NasdaqGM:RVNC

Stock Analysis Report

Executive Summary

Revance Therapeutics, Inc., a clinical-stage biotechnology company, engages in the development, manufacture, and commercialization of novel neuromodulators for various aesthetic and therapeutic indications.

Rewards

Trading at 93.5% below its fair value

Revenue is forecast to grow 74.56% per year

Risk Analysis

Has less than 1 year of cash runway

Makes less than USD$1m in revenue ($811K)

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

Highly volatile share price over past 3 months

+ 1 more risk


Snowflake Analysis

Excellent balance sheet and slightly overvalued.

Share Price & News

How has Revance Therapeutics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RVNC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.9%

RVNC

2.1%

US Pharmaceuticals

1.3%

US Market


1 Year Return

-17.4%

RVNC

1.0%

US Pharmaceuticals

19.4%

US Market

Return vs Industry: RVNC underperformed the US Pharmaceuticals industry which returned 1% over the past year.

Return vs Market: RVNC underperformed the US Market which returned 19.4% over the past year.


Shareholder returns

RVNCIndustryMarket
7 Day0.9%2.1%1.3%
30 Day9.2%6.9%2.6%
90 Day26.8%9.2%5.0%
1 Year-17.4%-17.4%3.7%1.0%22.0%19.4%
3 Year-8.4%-8.4%30.4%21.0%46.8%37.3%
5 Year-6.8%-6.8%24.5%11.3%66.3%48.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Revance Therapeutics undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RVNC ($16.45) is trading below our estimate of fair value ($254.39)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: RVNC is overvalued based on its PB Ratio (4.8x) compared to the US Pharmaceuticals industry average (3.1x).


Next Steps

Future Growth

How is Revance Therapeutics forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

52.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: RVNC's revenue (74.6% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: RVNC's revenue (74.6% 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 RVNC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Revance Therapeutics performed over the past 5 years?

-21.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RVNC is currently unprofitable.

Growing Profit Margin: RVNC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RVNC is unprofitable, and losses have increased over the past 5 years at a rate of -21.5% per year.

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

Earnings vs Industry: RVNC is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (21.3%).


Return on Equity

High ROE: RVNC has a negative Return on Equity (-102.27%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Revance Therapeutics's financial position?


Financial Position Analysis

Short Term Liabilities: RVNC's short term assets ($220.6M) exceed its short term liabilities ($34.2M).

Long Term Liabilities: RVNC's short term assets ($220.6M) exceed its long term liabilities ($80.4M).


Debt to Equity History and Analysis

Debt Level: RVNC is debt free.

Reducing Debt: RVNC has no debt compared to 5 years ago when its debt to equity ratio was 1%.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if RVNC'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: RVNC has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: RVNC has less than a year of cash runway if free cash flow continues to reduce at historical rates of -18.9% each year


Next Steps

Dividend

What is Revance Therapeutics's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.7%forecastin3Years0%

Current dividend yield vs market & industry

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

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

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

1.6yrs

Average management tenure


CEO

Mark Foley (54yo)

0.2yrs

Tenure

US$243,007

Compensation

Mr. Mark J. Foley serves as President and Chief Executive Officer at Revance Therapeutics, Inc. since October 14, 2019. He served as the Managing Director of RWI Ventures from 2004 to 2018. Mr. Foley joine ...


Management Age and Tenure

1.6yrs

Average Tenure

49yo

Average Age

Experienced Management: RVNC's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Age and Tenure

4.1yrs

Average Tenure

61.5yo

Average Age

Experienced Board: RVNC's board of directors are considered experienced (4.1 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 17.6%.


Management Team

  • Mark Foley (54yo)

    President

    • Tenure: 0.2yrs
    • Compensation: US$243.01k
  • Abhay Joshi (56yo)

    Chief Operating Officer

    • Tenure: 4yrs
    • Compensation: US$2.25m
  • Jeanie Herbert

    Senior Director of Investor Relations & Corporate Communications

    • Tenure: 3yrs
  • Dustin Sjuts

    Head of Commercial - Aesthetics & Therapeutics

    • Tenure: 1.1yrs
  • Roman Rubio (48yo)

    Senior Vice President of Clinical Development

    • Tenure: 0yrs
  • Justin Ford

    VP of Human Resources & Head of People

    • Tenure: 2.5yrs
  • Caryn McDowell (49yo)

    Senior VP

    • Tenure: 1.6yrs
    • Compensation: US$2.80m
  • Toby Schilke (44yo)

    CFO & Principal Accounting Officer

    • Tenure: 1.1yrs
    • Compensation: US$1.97m
  • Conor Gallagher

    Head of Medical Affairs & Aesthetics

    • Tenure: 1.6yrs
  • Taryn Conway

    Vice President of Marketing

    • Tenure: 0.7yrs

Board Members

  • Angus Russell (63yo)

    Independent Chairman

    • Tenure: 5.8yrs
    • Compensation: US$269.98k
  • Phyllis Gardner (68yo)

    Independent Director

    • Tenure: 13yrs
    • Compensation: US$233.01k
  • Bob Byrnes (74yo)

    Independent Director

    • Tenure: 15.3yrs
    • Compensation: US$247.26k
  • Mark Foley (54yo)

    President

    • Tenure: 0.2yrs
    • Compensation: US$243.01k
  • Jill Beraud (59yo)

    Director

    • Tenure: 0.5yrs
  • Phil Vickers (59yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$235.26k
  • Julian Gangolli (61yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$230.51k
  • Chris Nolet (62yo)

    Director

    • Tenure: 0.4yrs

Company Information

Revance Therapeutics, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Revance Therapeutics, Inc.
  • Ticker: RVNC
  • Exchange: NasdaqGM
  • Founded: 1999
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$832.508m
  • Shares outstanding: 50.61m
  • Website: https://www.revance.com

Number of Employees


Location

  • Revance Therapeutics, Inc.
  • 7555 Gateway Boulevard
  • Newark
  • California
  • 94560
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RVNCNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDFeb 2014
RTIDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2014

Biography

Revance Therapeutics, Inc., a clinical-stage biotechnology company, engages in the development, manufacture, and commercialization of novel neuromodulators for various aesthetic and therapeutic indications ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/13 00:45
End of Day Share Price2019/12/12 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.