NasdaqCM:DMTK

Stock Analysis Report

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Executive Summary

DermTech, Inc., a molecular diagnostic company, develops and markets novel non-invasive diagnostic tests to diagnosis skin cancer and related conditions in the United States.


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: DMTK's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.1%

DMTK

0.7%

US Biotechs

1.0%

US Market


1 Year Return

n/a

DMTK

23.6%

US Biotechs

4.1%

US Market

Return vs Industry: Insufficient data to determine how DMTK performed against the US Biotechs industry.

Return vs Market: Insufficient data to determine how DMTK performed against the US Market.


Shareholder returns

DMTKIndustryMarket
7 Day7.1%0.7%1.0%
30 Day8.5%4.5%5.4%
90 Day9.9%11.4%-5.7%
1 Yearn/a24.8%23.6%6.5%4.1%
3 Yearn/a35.4%30.9%28.3%19.8%
5 Yearn/a-2.3%-8.2%52.2%35.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.01x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate DMTK's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate DMTK's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: DMTK is good value based on its PB Ratio (3x) compared to the US Biotechs industry average (3.8x).


Next Steps

Future Growth

How is DermTech forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-13.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: DMTK's revenue (95.3% per year) is forecast to grow faster than the US market (8.9% per year).

High Growth Revenue: DMTK's revenue (95.3% 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 DMTK's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has DermTech performed over the past 5 years?

-67.0%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: DMTK is currently unprofitable.

Growing Profit Margin: DMTK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if DMTK's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: DMTK is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-4.5%).


Return on Equity

High ROE: DMTK has a negative Return on Equity (-32.32%), as it is currently unprofitable.


Next Steps

Financial Health

How is DermTech's financial position?


Financial Position Analysis

Short Term Liabilities: DMTK's short term assets ($70.1M) exceed its short term liabilities ($5.3M).

Long Term Liabilities: DMTK has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: DMTK is debt free.

Reducing Debt: DMTK has no debt compared to 5 years ago when its debt to equity ratio was 22%.


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

Forecast Cash Runway: DMTK has sufficient cash runway for 1.8 years if free cash flow continues to reduce at historical rates of 20.1% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

John Dobak (53yo)

7.92yrs

Tenure

US$1,522,869

Compensation

Dr. John D. Dobak, M.D. has been the Chief Executive Officer and President of DermTech, Inc. since June 26, 2012. Dr. Dobak is the Co-Founder of Post-Hypothermia Corporation and serves as its Chief Executi ...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD1.52M) is about average for companies of similar size in the US market ($USD1.42M).

Compensation vs Earnings: John's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
John Dobak
President7.92yrsUS$1.52m2.95% $5.9m
Burkhard Jansen
Chief Medical Officer3.33yrsUS$480.83k0.48% $959.3k
Todd Wood
Chief Commercial Officer1.33yrsUS$846.18k0.91% $1.8m
Kevin Sun
CFO, Treasurer & Secretary0.67yrno datano data
Claudia Ibarra
Chief Operating Officer0.58yrno data0.74% $1.5m
Zuxu Yao
Chief Scientific Officer3.33yrsno data0.18% $371.4k
Sarah Dennison
Vice President of Marketingno datano datano data
Daniel Visage
Senior Vice President of Payer Access1.33yrsno datano data

1.3yrs

Average Tenure

53yo

Average Age

Experienced Management: DMTK's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
John Dobak
President7.92yrsUS$1.52m2.95% $5.9m
Scott Pancoast
Independent Director7.33yrsUS$103.02k0.26% $519.2k
Herman Rosenman
Independent Director2.75yrsUS$102.00k0.20% $393.9k
Matthew Posard
Independent Chairman of the Board0.75yrUS$108.94k0.26% $525.2k
Gary Jacobs
Independent Directorno dataUS$97.75k8.77% $17.6m
Eugene Salkind
Independent Director13.33yrsUS$47.63k1.16% $2.3m
Cynthia Collins
Independent Director2yrsUS$89.69k0.13% $262.6k
Ronald Moy
Member of Scientific Advisory Boardno datano datano data
Daniel Siegel
Member of Scientific Advisory Board2.58yrsno datano data
Stevan Knezevich
Member of Scientific Advisory Board1.5yrsno datano data

2.7yrs

Average Tenure

61yo

Average Age

Experienced Board: DMTK's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


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: DMTK only recently listed within the past 12 months.


Top Shareholders

Company Information

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


Key Information

  • Name: DermTech, Inc.
  • Ticker: DMTK
  • Exchange: NasdaqCM
  • Founded:
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$200.950m
  • Shares outstanding: 14.91m
  • Website: https://www.dermtech.com

Number of Employees


Location

  • DermTech, Inc.
  • 11099 North Torrey Pines Road
  • Suite 100
  • La Jolla
  • California
  • 92037
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DMTKNasdaqCM (Nasdaq Capital Market)YesNew Common StockUSUSDAug 2019

Biography

DermTech, Inc., a molecular diagnostic company, develops and markets novel non-invasive diagnostic tests to diagnosis skin cancer and related conditions in the United States. The company offers Pigmented Lesion Assay (PLA), a gene expression test that helps rule out melanoma and the need for a surgical biopsy of atypical pigmented lesions. It also provides Nevome test, an adjunctive reflex test for the PLA; and adhesive skin sample collection kits, as well as gene expression assays for the Th1, Th2, IFN-gamma, and Th17 inflammatory pathways. The company is also developing non-melanoma skin cancer diagnostic and non-melanoma skin cancer risk assessment products. The company sells its products primarily to pathology and oncology practitioners. DermTech, Inc. is headquartered in La Jolla, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 04:38
End of Day Share Price2020/05/22 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.