NasdaqGS:GHDX

Stock Analysis Report

Executive Summary

Genomic Health, Inc., a healthcare company, provides clinically actionable genomic information to personalize cancer treatment decisions in the United States and internationally.

Snowflake

Fundamentals

Adequate balance sheet with proven track record.

Risks

  • Genomic Health has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.5%

NasdaqGS:GHDX

1.7%

US Biotechs

2.1%

US Market


1 Year Return

27.5%

NasdaqGS:GHDX

-9.1%

US Biotechs

-0.04%

US Market

GHDX outperformed the Biotechs industry which returned -8.8% over the past year.

GHDX outperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

GHDXIndustryMarket
7 Day-1.5%1.7%2.1%
30 Day12.7%0.7%-3.2%
90 Day36.0%2.4%2.8%
1 Year27.5%27.5%-8.3%-9.1%2.2%-0.04%
3 Year183.1%183.1%11.9%8.1%41.5%32.3%
5 Year147.4%147.4%5.2%0.3%55.0%37.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

53.54x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Genomic Health's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Genomic Health's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Genomic Health is overvalued based on earnings compared to the US Biotechs industry average.

Genomic Health is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Genomic Health is poor value based on expected growth next year.


Price Based on Value of Assets

Genomic Health is overvalued based on assets compared to the US Biotechs industry average.


Next Steps

Future Growth

How is Genomic Health expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

17.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Genomic Health's revenue is expected to grow by 8.4% yearly, however this is not considered high growth (20% yearly).

Genomic Health's earnings are expected to grow by 17.4% yearly, however this is not considered high growth (20% yearly).

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

Genomic Health's earnings growth is expected to exceed the United States of America market average.

Genomic Health's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Genomic Health is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Genomic Health performed over the past 5 years?

63.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Genomic Health has delivered over 20% year on year earnings growth in the past 5 years.

Genomic Health's 1-year earnings growth exceeds its 5-year average (1084.9% vs 63.4%)

Genomic Health's earnings growth has exceeded the US Biotechs industry average in the past year (1084.9% vs 83.4%).


Return on Equity

Genomic Health has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Genomic Health used its assets less efficiently than the US Biotechs industry average last year based on Return on Assets.


Return on Capital Employed

Genomic Health has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).


Next Steps

Financial Health

How is Genomic Health's financial position?


Financial Position Analysis

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

Genomic Health's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

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

Unable to establish if Genomic Health's debt level has increased without past 5-year debt data.

Operating cash flow is negative therefore debt is not well covered.

Genomic Health has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are -4.3941903039231E+16x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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

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

Unable to perform a dividend volatility check as Genomic Health has not reported any payouts.

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


Current Payout to Shareholders

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

4.7yrs

Average management tenure


CEO

Kim Popovits (60yo)

10.6yrs

Tenure

US$4,755,472

Compensation

Ms. Kimberly J. Popovits, also known as Kim, has served as the Chief Executive Officer and President at Genomic Health, Inc. since January 2009 and February 2002 respectively. Ms. Popovits serves as Direct ...


CEO Compensation Analysis

Kim's remuneration is about average for companies of similar size in United States of America.

Kim's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.7yrs

Average Tenure

60yo

Average Age

The tenure for the Genomic Health management team is about average.


Board Age and Tenure

7.3yrs

Average Tenure

60.5yo

Average Age

The tenure for the Genomic Health board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$291,70919 Aug 19
Jason Radford
EntityIndividual
Role
Chief Legal Officer
Chief Legal Officer & Secretary
Shares3,508
Max PriceUS$83.73
SellUS$1,447,61611 May 19
Steven Shak
EntityIndividual
Role
Top Key Executive
Co-Founder & Chief Scientific Officer
Shares25,000
Max PriceUS$59.59
SellUS$33,035,29412 Apr 19
Baker Bros. Advisors LP
EntityCompany
Shares500,950
Max PriceUS$67.42
SellUS$166,50710 Apr 19
Kimberly Popovits
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares2,464
Max PriceUS$68.31
SellUS$12,428,39910 Apr 19
Baker Bros. Advisors LP
EntityCompany
Shares181,399
Max PriceUS$69.12
SellUS$17,436,45405 Apr 19
Baker Bros. Advisors LP
EntityCompany
Shares255,970
Max PriceUS$68.90
SellUS$4,232,16425 Mar 19
Baker Bros. Advisors LP
EntityCompany
Shares56,651
Max PriceUS$74.71
SellUS$23,827,29919 Mar 19
Baker Bros. Advisors LP
EntityCompany
Shares320,106
Max PriceUS$76.57
SellUS$16,681,95814 Mar 19
Baker Bros. Advisors LP
EntityCompany
Shares219,527
Max PriceUS$76.50
SellUS$5,494,44811 Mar 19
Baker Bros. Advisors LP
EntityCompany
Shares73,735
Max PriceUS$75.08
SellUS$9,041,14005 Mar 19
Baker Bros. Advisors LP
EntityCompany
Shares117,387
Max PriceUS$77.64
SellUS$2,441,70728 Feb 19
Baker Bros. Advisors LP
EntityCompany
Shares31,859
Max PriceUS$76.66
SellUS$45,71928 Feb 19
Baker Bros. Advisors LP
EntityCompany
Shares600
Max PriceUS$76.20
SellUS$3,302,98030 Jan 19
Baker Bros. Advisors LP
EntityCompany
Shares46,477
Max PriceUS$71.35
SellUS$15,006,32825 Jan 19
Baker Bros. Advisors LP
EntityCompany
Shares208,831
Max PriceUS$73.46
SellUS$30,331,14222 Jan 19
Baker Bros. Advisors LP
EntityCompany
Shares423,295
Max PriceUS$72.79
SellUS$2,757,35614 Jan 19
Baker Bros. Advisors LP
EntityCompany
Shares39,259
Max PriceUS$70.28
SellUS$6,306,39412 Dec 18
Baker Bros. Advisors LP
EntityCompany
Shares85,420
Max PriceUS$74.88
SellUS$17,274,42707 Dec 18
Baker Bros. Advisors LP
EntityCompany
Shares227,910
Max PriceUS$77.75
SellUS$36,080,04603 Dec 18
Baker Bros. Advisors LP
EntityCompany
Shares458,169
Max PriceUS$80.09
SellUS$32,148,48628 Nov 18
Baker Bros. Advisors LP
EntityCompany
Shares428,677
Max PriceUS$76.81
SellUS$6,699,00020 Nov 18
Baker Bros. Advisors LP
EntityCompany
Shares87,395
Max PriceUS$77.66
SellUS$62,331,60613 Nov 18
Baker Bros. Advisors LP
EntityCompany
Shares759,673
Max PriceUS$89.34

Ownership Breakdown


Management Team

  • Kim Popovits (60yo)

    Chairman

    • Tenure: 10.6yrs
    • Compensation: US$4.76m
  • Laura Kammeyer (56yo)

    Chief Communications Officer

    • Tenure: 4.7yrs
  • Jim Vaughn (56yo)

    Chief U.S. Commercial Officer

    • Tenure: 8.0yrs
    • Compensation: US$1.56m
  • Steve Shak (68yo)

    Co-Founder & Chief Scientific Officer

    • Tenure: 19.6yrs
    • Compensation: US$1.65m
  • Brad Cole (63yo)

    Chief Financial Officer

    • Tenure: 5.2yrs
    • Compensation: US$1.93m
  • Frederic Pla (60yo)

    Chief Operating Officer

    • Tenure: 1.4yrs
    • Compensation: US$2.21m
  • Jason Radford (37yo)

    Chief Legal Officer & Secretary

    • Tenure: 4.3yrs
  • Emily Faucette

    Vice President of Corporate Communications & Investor Relations

    • Tenure: 0.0yrs
  • Rolando Brawer

    Vice President of Corporate Development

    • Tenure: 2.8yrs
  • David Green

    VP & Chief Information Officer

    • Tenure: 1.6yrs

Board Members

  • Ginger Graham (63yo)

    Independent Director

    • Tenure: 10.7yrs
    • Compensation: US$272.95k
  • Kim Popovits (60yo)

    Chairman

    • Tenure: 10.6yrs
    • Compensation: US$4.76m
  • Hank Fuchs (61yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: US$285.95k
  • Fred Cohen (63yo)

    Independent Director

    • Tenure: 17.3yrs
    • Compensation: US$280.95k
  • Jim Baker (52yo)

    Lead Independent Director

    • Tenure: 18.6yrs
    • Compensation: US$268.95k
  • Felix Baker (50yo)

    Independent Director

    • Tenure: 7.1yrs
    • Compensation: US$283.95k
  • Geoff Parker (54yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: US$283.95k
  • Barry Flannelly (61yo)

    Director

    • Tenure: 0.3yrs

Company Information

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


Key Information

  • Name: Genomic Health, Inc.
  • Ticker: GHDX
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$2.741b
  • Shares outstanding: 37.29m
  • Website: https://www.genomichealth.com

Number of Employees


Location

  • Genomic Health, Inc.
  • 301 Penobscot Drive
  • Redwood City
  • California
  • 94063
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GHDXNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 2005
G7HDB (Deutsche Boerse AG)YesCommon StockDEEURSep 2005

Biography

Genomic Health, Inc., a healthcare company, provides clinically actionable genomic information to personalize cancer treatment decisions in the United States and internationally. The company develops and c ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 00:09
End of Day Share Price2019/08/22 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.