NasdaqGS:EDIT

Stock Analysis Report

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Executive Summary

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


Snowflake Analysis

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

Stable Share Price: EDIT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: EDIT's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

6.4%

EDIT

2.4%

US Biotechs

2.8%

US Market


1 Year Return

0.8%

EDIT

21.1%

US Biotechs

19.7%

US Market

Return vs Industry: EDIT underperformed the US Biotechs industry which returned 21.1% over the past year.

Return vs Market: EDIT underperformed the US Market which returned 19.7% over the past year.


Shareholder returns

EDITIndustryMarket
7 Day6.4%2.4%2.8%
30 Day-8.3%7.2%8.0%
90 Day-14.4%7.3%6.8%
1 Year0.8%0.8%23.1%21.1%22.4%19.7%
3 Year5.0%5.0%23.9%17.5%47.3%37.5%
5 Yearn/a11.2%3.6%93.6%72.3%

Long-Term 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 compared to its fair value and its price relative to the market?

4.13x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: EDIT is overvalued based on its PB Ratio (4.1x) compared to the US Biotechs industry average (3.5x).


Next Steps

Future Growth

How is Editas Medicine forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-8.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: EDIT's revenue (31.2% per year) is forecast to grow faster than the US market (10.2% per year).

High Growth Revenue: EDIT's revenue (31.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Editas Medicine performed over the past 5 years?

-10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EDIT is currently unprofitable.

Growing Profit Margin: EDIT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EDIT is unprofitable, and losses have increased over the past 5 years at a rate of 10.1% per year.

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

Earnings vs Industry: EDIT is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-8.8%).


Return on Equity

High ROE: EDIT has a negative Return on Equity (-20.68%), as it is currently unprofitable.


Next Steps

Financial Health

How is Editas Medicine's financial position?


Financial Position Analysis

Short Term Liabilities: EDIT's short term assets ($506.8M) exceed its short term liabilities ($54.8M).

Long Term Liabilities: EDIT's short term assets ($506.8M) exceed its long term liabilities ($101.2M).


Debt to Equity History and Analysis

Debt Level: EDIT is debt free.

Reducing Debt: EDIT has no debt compared to 5 years ago when its debt to equity ratio was 1.4%.


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: EDIT has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: EDIT has sufficient cash runway for 2 years if free cash flow continues to reduce at historical rates of 34.9% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if EDIT'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 EDIT'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?

3.2yrs

Average management tenure


CEO

Cindy Collins (62 yo)

1.67yrs

Tenure

US$14,489,736

Compensation

Ms. Cynthia L. Collins, also Known as Cindy, MBA, serves as Director of Alliance for Regenerative Medicine. She has been a Director of Editas Medicine, Inc. since December 10, 2018 and its Chief Executive ...


CEO Compensation Analysis

Compensation vs Market: Cindy's total compensation ($USD14.49M) is above average for companies of similar size in the US market ($USD4.15M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Cynthia Collins
President1.67yrsUS$14.49m0.023%
$ 417.9k
Charles Albright
Executive VP & Chief Scientific Officer4.25yrsUS$2.00m0.014%
$ 253.7k
Feng Zhang
Co-Founder & Scientific Advisory Board Memberno datano datano data
George Church
Co-Founder & Scientific Advisory Board Memberno datano datano data
J. Joung
Co-Founder & Scientific Advisory Board Memberno datano datano data
David Liu
Co-Founder & Scientific Advisory Board Memberno datano datano data
Michelle Robertson
CFO, Principal Accounting Officer0.83yrno datano data
Harry Gill
Senior Vice President of Operations0.83yrno datano data
Mark Mullikin
Senior Director of Finance & Investor Relationsno datano datano data
Charlene Stern
Senior VP & Chief Legal Officerno datano datano data
Clare Carmichael
Chief Human Resources Officer0.58yrno datano data
Richard Morgan
Senior Vice President of Immunogenetics2.08yrsno datano data

3.2yrs

Average Tenure

61yo

Average Age

Experienced Management: EDIT's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Cynthia Collins
President1.67yrsUS$14.49m0.023%
$ 417.9k
Feng Zhang
Co-Founder & Scientific Advisory Board Memberno datano datano data
George Church
Co-Founder & Scientific Advisory Board Memberno datano datano data
J. Joung
Co-Founder & Scientific Advisory Board Memberno datano datano data
David Liu
Co-Founder & Scientific Advisory Board Memberno datano datano data
James Mullen
Independent Chairman2.67yrsUS$260.75k0.016%
$ 290.1k
Akshay Vaishnaw
Independent Director4.33yrsUS$210.25k0%
$ 0
Andrew Hirsch
Independent Director3.5yrsUS$215.25k0.0032%
$ 58.0k
Jessica Hopfield
Independent Director2.75yrsUS$226.52k0.027%
$ 490.5k
David Scadden
Independent Director1.75yrsUS$370.65k0%
$ 0

2.7yrs

Average Tenure

61yo

Average Age

Experienced Board: EDIT'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: EDIT insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 21.9%.


Top Shareholders

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$1.794b
  • Shares outstanding: 61.82m
  • 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. The company develops a pr...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/25 23:51
End of Day Share Price2020/11/25 00:00
Earnings2020/09/30
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.