Molecular Templates (NasdaqGS:MTEM) - Share price, News & Analysis

MTEM fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	2/6
Past Performance	0/6
Financial Health	6/6
Dividends	0/6

MTEM Stock Overview

Molecular Templates, Inc., a clinical stage biopharmaceutical company, focuses on the discovery and development of biologic therapeutics for the treatment of cancer and other serious diseases.

Rewards

Revenue is forecast to grow 25.13% per year

Risk Analysis

Earnings are forecast to decline by an average of 5.7% per year for the next 3 years

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

Volatile share price over the past 3 months

Does not have a meaningful market cap ($60M)

Molecular Templates Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Molecular Templates
Historical stock prices
Current Share Price	US$1.06
52 Week High	US$8.62
52 Week Low	US$0.76
Beta	1.59
1 Month Change	9.12%
3 Month Change	-60.15%
1 Year Change	-87.38%
3 Year Change	-87.30%
5 Year Change	n/a
Change since IPO	-82.33%

Recent News & Updates

Apr 29

Rock star Growth Puts Molecular Templates (NASDAQ:MTEM) In A Position To Use Debt

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

	MTEM	US Biotechs	US Market
7D	26.1%	10.3%	6.6%
1Y	-87.4%	-24.3%	-18.4%

Return vs Industry: MTEM underperformed the US Biotechs industry which returned -24.4% over the past year.

Return vs Market: MTEM underperformed the US Market which returned -18.5% over the past year.

Price Volatility

Is MTEM's price volatile compared to industry and market?
MTEM volatility
MTEM Average Weekly Movement	15.1%
Biotechs Industry Average Movement	13.2%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.2%

Stable Share Price: MTEM is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 15% a week.

Volatility Over Time: MTEM's weekly volatility (15%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

Founded	Employees	CEO	Website
2001	249	Eric Poma	https://www.mtem.com

Molecular Templates, Inc., a clinical stage biopharmaceutical company, focuses on the discovery and development of biologic therapeutics for the treatment of cancer and other serious diseases. The company primarily develops a pipeline of therapies through its proprietary biologic engineered toxin body (ETB) drug platform. The company is developing MT-5111, an ETB candidate that is in Phase I clinical trial for the treatment of HER2-positive cancers; MT-0169, which is in Phase I clinical trial to treat relapsed/refractory myeloma patients; and MT-6402 in that is in Phase I clinical trial for PD-1/PD-L1 antibody relapsed/refractory patients.

Molecular Templates Fundamentals Summary

How do Molecular Templates's earnings and revenue compare to its market cap?
MTEM fundamental statistics
Market Cap	US$59.72m
Earnings (TTM)	-US$77.84m
Revenue (TTM)	US$43.96m

1.4x

P/S Ratio

-0.8x

P/E Ratio

Is MTEM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
MTEM income statement (TTM)
Revenue	US$43.96m
Cost of Revenue	US$84.79m
Gross Profit	-US$40.83m
Other Expenses	US$37.01m
Earnings	-US$77.84m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-1.38
Gross Margin	-92.88%
Net Profit Margin	-177.06%
Debt/Equity Ratio	75.3%

How did MTEM perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is MTEM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MTEM?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for MTEM. This is calculated by dividing MTEM's market cap by their current preferred multiple.
What is MTEM's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$59.72m

MTEM key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does MTEM's PS Ratio compare to its peers?

MTEM PS Ratio vs Peers

The above table shows the PS ratio for MTEM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	9x

Forward PS

Price-To-Sales vs Peers: MTEM is good value based on its Price-To-Sales Ratio (1.4x) compared to the peer average (9x).

Price to Earnings Ratio vs Industry

How does MTEM's PE Ratio compare vs other companies in the U.S. Biotechs Industry?

Price-To-Sales vs Industry: MTEM is good value based on its Price-To-Sales Ratio (1.4x) compared to the US Biotechs industry average (14.1x)

Price to Sales Ratio vs Fair Ratio

What is MTEM's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MTEM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.4x
Fair PS Ratio	0.9x

Price-To-Sales vs Fair Ratio: MTEM is expensive based on its Price-To-Sales Ratio (1.4x) compared to the estimated Fair Price-To-Sales Ratio (0.9x).

Share Price vs Fair Value

What is the Fair Price of MTEM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate MTEM's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate MTEM's fair value for valuation analysis.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MTEM's PEG Ratio to determine if it is good value.

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Future Growth

How is Molecular Templates forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-5.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: MTEM's revenue (25.1% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: MTEM's revenue (25.1% 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 MTEM's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Molecular Templates performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-34.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MTEM is currently unprofitable.

Growing Profit Margin: MTEM is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: MTEM is unprofitable, and losses have increased over the past 5 years at a rate of 34.3% per year.

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

Earnings vs Industry: MTEM is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (96.9%).

Return on Equity

High ROE: MTEM has a negative Return on Equity (-163.94%), as it is currently unprofitable.

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Financial Health

How is Molecular Templates's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: MTEM's short term assets ($132.4M) exceed its short term liabilities ($45.0M).

Long Term Liabilities: MTEM's short term assets ($132.4M) exceed its long term liabilities ($70.7M).

Debt to Equity History and Analysis

Debt Level: MTEM has more cash than its total debt.

Reducing Debt: MTEM had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

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: MTEM has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: MTEM has sufficient cash runway for 1.2 years if free cash flow continues to reduce at historical rates of 32.8% each year.

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Dividend

What is Molecular Templates's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if MTEM's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as MTEM has not reported any payouts.

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Management

How experienced are the management team and are they aligned to shareholders interests?

7.9yrs

Average management tenure

CEO

Eric Poma (49 yo)

13.42yrs

Tenure

US$4,384,350

Compensation

Dr. Eric E. Poma, Ph D., is the Chief Executive Officer and Chief Scientific Officer of Molecular Templates, Inc. since 2009 and served as its President. Dr. Poma founded Private Molecular in February 2009...

CEO Compensation Analysis

Compensation vs Market: Eric's total compensation ($USD4.38M) is above average for companies of similar size in the US market ($USD752.25K).

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

Leadership Team

Experienced Management: MTEM's management team is seasoned and experienced (7.9 years average tenure).

Board Members

Experienced Board: MTEM's board of directors are considered experienced (4.8 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

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

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31