NasdaqGM:ETON

Stock Analysis Report

Executive Summary

Eton Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on developing and commercializing pharmaceutical products.

Snowflake

Fundamentals

Adequate balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-8.0%

ETON

-0.07%

US Pharmaceuticals

1.0%

US Market


1 Year Return

n/a

ETON

-7.0%

US Pharmaceuticals

8.0%

US Market

Return vs Industry: Insufficient data to determine how ETON performed against the US Pharmaceuticals industry.

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


Shareholder returns

ETONIndustryMarket
7 Day-8.0%-0.07%1.0%
30 Day-18.3%-1.6%-0.07%
90 Day-6.7%-1.7%-1.0%
1 Yearn/a-4.7%-7.0%10.4%8.0%
3 Yearn/a19.5%11.0%46.2%36.7%
5 Yearn/a22.0%9.2%64.3%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ETON ($5.83) is trading below our estimate of fair value ($103.06)

Significantly Below Fair Value: ETON is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: ETON is overvalued based on its PB Ratio (6.2x) compared to the US Pharmaceuticals industry average (2.9x).


Next Steps

Future Growth

How is Eton Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

57.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: ETON's revenue (63.2% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: ETON's revenue (63.2% 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 ETON's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Eton Pharmaceuticals performed over the past 5 years?

-144.0%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if ETON's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

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

Earnings vs Industry: ETON is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (24.3%).


Return on Equity

High ROE: ETON has a negative Return on Equity (-103.59%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ETON is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ETON is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Eton Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: ETON's short term assets ($16.8M) exceeds its short term liabilities ($1.5M)

Long Term Liabilities: ETON's short term assets (16.8M) exceeds its long term liabilities (86.0K)


Debt to Equity History and Analysis

Debt Level: ETON is debt free.

Reducing Debt: ETON has not had any debt for past 5 years.


Balance Sheet

Inventory Level: ETON has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if ETON's debt is 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.

Stable Cash Runway: ETON has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: ETON has less than a year of cash runway if free cash flow continues to reduce at historical rates of -49.4% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate ETON's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ETON's dividends per share have been stable in the past.

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


Next Steps

Management

What is the CEO of Eton Pharmaceuticals's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average board tenure


CEO

Sean Brynjelsen (47yo)

2.3yrs

Tenure

US$493,022

Compensation

Mr. Sean E. Brynjelsen has been the Chief Executive Officer at Eton Pharmaceuticals, Inc. since June 23, 2017 and serves as President and Director since June 2017. Mr. Brynjelsen served as Executive Vice P ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Sean's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Sean's compensation has been consistent with company performance over the past year.


Board Age and Tenure

2.3yrs

Average Tenure

61yo

Average Age

Experienced Board: ETON's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: ETON insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$30,75013 Aug 19
Sean Brynjelsen
EntityIndividual
Role
Chief Executive Officer
President
Shares5,000
Max PriceUS$6.15
BuyUS$21,37012 Aug 19
Charles Casamento
EntityIndividual
Role
Member of the Board of Directors
Director
Shares3,500
Max PriceUS$6.11
BuyUS$79,32622 May 19
Sean Brynjelsen
EntityIndividual
Role
Chief Executive Officer
President
Shares10,000
Max PriceUS$7.96
BuyUS$30,00016 Nov 18
Charles Casamento
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$6.00
BuyUS$60,00016 Nov 18
Sean Brynjelsen
EntityIndividual
Role
Chief Executive Officer
President
Shares10,000
Max PriceUS$6.00
BuyUS$30,00016 Nov 18
Paul Maier
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$6.00
BuyUS$30,00016 Nov 18
Norbert Riedel
EntityIndividual
Role
Chairman of the Board
Chairman
Shares5,000
Max PriceUS$6.00
BuyUS$30,00016 Nov 18
W. Troutman
EntityIndividual
Role
Chief Financial Officer
CFO, Treasurer & Secretary
Shares5,000
Max PriceUS$6.00
BuyUS$60,00016 Nov 18
Mark Baum
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,000
Max PriceUS$6.00

Ownership Breakdown


Management Team

  • Sean Brynjelsen (47yo)

    President

    • Tenure: 2.3yrs
    • Compensation: US$493.02k
  • W. Troutman (64yo)

    CFO, Treasurer & Secretary

    • Tenure: 2.3yrs
    • Compensation: US$296.55k
  • Bharathi Devarakonda

    Senior Vice President of Regulatory Affairs & Product Development

    • Tenure: 0yrs
  • Scott Grossenbach

    Vice President of Sales & Marketing

    • Tenure: 0yrs

Board Members

  • Paul Maier (71yo)

    Director

    • Tenure: 2.1yrs
    • Compensation: US$125.00k
  • Chuck Casamento (74yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$125.00k
  • Norbert Riedel (61yo)

    Chairman

    • Tenure: 1.1yrs
    • Compensation: US$125.00k
  • Mark Baum (46yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: US$125.00k
  • Sean Brynjelsen (47yo)

    President

    • Tenure: 2.3yrs
    • Compensation: US$493.02k

Company Information

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


Key Information

  • Name: Eton Pharmaceuticals, Inc.
  • Ticker: ETON
  • Exchange: NasdaqGM
  • Founded: 2017
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$103.559m
  • Shares outstanding: 17.76m
  • Website: https://www.etonpharma.com

Number of Employees


Location

  • Eton Pharmaceuticals, Inc.
  • 21925 West Field Parkway
  • Suite 235
  • Deer Park
  • Illinois
  • 60010
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ETONNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDNov 2018

Biography

Eton Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on developing and commercializing pharmaceutical products. It primarily focuses on liquid products, including injectable, oral liquid ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 00:57
End of Day Share Price2019/10/21 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.