NasdaqGM:AVDL

Stock Analysis Report

Executive Summary

Avadel Pharmaceuticals plc operates as a specialty pharmaceutical company in the United States, France, and Ireland.

Snowflake

Fundamentals

Mediocre balance sheet with weak fundamentals.

Risks

  • Avadel Pharmaceuticals has significant price volatility in the past 3 months.
  • Avadel Pharmaceuticals is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.6%

NasdaqGM:AVDL

-1.1%

US Pharmaceuticals

0.2%

US Market


1 Year Return

-53.0%

NasdaqGM:AVDL

-6.8%

US Pharmaceuticals

-0.7%

US Market

AVDL underperformed the Pharmaceuticals industry which returned -6.8% over the past year.

AVDL underperformed the Market in United States of America which returned -0.7% over the past year.


Share holder returns

AVDLIndustryMarket
7 Day5.6%-1.1%0.2%
30 Day-5.9%-2.4%-2.7%
90 Day34.8%-4.6%1.6%
1 Year-53.0%-53.0%-4.6%-6.8%1.6%-0.7%
3 Yearn/a8.9%1.4%40.0%30.9%
5 Yearn/a22.3%9.4%53.8%36.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether Avadel Pharmaceuticals is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Avadel Pharmaceuticals has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

Future Growth

How is Avadel Pharmaceuticals expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

62.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Avadel Pharmaceuticals's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

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

Avadel Pharmaceuticals's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Unable to compare Avadel Pharmaceuticals'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 Avadel Pharmaceuticals'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 Avadel Pharmaceuticals will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Avadel Pharmaceuticals performed over the past 5 years?

1.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Avadel Pharmaceuticals does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

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

Unable to compare Avadel Pharmaceuticals's 1-year growth to the US Pharmaceuticals industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Avadel Pharmaceuticals has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.


Return on Assets

It is difficult to establish if Avadel Pharmaceuticals has efficiently used its assets last year compared to the US Pharmaceuticals industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Avadel Pharmaceuticals 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 Avadel Pharmaceuticals's financial position?


Financial Position Analysis

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

Avadel Pharmaceuticals's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Avadel Pharmaceuticals has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.

Irrelevant to check if Avadel Pharmaceuticals's debt level has increased considering it has negative shareholder equity.


Balance Sheet

Low level of unsold assets.

Avadel Pharmaceuticals has negative shareholder equity (liabilities exceed assets) therefore debt is not 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.

Avadel Pharmaceuticals has sufficient cash runway for 1.2 years based on current free cash flow.

Avadel Pharmaceuticals has sufficient cash runway for 1.1 years if free cash flow continues to grow at historical rates of 96.2% each year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

Unable to perform a dividend volatility check as Avadel Pharmaceuticals has not reported any payouts.

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


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Avadel Pharmaceuticals has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

3.9yrs

Average management tenure


CEO

Greg Divis (52yo)

0.6yrs

Tenure

0

Mr. Gregory J. Divis Jr., also known as Greg, has been the Chief Executive Officer and Director of Avadel Pharmaceuticals plc since June 3, 2019. Mr. Divis served as an Interim Chief Executive Officer at  ...


Management Age and Tenure

3.9yrs

Average Tenure

54yo

Average Age

The tenure for the Avadel Pharmaceuticals management team is about average.


Board Age and Tenure

0.9yrs

Average Tenure

53yo

Average Age

The average tenure for the Avadel Pharmaceuticals 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$21,02218 Dec 18
Michael Kanan
EntityIndividual
Role
Chief Financial Officer
Senior VP & CFO
Shares8,429
Max PriceUS$2.49
SellUS$1,65618 Dec 18
David Gusky
EntityIndividual
Shares617
Max PriceUS$2.68
SellUS$8,18318 Dec 18
Sandra Hatten
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Quality & Regulatory Affairs
Shares3,173
Max PriceUS$2.58

Ownership Breakdown


Management Team

  • Christian Kalita

    Chief Pharmacist and Director of Quality Assurance & Regulatory Affairs

    • Tenure: 0.0yrs
  • Mark Elrod

    Vice President of Sales

    • Tenure: 3.0yrs
  • Greg Divis (52yo)

    CEO & Director

    • Tenure: 0.6yrs
  • Mike Kanan (56yo)

    Senior VP & CFO

    • Tenure: 3.8yrs
    • Compensation: US$477.05k
  • Phil Thompson (45yo)

    Senior VP

    • Tenure: 5.8yrs
    • Compensation: US$450.38k
  • Sandy Hatten (62yo)

    Senior Vice President of Quality & Regulatory Affairs

    • Tenure: 4.2yrs
    • Compensation: US$380.79k
  • Jordan Dubow (41yo)

    Chief Medical Officer

    • Tenure: 0.3yrs
  • Séverine Martin

    Director of Human Resources and Corporate Projects

    • Tenure: 5.0yrs
  • Gregg Divis (54yo)

    VP of Corporate and Business Development

    • Tenure: 4.1yrs
    • Compensation: US$685.43k
  • Steve Sullivan (54yo)

    VP of Sales & Marketing and Head of Commercial Operations

    • Tenure: 0.0yrs

Board Members

  • Jean-Marie Lehn (80yo)

    Member of Scientific Advisory Board

    • Tenure: 14.6yrs
  • Peter Thornton (54yo)

    Director

    • Tenure: 2.1yrs
    • Compensation: US$227.38k
  • Christian Trepo

    Member of Scientific Advisory Board

    • Tenure: 14.6yrs
  • Patrick Couvreur

    Member of Scientific Advisory Board

    • Tenure: 0.0yrs
  • Eric Ende (50yo)

    Director

    • Tenure: 0.7yrs
  • Catherine Bréchignac (72yo)

    Chairman of Scientific Advisory Board

    • Tenure: 0.0yrs
  • Greg Divis (52yo)

    CEO & Director

    • Tenure: 0.6yrs
  • Kevin Kotler (48yo)

    Director

    • Tenure: 0.7yrs
  • Geoff Glass (45yo)

    Non-Executive Chairman of the Board

    • Tenure: 0.7yrs
    • Compensation: US$214.40k
  • Linda Palczuk (57yo)

    Director

    • Tenure: 1.1yrs
    • Compensation: US$214.40k

Company Information

Avadel Pharmaceuticals plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Avadel Pharmaceuticals plc
  • Ticker: AVDL
  • Exchange: NasdaqGM
  • Founded: 2015
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$78.271m
  • Shares outstanding: 37.45m
  • Website: https://www.avadel.com

Number of Employees


Location

  • Avadel Pharmaceuticals plc
  • Blanchardstown Corporate Park
  • Block 10-1
  • Dublin
  • Co. Dublin
  • 15
  • Ireland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AVDLNasdaqGM (Nasdaq Global Market)YesSPON ADR EACH REP 1 ORD SHSUSUSDJan 2017
AWK1DB (Deutsche Boerse AG)YesSPON ADR EACH REP 1 ORD SHSDEEURJan 2017

Biography

Avadel Pharmaceuticals plc operates as a specialty pharmaceutical company in the United States, France, and Ireland. The company primarily develops FT218, which is in a Phase 3 clinical trial for the treat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 00:40
End of Day Share Price2019/08/21 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.