NasdaqGS:MGTX

Stock Analysis Report

Executive Summary

MeiraGTx Holdings plc, a clinical-stage gene therapy company, focusing on developing treatments for patients living with serious diseases.

Rewards

Revenue is forecast to grow 71.36% per year

Risk Analysis

Earnings are forecast to decline by an average of -4.1% per year for the next 3 years

Shareholders have been substantially diluted in the past year

Currently unprofitable and not forecast to become profitable over the next 3 years



Snowflake Analysis

Flawless balance sheet with limited growth.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: MGTX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-10.7%

MGTX

-4.1%

US Biotechs

-1.2%

US Market


1 Year Return

85.2%

MGTX

9.1%

US Biotechs

22.3%

US Market

Return vs Industry: MGTX exceeded the US Biotechs industry which returned 10.9% over the past year.

Return vs Market: MGTX exceeded the US Market which returned 24.7% over the past year.


Shareholder returns

MGTXIndustryMarket
7 Day-10.7%-4.1%-1.2%
30 Day-9.6%-3.3%1.6%
90 Day26.2%11.2%8.8%
1 Year85.2%85.2%10.1%9.1%25.0%22.3%
3 Yearn/a23.9%19.8%49.9%40.3%
5 Yearn/a1.3%-3.5%77.6%58.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.41x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: MGTX is overvalued based on its PB Ratio (3.8x) compared to the US Biotechs industry average (3.2x).


Next Steps

Future Growth

How is MeiraGTx Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

-4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: MGTX's revenue (71.4% per year) is forecast to grow faster than the US market (7.5% per year).

High Growth Revenue: MGTX's revenue (71.4% 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 MGTX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has MeiraGTx Holdings performed over the past 5 years?

3.4%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: MGTX is currently unprofitable.

Growing Profit Margin: MGTX is currently unprofitable.


Past Earnings Growth Analysis

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

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

Earnings vs Industry: MGTX is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (103.3%).


Return on Equity

High ROE: MGTX has a negative Return on Equity (-36.08%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is MeiraGTx Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: MGTX's short term assets ($271.1M) exceed its short term liabilities ($39.3M).

Long Term Liabilities: MGTX's short term assets ($271.1M) exceed its long term liabilities ($83.6M).


Debt to Equity History and Analysis

Debt Level: MGTX is debt free.

Reducing Debt: MGTX had no debt 5 years ago.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if MGTX'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: Whilst unprofitable MGTX has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: MGTX is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 47.7% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if MGTX'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 MGTX'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 MeiraGTx Holdings's salary, the management and board of directors tenure and is there insider trading?

4.7yrs

Average management tenure


CEO

Alexandria Forbes (54yo)

4.8yrs

Tenure

US$22,998,522

Compensation

Dr. Alexandria Forbes, Ph.D. serves as the Chief Executive Officer and President at MeiraGTx Limited since 2015. Prior to joining MeiraGTx, Dr. Forbes served as Senior Vice President of Strategic Operation ...


CEO Compensation Analysis

Compensation vs Market: Alexandria's total compensation ($USD23.00M) is above average for companies of similar size in the US market ($USD2.53M).

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


Management Age and Tenure

4.7yrs

Average Tenure

55yo

Average Age

Experienced Management: MGTX's management team is considered experienced (4.7 years average tenure).


Board Age and Tenure

4.6yrs

Average Tenure

68.5yo

Average Age

Experienced Board: MGTX's board of directors are considered experienced (4.6 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$81,55020 Nov 19
Nicole Seligman
EntityIndividual
Shares5,000
Max PriceUS$16.31
BuyUS$9,999,97920 Aug 19
Perceptive Advisors LLC
EntityCompany
Shares425,531
Max PriceUS$23.50
BuyUS$18,000,00205 Mar 19
Perceptive Advisors LLC
EntityCompany
Shares1,304,348
Max PriceUS$13.80

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 113.1%.


Management Team

  • Joel Brooks (60yo)

    Senior Vice President of Finance

    • Tenure: 4.7yrs
  • Greg Petsko

    Chief Scientist & Chairman of Scientific Advisory Board

    • Alexandria Forbes (54yo)

      CEO, President & Director

      • Tenure: 4.8yrs
      • Compensation: US$23.00m
    • Richard Giroux (46yo)

      COO & CFO

      • Tenure: 0.8yrs
      • Compensation: US$22.10m
    • Christine Sheehy

      Senior Vice President of Global Integration

      • Robin Ali

        Head of Preclinical Ophthalmology & Member of Scientific Advisory Board

        • Stuart Naylor (56yo)

          Chief Development Officer

          • Tenure: 4.8yrs
          • Compensation: US$2.25m
        • Michel Michaelides

          Head of Clinical Ophthalmology

          • Micah Zajic

            Vice President of Corporate Development

            • Elizabeth Broder

              Vice President of Investor Relations

              • Tenure: 1yrs

            Board Members

            • Joel Marcus (71yo)

              Independent Director

              • Tenure: 4.6yrs
              • Compensation: US$96.92k
            • Arnie Levine (79yo)

              Member of Scientific Advisory Board & Director

              • Tenure: 3.9yrs
              • Compensation: US$87.79k
            • Tom Shenk (72yo)

              Independent Director & Member of Scientific Advisory Board

              • Compensation: US$118.44k
            • Keith Harris (66yo)

              Independent Chairman of the Board

              • Tenure: 1.9yrs
              • Compensation: US$156.38k
            • Scott Small

              Member of Scientific Advisory Board

              • Greg Petsko

                Chief Scientist & Chairman of Scientific Advisory Board

                • Michael Kaplitt

                  Member of Scientific Advisory Board

                  • Alexandria Forbes (54yo)

                    CEO, President & Director

                    • Tenure: 4.8yrs
                    • Compensation: US$23.00m
                  • Robin Ali

                    Head of Preclinical Ophthalmology & Member of Scientific Advisory Board

                    • Neil Mendoza (59yo)

                      Independent Director

                      • Tenure: 4.6yrs
                      • Compensation: US$94.42k

                    Company Information

                    MeiraGTx Holdings plc's company bio, employee growth, exchange listings and data sources


                    Key Information

                    • Name: MeiraGTx Holdings plc
                    • Ticker: MGTX
                    • Exchange: NasdaqGS
                    • Founded: 2015
                    • Industry: Biotechnology
                    • Sector: Pharmaceuticals & Biotech
                    • Market Cap: US$665.240m
                    • Shares outstanding: 36.57m
                    • Website: https://www.meiragtx.com

                    Number of Employees


                    Location

                    • MeiraGTx Holdings plc
                    • 430 East 29th Street
                    • 10th Floor
                    • New York
                    • New York
                    • 10016
                    • United States

                    Listings

                    TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
                    MGTXNasdaqGS (Nasdaq Global Select)YesOrdinary SharesUSUSDJun 2018
                    328DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2018

                    Biography

                    MeiraGTx Holdings plc, a clinical-stage gene therapy company, focusing on developing treatments for patients living with serious diseases. The company develops various therapies for ocular diseases, including rare inherited blindness, as well as Xerostomia following radiation treatment for head and neck cancers; neurodegenerative diseases, such as amyothrophic lateral sclerosis; and Parkinson’s diseases. Its programs in clinical development include Phase 1/2 clinical stage programs in Achromatopsia, X-Linked Retinitis Pigmentosa, RPE65-deficiency, and radiation-induced Xerostomia, as well as Parkinson’s program. The company also focuses on initiating a clinical program in xerostomia related to Sjogren’s syndrome and have preclinical programs in neurodegenerative diseases. It has a research collaboration agreement with Janssen Pharmaceuticals, Inc. to develop regulatable gene therapy treatment using the company’s proprietary riboswitch technology. The company was founded in 2015 and is headquartered in New York, New York. 


                    Company Analysis and Financial Data Status

                    All financial data provided by Standard & Poor's Capital IQ.
                    DataLast Updated (UTC time)
                    Company Analysis2020/01/27 01:21
                    End of Day Share Price2020/01/24 00:00
                    Earnings2019/09/30
                    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.