COMPASS Pathways (NasdaqGS:CMPS) - Share price, News & Analysis

CMPS fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	0/6
Financial Health	6/6
Dividends	0/6

CMPS Stock Overview

COMPASS Pathways plc operates as a mental health care company primarily in the United Kingdom and the United States.

Risk Analysis

Makes less than USD$1m in revenue ($0)

Currently unprofitable and not forecast to become profitable over the next 3 years

COMPASS Pathways Competitors

Arcellx

NasdaqGS:ACLX

US$850.0m

Y-mAbs Therapeutics

NasdaqGS:YMAB

US$800.5m

TG Therapeutics

NasdaqCM:TGTX

US$1.1b

Instil Bio

NasdaqGS:TIL

US$859.1m

Price History & Performance

Summary of all time highs, changes and price drops for COMPASS Pathways
Historical stock prices
Current Share Price	US$19.73
52 Week High	US$49.52
52 Week Low	US$6.54
Beta	0
1 Month Change	59.89%
3 Month Change	179.46%
1 Year Change	-34.58%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-31.97%

Recent News & Updates

Aug 03

COMPASS Pathways ADS Q2 2022 Earnings Preview

COMPASS Pathways ADS (NASDAQ:CMPS) is scheduled to announce Q2 earnings results on Wednesday, August 3rd, after market close. The consensus EPS Estimate is -$0.60 (-36.4% Y/Y) and the consensus Revenue Estimate is $0M Over the last 3 months, EPS estimates have seen 5 upward revisions and 0 downward.

Shareholder Returns

	CMPS	US Biotechs	US Market
7D	23.0%	4.3%	1.2%
1Y	-34.6%	-22.1%	-11.6%

Return vs Industry: CMPS underperformed the US Biotechs industry which returned -25.9% over the past year.

Return vs Market: CMPS underperformed the US Market which returned -13.5% over the past year.

Price Volatility

Is CMPS's price volatile compared to industry and market?
CMPS volatility
CMPS Average Weekly Movement	11.8%
Biotechs Industry Average Movement	12.6%
Market Average Movement	7.9%
10% most volatile stocks in US Market	17.0%
10% least volatile stocks in US Market	3.2%

Stable Share Price: CMPS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: CMPS's weekly volatility (12%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2020	116	Kabir Nath	https://compasspathways.com

COMPASS Pathways plc operates as a mental health care company primarily in the United Kingdom and the United States. It develops COMP360, a psilocybin therapy that has completed Phase IIb clinical trials for the treatment of treatment-resistant depression; and is in Phase II clinical trials for the treatment of post-traumatic stress disorder. The company was formerly known as COMPASS Rx Limited and changed its name to COMPASS Pathways plc in August 2020.

COMPASS Pathways Fundamentals Summary

How do COMPASS Pathways's earnings and revenue compare to its market cap?
CMPS fundamental statistics
Market Cap	US$838.97m
Earnings (TTM)	-US$83.71m
Revenue (TTM)	n/a

0.0x

P/S Ratio

-10.0x

P/E Ratio

Is CMPS overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CMPS income statement (TTM)
Revenue	US$0
Cost of Revenue	US$0
Gross Profit	US$0
Other Expenses	US$83.71m
Earnings	-US$83.71m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-1.97
Gross Margin	0.00%
Net Profit Margin	0.00%
Debt/Equity Ratio	0%

How did CMPS perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is CMPS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Price-To-Book vs Peers
Price-To-Book vs Industry
Price-To-Book vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CMPS?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for CMPS. This is calculated by dividing CMPS's market cap by their current preferred multiple.
What is CMPS's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$838.97m

CMPS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	-7.1x
PEG Ratio	n/a

Price to Book Ratio vs Peers

How does CMPS's PB Ratio compare to its peers?

CMPS PB Ratio vs Peers

The above table shows the PB ratio for CMPS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PB	Estimated Growth	Market Cap
Peer Average	4.5x
ACLX Arcellx	3.8x	3.6%	US$850.0m
YMAB Y-mAbs Therapeutics	6.1x	52.7%	US$800.5m
TGTX TG Therapeutics	6.3x	45.8%	US$1.1b
TIL Instil Bio	1.7x	31.9%	US$859.1m
CMPS COMPASS Pathways	3.7x	12.5%	US$839.0m

Price-To-Book vs Peers: CMPS is good value based on its Price-To-Book Ratio (3.7x) compared to the peer average (4.5x).

Price to Earnings Ratio vs Industry

How does CMPS's PE Ratio compare vs other companies in the US Biotechs Industry?

Price-To-Book vs Industry: CMPS is expensive based on its Price-To-Book Ratio (3.7x) compared to the US Biotechs industry average (1.8x)

Price to Book Ratio vs Fair Ratio

What is CMPS's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CMPS PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio	3.7x
Fair PB Ratio	n/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate CMPS's Price-To-Book Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of CMPS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate CMPS's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate CMPS's fair value for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Future Growth

How is COMPASS Pathways forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

12.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: CMPS is forecast to have no revenue next year.

High Growth Revenue: CMPS is forecast to have no revenue next year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: CMPS is forecast to be unprofitable in 3 years.

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Past Performance

How has COMPASS Pathways performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-42.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CMPS is currently unprofitable.

Growing Profit Margin: CMPS is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: CMPS is unprofitable, and losses have increased over the past 5 years at a rate of 42.4% per year.

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

Earnings vs Industry: CMPS is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (40.8%).

Return on Equity

High ROE: CMPS has a negative Return on Equity (-37.27%), as it is currently unprofitable.

Discover strong past performing companies

Financial Health

How is COMPASS Pathways's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: CMPS's short term assets ($232.0M) exceed its short term liabilities ($13.2M).

Long Term Liabilities: CMPS's short term assets ($232.0M) exceed its long term liabilities ($818.0K).

Debt to Equity History and Analysis

Debt Level: CMPS is debt free.

Reducing Debt: CMPS had no debt 5 years ago.

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: CMPS has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: CMPS has sufficient cash runway for 1.4 years if free cash flow continues to reduce at historical rates of 51.5% each year.

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Dividend

What is COMPASS Pathways's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

Dividend Yield vs Market

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

High Dividend: Unable to evaluate CMPS'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 CMPS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CMPS'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 CMPS has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

0.6yrs

Average management tenure

CEO

Kabir Nath

no data

Tenure

Mr. Kabir Nath M.A., M.B.A., is Chief Executive Officer of COMPASS Pathways plc from August 1, 2022. He serves as President & CEO at Otsuka America Pharmaceutical, Inc. He served as President and Chief Exe...

Leadership Team

Experienced Management: CMPS's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.

Board Members

Experienced Board: CMPS's board of directors are considered experienced (4.3 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/08/10 00:00
End of Day Share Price	2022/08/10 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31