NasdaqGM:CARA

Stock Analysis Report

Executive Summary

Cara Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on developing and commercializing chemical entities with a primary focus on pruritus and pain by selectively targeting kappa opioid receptors in the United States.

Snowflake

Fundamentals

Excellent balance sheet with high growth potential.

Share Price & News

How has Cara Therapeutics's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.6%

NasdaqGM:CARA

0.7%

US Pharmaceuticals

1.1%

US Market


1 Year Return

5.9%

NasdaqGM:CARA

-8.5%

US Pharmaceuticals

2.1%

US Market

CARA outperformed the Pharmaceuticals industry which returned -7.3% over the past year.

CARA outperformed the Market in United States of America which returned 2% over the past year.


Share holder returns

CARAIndustryMarket
7 Day0.6%0.7%1.1%
30 Day1.5%0.7%3.7%
90 Day20.2%-4.8%2.3%
1 Year5.9%5.9%-6.2%-8.5%4.4%2.1%
3 Year226.1%226.1%12.3%4.5%47.0%37.4%
5 Year184.0%184.0%21.0%8.0%61.6%43.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

35%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

Cara Therapeutics's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Cara Therapeutics is loss making, we can't compare its value to the US Pharmaceuticals industry average.

Cara Therapeutics 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 Cara Therapeutics, we can't assess if its growth is good value.


Price Based on Value of Assets

Cara Therapeutics is overvalued based on assets compared to the US Pharmaceuticals industry average.


Next Steps

Future Growth

How is Cara Therapeutics expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

38.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Cara Therapeutics's revenue is expected to grow significantly at over 20% yearly.

Cara Therapeutics's earnings are expected to grow significantly at over 20% yearly.

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

Cara Therapeutics's earnings growth is expected to exceed the United States of America market average.

Cara Therapeutics's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Cara Therapeutics will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Cara Therapeutics performed over the past 5 years?

-31.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

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

Unable to compare Cara Therapeutics'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 Cara Therapeutics 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 Cara Therapeutics 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 Cara Therapeutics 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 Cara Therapeutics's financial position?


Financial Position Analysis

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

Cara Therapeutics's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Cara Therapeutics has no debt.

Cara Therapeutics currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Low level of unsold assets.

Cara Therapeutics 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.

Cara Therapeutics has sufficient cash runway for 1.2 years based on current free cash flow.

Cara Therapeutics has less than a year of cash runway if free cash flow continues to reduce at historical rates of -1.9% each year.


Next Steps

Dividend

What is Cara Therapeutics's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

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

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

Unable to perform a dividend volatility check as Cara Therapeutics has not reported any payouts.

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


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Cara Therapeutics has not reported any payouts.


Future Payout to Shareholders

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

2.1yrs

Average management tenure


CEO

Derek Chalmers (55yo)

15yrs

Tenure

US$2,789,046

Compensation

Dr. Derek T. Chalmers, Ph.D., D.Sc. co-founded Cara Therapeutics, Inc. in 2004 and has been its Chief Executive Officer and President since September 2004. Dr. Chalmers served as a Principal Investigator a ...


CEO Compensation Analysis

Derek's remuneration is about average for companies of similar size in United States of America.

Derek's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.1yrs

Average Tenure

54yo

Average Age

The tenure for the Cara Therapeutics management team is about average.


Board Age and Tenure

5.2yrs

Average Tenure

56yo

Average Age

The tenure for the Cara Therapeutics board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$53,38930 May 19
Mani Mohindru
EntityIndividual
Role
Chief Financial Officer
CFO & Chief Strategy Officer
Shares2,496
Max PriceUS$21.39

Ownership Breakdown


Management Team

  • Derek Chalmers (55yo)

    Co-Founder

    • Tenure: 15yrs
    • Compensation: US$2.79m
  • Frédérique Menzaghi (53yo)

    Chief Scientific Officer and Senior VP of R&D

    • Tenure: 0.5yrs
    • Compensation: US$1.24m
  • Michael Lewis (67yo)

    Co-Founder & Chief Scientific Advisor

    • Tenure: 0yrs
  • Mani Mohindru (47yo)

    CFO & Chief Strategy Officer

    • Tenure: 2.1yrs
    • Compensation: US$4.05m
  • Jo Goncalves (45yo)

    Chief Medical Officer

    • Tenure: 0.9yrs
    • Compensation: US$3.74m
  • Scott Terrillion (56yo)

    Chief Compliance Officer

    • Tenure: 2.8yrs

Board Members

  • Martin Vogelbaum (56yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$332.26k
  • Harrison Bains (75yo)

    Director

    • Tenure: 5.2yrs
    • Compensation: US$284.26k
  • Derek Chalmers (55yo)

    Co-Founder

    • Tenure: 15yrs
    • Compensation: US$2.79m
  • Graeme Milligan

    Member of the Scientific Advisory Board

    • Tenure: 0yrs
  • Stanley Watson

    Member of the Scientific Advisory Board

    • Tenure: 0yrs
  • James Kauer

    Member of the Scientific Advisory Board

    • Tenure: 0yrs
  • Philip Portoghese

    Member of the Scientific Advisory Board

    • Tenure: 0yrs
  • Jeff Ives (68yo)

    Director

    • Tenure: 5.2yrs
    • Compensation: US$281.26k
  • Chris Posner (49yo)

    Director

    • Tenure: 1.1yrs
    • Compensation: US$494.29k

Company Information

Cara Therapeutics, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cara Therapeutics, Inc.
  • Ticker: CARA
  • Exchange: NasdaqGM
  • Founded: 2004
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$1.105b
  • Shares outstanding: 46.59m
  • Website: https://www.caratherapeutics.com

Number of Employees


Location

  • Cara Therapeutics, Inc.
  • 4 Stamford Plaza
  • 9th Floor
  • Stamford
  • Connecticut
  • 6902
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CARANasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJan 2014
69CDB (Deutsche Boerse AG)YesCommon StockDEEURJan 2014
0HTCLSE (London Stock Exchange)YesCommon StockGBUSDJan 2014

Biography

Cara Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on developing and commercializing chemical entities with a primary focus on pruritus and pain by selectively targeting kappa opi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 00:53
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.