We’ve recently updated our valuation analysis.

PTC Therapeutics Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

PTCT 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/Revenue5x
Enterprise Value/EBITDA-12.4x
PEG Ration/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for PTCT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average10.2x
ARWR Arrowhead Pharmaceuticals
14.6x20.9%US$3.5b
FOLD Amicus Therapeutics
11.1x24.4%US$3.6b
RARE Ultragenyx Pharmaceutical
8.9x29.5%US$3.1b
NTRA Natera
6.1x19.3%US$4.7b
PTCT PTC Therapeutics
4.8x10.7%US$3.4b

Price-To-Sales vs Peers: PTCT is good value based on its Price-To-Sales Ratio (4.8x) compared to the peer average (10.2x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a14.0%
n/an/an/a

Price-To-Sales vs Industry: PTCT is good value based on its Price-To-Sales Ratio (4.8x) compared to the US Biotechs industry average (12.9x)


Price to Sales Ratio vs Fair Ratio

What is PTCT'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.

PTCT PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.8x
Fair PS Ratio2.2x

Price-To-Sales vs Fair Ratio: PTCT is expensive based on its Price-To-Sales Ratio (4.8x) compared to the estimated Fair Price-To-Sales Ratio (2.2x).


Share Price vs Fair Value

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

Below Fair Value: PTCT ($46.25) is trading below our estimate of fair value ($252.31)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PTCT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$46.25
US$50.36
+8.9%
20.9%US$68.00US$35.00n/a14
Jan ’24US$38.17
US$50.29
+31.7%
21.2%US$69.00US$35.00n/a14
Dec ’23US$41.55
US$51.46
+23.9%
19.8%US$69.00US$36.00n/a13
Nov ’23US$37.73
US$51.46
+36.4%
19.8%US$69.00US$36.00n/a13
Oct ’23US$50.20
US$55.23
+10.0%
18.1%US$70.00US$37.00n/a13
Sep ’23US$51.77
US$54.64
+5.5%
19.7%US$70.00US$37.00n/a11
Aug ’23US$44.88
US$49.90
+11.2%
20.6%US$65.00US$34.00n/a10
Jul ’23US$41.85
US$49.10
+17.3%
22.3%US$65.00US$34.00n/a10
Jun ’23US$29.08
US$50.20
+72.6%
26.9%US$78.00US$34.00n/a10
May ’23US$35.33
US$51.10
+44.6%
25.5%US$79.00US$33.00n/a10
Apr ’23US$41.45
US$51.30
+23.8%
25.0%US$76.00US$34.00n/a10
Mar ’23US$34.31
US$51.40
+49.8%
24.8%US$76.00US$34.00n/a10
Feb ’23US$40.53
US$51.40
+26.8%
21.4%US$70.00US$38.00n/a10
Jan ’23US$39.83
US$51.30
+28.8%
21.5%US$70.00US$38.00US$38.1710
Dec ’22US$35.93
US$51.30
+42.8%
21.5%US$70.00US$38.00US$41.5510
Nov ’22US$39.32
US$52.40
+33.3%
24.2%US$75.00US$38.00US$37.7310
Oct ’22US$37.73
US$55.80
+47.9%
21.5%US$75.00US$43.00US$50.2010
Sep ’22US$44.46
US$56.80
+27.8%
19.9%US$75.00US$45.00US$51.7710
Aug ’22US$38.33
US$57.80
+50.8%
18.4%US$75.00US$45.00US$44.8810
Jul ’22US$43.76
US$58.80
+34.4%
17.7%US$75.00US$45.00US$41.8510
Jun ’22US$38.86
US$58.80
+51.3%
17.7%US$75.00US$45.00US$29.0810
May ’22US$41.21
US$62.40
+51.4%
16.1%US$75.00US$49.00US$35.3310
Apr ’22US$49.19
US$62.45
+27.0%
15.5%US$75.00US$47.00US$41.4511
Mar ’22US$58.16
US$64.33
+10.6%
17.3%US$85.00US$47.00US$34.3112
Feb ’22US$56.79
US$66.00
+16.2%
20.8%US$90.00US$47.00US$40.5312
Jan ’22US$61.03
US$62.17
+1.9%
19.7%US$90.00US$45.00US$39.8312

Analyst Forecast: Target price is less than 20% higher than the current share price.


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