NasdaqGS:EDIT

Stock Analysis Report

Executive Summary

Editas Medicine, Inc. operates as a clinical stage genome editing company.

Snowflake

Fundamentals

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.0%

EDIT

1.0%

US Biotechs

-0.6%

US Market


1 Year Return

-17.0%

EDIT

-10.8%

US Biotechs

0.7%

US Market

EDIT underperformed the Biotechs industry which returned -10.8% over the past year.

EDIT underperformed the Market in United States of America which returned 0.6% over the past year.


Share holder returns

EDITIndustryMarket
7 Day-2.0%1.0%-0.6%
30 Day3.9%0.3%2.9%
90 Day14.7%-1.1%1.3%
1 Year-17.0%-17.0%-10.1%-10.8%2.9%0.7%
3 Year72.8%72.8%5.8%2.2%44.6%35.2%
5 Yearn/a3.7%-1.3%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

6.32x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Editas Medicine to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Editas Medicine to establish if it is available at substantial discount.


Price Based on Earnings

Editas Medicine is loss making, we can't compare its value to the US Biotechs industry average.

Editas Medicine 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 Editas Medicine, we can't assess if its growth is good value.


Price Based on Value of Assets

Editas Medicine is overvalued based on assets compared to the US Biotechs industry average.


Next Steps

Future Growth

How is Editas Medicine expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

-8.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Editas Medicine's revenue is expected to grow significantly at over 20% yearly.

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

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

Unable to compare Editas Medicine'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 Editas Medicine'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 Editas Medicine will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has Editas Medicine performed over the past 5 years?

-23.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

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

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


Return on Equity

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


Return on Capital Employed

It is difficult to establish if Editas Medicine 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 Editas Medicine's financial position?


Financial Position Analysis

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

Editas Medicine's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Editas Medicine's level of debt (0%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (7% vs 0% today).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are -9.1265446448663E+16x 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.

Editas Medicine has sufficient cash runway for more than 3 years based on current free cash flow.

Editas Medicine has sufficient cash runway for 1.7 years if free cash flow continues to grow at historical rates of 35.5% each year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

Unable to perform a dividend volatility check as Editas Medicine has not reported any payouts.

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


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Editas Medicine 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 Editas Medicine's salary, the management and board of directors tenure and is there insider trading?

5.5yrs

Average management tenure


CEO

Cindy Collins (61yo)

0.5yrs

Tenure

US$479,814

Compensation

Ms. Cynthia L. Collins, also Known as Cindy, has been a Director of Editas Medicine, Inc. since December 10, 2018 and its Chief Executive Officer since August 6, 2019 and President since June 12, 2019. She ...


Management Age and Tenure

5.5yrs

Average Tenure

61yo

Average Age

The average tenure for the Editas Medicine management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

1.9yrs

Average Tenure

60yo

Average Age

The average tenure for the Editas Medicine board of directors is less than 3 years, this suggests a new board.


Insider Trading

Editas Medicine individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$134,13521 Aug 19
Cynthia Collins
EntityIndividual
Role
Chief Executive Officer
CEO, President & Director
Shares5,193
Max PriceUS$25.83
BuyUS$244,18807 Mar 19
Jessica Hopfield
EntityIndividual
Shares10,200
Max PriceUS$23.94

Ownership Breakdown


Management Team

  • George Church (65yo)

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • David Liu

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • Cindy Collins (61yo)

    CEO, President & Director

    • Tenure: 0.5yrs
    • Compensation: US$479.81k
  • Mark Mullikin

    Senior Director of Finance & Investor Relations

    • Tenure: 0yrs
  • Feng Zhang

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • J. Joung

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • Vic Myer (52yo)

    Chief Technology Officer

    • Tenure: 4.4yrs
    • Compensation: US$2.46m
  • Charlene Stern

    Vice President of Legal

    • Tenure: 0yrs
  • Charlie Albright (61yo)

    Chief Scientific Officer

    • Tenure: 3.1yrs
    • Compensation: US$2.39m
  • Eric Ek

    Interim CFO

    • Tenure: 0.5yrs

Board Members

  • Jim Mullen (60yo)

    Chairman of the Board

    • Tenure: 1.5yrs
    • Compensation: US$612.36k
  • George Church (65yo)

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • Terry Flotte

    Scientific Advisory Board Member

    • Tenure: 0yrs
  • Akshay Vaishnaw (56yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$349.50k
  • David Liu

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • Cindy Collins (61yo)

    CEO, President & Director

    • Tenure: 0.5yrs
    • Compensation: US$479.81k
  • Andrew Hirsch (48yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$357.03k
  • Feng Zhang

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • J. Joung

    Co-Founder & Scientific Advisory Board Member

    • Tenure: 0yrs
  • Charles Gersbach

    Scientific Advisory Board Member

    • Tenure: 0yrs

Company Information

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


Key Information

  • Name: Editas Medicine, Inc.
  • Ticker: EDIT
  • Exchange: NasdaqGS
  • Founded: 2013
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$1.223b
  • Shares outstanding: 48.92m
  • Website: https://www.editasmedicine.com

Number of Employees


Location

  • Editas Medicine, Inc.
  • 11 Hurley Street
  • Cambridge
  • Massachusetts
  • 2141
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EDITNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 2016
8EMDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2016
0IFKLSE (London Stock Exchange)YesCommon StockGBUSDFeb 2016

Biography

Editas Medicine, Inc. operates as a clinical stage genome editing company. The company focuses on developing transformative genomic medicines to treat a range of serious diseases. It develops a proprietary ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 00:28
End of Day Share Price2019/09/20 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.