company background image
NKTX

Nkarta NasdaqGS:NKTX Stock Report

Last Price

US$12.36

Market Cap

US$598.3m

7D

0.9%

1Y

-54.4%

Updated

27 Jun, 2022

Data

Company Financials +
NKTX fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health6/6
Dividends0/6

NKTX Stock Overview

Nkarta, Inc., a a clinical-stage biopharmaceutical company, develops and commercializes cell therapies for cancer treatment.

Nkarta Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Nkarta
Historical stock prices
Current Share PriceUS$12.36
52 Week HighUS$40.64
52 Week LowUS$7.55
Beta0
1 Month Change-8.78%
3 Month Change3.78%
1 Year Change-54.43%
3 Year Changen/a
5 Year Changen/a
Change since IPO-74.20%

Recent News & Updates

Jun 09
We're Not Very Worried About Nkarta's (NASDAQ:NKTX) Cash Burn Rate

We're Not Very Worried About Nkarta's (NASDAQ:NKTX) Cash Burn Rate

We can readily understand why investors are attracted to unprofitable companies. For example, although Amazon.com made...

May 20

Nkarta: A Promising Natural Killer Cell Play

The market has favorably appreciated Nkarta’s recent readout of its NKX101 and NKX019 drug candidates, with the share price more than doubling. I see a huge disconnect between analyst targets and the actual share price, possibly due to the market’s lack of insight in the highly innovative nature of the science. I give my take on Nkarta’s science, its recent readout, and its competitors. The stock is a long-term buy for me, but I do advise further investment diversificationin similar companies.

Shareholder Returns

NKTXUS BiotechsUS Market
7D0.9%10.3%6.3%
1Y-54.4%-24.5%-18.8%

Return vs Industry: NKTX underperformed the US Biotechs industry which returned -24.3% over the past year.

Return vs Market: NKTX underperformed the US Market which returned -18.4% over the past year.

Price Volatility

Is NKTX's price volatile compared to industry and market?
NKTX volatility
NKTX Average Weekly Movement42.4%
Biotechs Industry Average Movement13.2%
Market Average Movement8.1%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market3.2%

Stable Share Price: NKTX is more volatile than 90% of US stocks over the past 3 months, typically moving +/- 42% a week.

Volatility Over Time: NKTX's weekly volatility has increased from 23% to 42% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2015135Paul Hastingshttps://www.nkartatx.com

Nkarta, Inc., a a clinical-stage biopharmaceutical company, develops and commercializes cell therapies for cancer treatment. The company’s approach for cellular immunotherapy involves chimeric antigen receptors on the surface of a natural killer (NK) cell that enable the cell to recognize specific proteins or antigens that are present on the surface of tumor cells. Its two co-lead product candidates are NKX101, which is in Phase I clinical trials for the treatment of relapsed/refractory acute myeloid leukemia or higher risk myelodysplastic syndromes; and NKX019, a pre-clinical product, which is based on the ability to treat various B cell malignancies by targeting the CD19 antigen found on these types of cancerous cells.

Nkarta Fundamentals Summary

How do Nkarta's earnings and revenue compare to its market cap?
NKTX fundamental statistics
Market CapUS$598.28m
Earnings (TTM)-US$92.69m
Revenue (TTM)n/a

0.0x

P/S Ratio

-6.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NKTX income statement (TTM)
RevenueUS$0
Cost of RevenueUS$0
Gross ProfitUS$0
Other ExpensesUS$92.69m
Earnings-US$92.69m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.91
Gross Margin0.00%
Net Profit Margin0.00%
Debt/Equity Ratio0%

How did NKTX perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book 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 NKTX?

Other financial metrics that can be useful for relative valuation.

NKTX 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/Revenuen/a
Enterprise Value/EBITDA-5x
PEG Ration/a

Price to Book Ratio vs Peers

How does NKTX's PB Ratio compare to its peers?

NKTX PB Ratio vs Peers
The above table shows the PB ratio for NKTX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPBEstimated GrowthMarket Cap
Peer Average2.7x
SGMO Sangamo Therapeutics
1.9x14.7%US$626.4m
RPTX Repare Therapeutics
2.4x-15.0%US$618.8m
ORGO Organogenesis Holdings
2.6x8.5%US$635.3m
YMAB Y-mAbs Therapeutics
4.1x52.4%US$647.5m
NKTX Nkarta
2.6x-9.4%US$598.3m

Price-To-Book vs Peers: NKTX is good value based on its Price-To-Book Ratio (2.6x) compared to the peer average (2.7x).


Price to Earnings Ratio vs Industry

How does NKTX's PE Ratio compare vs other companies in the US Biotechs Industry?

Price-To-Book vs Industry: NKTX is expensive based on its Price-To-Book Ratio (2.6x) compared to the US Biotechs industry average (1.6x)


Price to Book Ratio vs Fair Ratio

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

NKTX PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio2.6x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate NKTX's Price-To-Book Fair Ratio for valuation analysis.


Share Price vs Fair Value

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

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

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


Price to Earnings Growth Ratio

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


Discover undervalued companies

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-9.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: NKTX is forecast to have no revenue next year.

High Growth Revenue: NKTX is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if NKTX's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has Nkarta 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


-44.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NKTX is currently unprofitable.

Growing Profit Margin: NKTX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NKTX is unprofitable, and losses have increased over the past 5 years at a rate of 44.8% per year.

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

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


Return on Equity

High ROE: NKTX has a negative Return on Equity (-40.53%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Nkarta'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: NKTX's short term assets ($223.2M) exceed its short term liabilities ($10.8M).

Long Term Liabilities: NKTX's short term assets ($223.2M) exceed its long term liabilities ($66.8M).


Debt to Equity History and Analysis

Debt Level: NKTX is debt free.

Reducing Debt: NKTX had no debt 5 years ago.


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

Forecast Cash Runway: NKTX has sufficient cash runway for 2.1 years if free cash flow continues to reduce at historical rates of 50.2% each year.


Discover healthy companies

Dividend

What is Nkarta 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 NKTX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

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

Growing Dividend: Insufficient data to determine if NKTX'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 NKTX has not reported any payouts.


Discover strong dividend paying companies

Management

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

2.4yrs

Average management tenure


CEO

Paul Hastings (61 yo)

4.33yrs

Tenure

US$6,775,031

Compensation

Mr. Paul J. Hastings has been the President, Chief Executive Officer and Director of Nkarta, Inc. since February 2018. Mr. Hastings has been appointed to build on the Nkarta, Inc’s significant scientific p...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD6.78M) is above average for companies of similar size in the US market ($USD2.83M).

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


Leadership Team

Experienced Management: NKTX's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: NKTX's board of directors are not considered experienced ( 2.6 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: Insufficient data to determine if insiders have bought more shares than they have sold 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 47.5%.


Top Shareholders

Company Information

Nkarta, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Nkarta, Inc.
  • Ticker: NKTX
  • Exchange: NasdaqGS
  • Founded: 2015
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$598.278m
  • Shares outstanding: 48.40m
  • Website: https://www.nkartatx.com

Number of Employees


Location

  • Nkarta, Inc.
  • 6000 Shoreline Court
  • Suite 102
  • South San Francisco
  • California
  • 94080
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.