Corporate Communications

    • Tenure: 0.7yrs
  • Vijay Shreedhar

    Chief Commercial Officer

    • Tenure: 0.4yrs

Board Members

  • Bill Ericson (60yo)

    Independent Director

    • Tenure: 14.8yrs
    • Compensation: US$222.74k
  • Martha Demski (66yo)

    Independent Director

    • Tenure: 5.6yrs
    • Compensation: US$232.24k
  • David Mahoney (65yo)

    Chairman & Lead Independent Director

    • Tenure: 0.08yrs
    • Compensation: US$240.61k
  • Ivan Lieberburg (69yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$206.99k
  • Jeff Cummings (70yo)

    Scientific & Clinical Advisor

    • Tenure: 0yrs
  • Arnold Monto

    Member of Influenza Advisory Board

    • Tenure: 0yrs
  • Matthew Stern

    Scientific & Clinical Advisor

    • Tenure: 0yrs
  • Martin Farlow

    Member of CNS Advisory Board

    • Tenure: 0yrs
  • Alan Perelson

    Member of Influenza Advisory Board

    • Tenure: 0yrs
  • Neil McFarlane (46yo)

    CEO & Director

    • Tenure: 0.08yrs

Company Information

Adamas Pharmaceuticals, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Adamas Pharmaceuticals, Inc.
  • Ticker: ADMS
  • Exchange: NasdaqGM
  • Founded: 2000
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$108.307m
  • Shares outstanding: 27.77m
  • Website: https://www.adamaspharma.com

Number of Employees


Location

  • Adamas Pharmaceuticals, Inc.
  • 1900 Powell Street
  • Suite 750
  • Emeryville
  • California
  • 94608
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ADMSNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDApr 2014
136DB (Deutsche Boerse AG)YesCommon StockDEEURApr 2014

Biography

Adamas Pharmaceuticals, Inc. focuses on the discovery, development, and commercialization of medicines for patients suffering from chronic neurologic disorders. The company offers GOCOVRI, an extended rele ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/24 00:16
End of Day Share Price2019/10/23 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.