Sage Therapeutics, Inc.

NasdaqGM:SAGE Stock Report

Market Cap: US$405.4m

Sage Therapeutics Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: SAGE ($6.64) is trading below our estimate of fair value ($39.95)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

SAGE 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/EBITDAn/a
PEG Ration/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for SAGE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average18.8x
QURE uniQure
9.9x37.0%US$275.1m
VSTM Verastem
11.5x58.7%US$115.5m
IMAB I-Mab
32.4x47.1%US$113.2m
XOMA XOMA Royalty
21.2x32.6%US$323.5m
SAGE Sage Therapeutics
4.2x40.9%US$405.4m

Price-To-Sales vs Peers: SAGE is good value based on its Price-To-Sales Ratio (4.2x) compared to the peer average (18.8x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a28.8%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a28.8%
n/an/an/a
No more companies

Price-To-Sales vs Industry: SAGE is good value based on its Price-To-Sales Ratio (4.2x) compared to the US Biotechs industry average (12x).


Price to Sales Ratio vs Fair Ratio

What is SAGE'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.

SAGE PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.2x
Fair PS Ratio1.2x

Price-To-Sales vs Fair Ratio: SAGE is expensive based on its Price-To-Sales Ratio (4.2x) compared to the estimated Fair Price-To-Sales Ratio (1.2x).


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 SAGE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$6.64
US$14.00
+110.8%
72.2%US$52.00US$4.00n/a18
Sep ’25US$8.43
US$14.33
+70.0%
68.8%US$52.00US$9.00n/a18
Aug ’25US$9.76
US$14.89
+52.6%
64.5%US$52.00US$8.00n/a19
Jul ’25US$11.03
US$20.37
+84.7%
60.4%US$70.00US$8.00n/a19
Jun ’25US$11.11
US$21.11
+90.0%
58.5%US$70.00US$8.00n/a19
May ’25US$13.28
US$22.17
+66.9%
54.9%US$70.00US$14.00n/a18
Apr ’25US$17.90
US$27.42
+53.2%
39.3%US$70.00US$18.00n/a19
Mar ’25US$21.86
US$27.16
+24.2%
39.8%US$70.00US$18.00n/a19
Feb ’25US$26.00
US$26.79
+3.0%
48.1%US$79.00US$20.00n/a19
Jan ’25US$21.67
US$24.95
+15.1%
51.9%US$79.00US$18.00n/a19
Dec ’24US$20.39
US$25.28
+24.0%
52.4%US$79.00US$18.00n/a18
Nov ’24US$19.70
US$25.33
+28.6%
52.3%US$79.00US$18.00n/a18
Oct ’24US$20.58
US$25.17
+22.3%
52.8%US$79.00US$18.00US$6.9618
Sep ’24US$20.29
US$25.33
+24.9%
52.4%US$79.00US$18.00US$8.4318
Aug ’24US$36.00
US$61.05
+69.6%
29.8%US$105.00US$37.00US$9.7619
Jul ’24US$47.02
US$60.68
+29.1%
29.5%US$105.00US$40.00US$11.0319
Jun ’24US$49.56
US$60.00
+21.1%
29.5%US$105.00US$40.00US$11.1119
May ’24US$48.64
US$58.58
+20.4%
31.4%US$105.00US$36.00US$13.2819
Apr ’24US$41.96
US$57.86
+37.9%
31.5%US$105.00US$36.00US$17.9020
Mar ’24US$41.85
US$56.15
+34.2%
32.9%US$105.00US$36.00US$21.8621
Feb ’24US$44.66
US$53.81
+20.5%
36.9%US$105.00US$33.00US$26.0021
Jan ’24US$38.14
US$53.95
+41.5%
37.4%US$105.00US$33.00US$21.6722
Dec ’23US$40.94
US$55.41
+35.3%
39.1%US$105.00US$33.00US$20.3922
Nov ’23US$37.88
US$56.95
+50.4%
37.1%US$105.00US$32.00US$19.7022
Oct ’23US$39.16
US$57.81
+47.6%
37.1%US$105.00US$32.00US$20.5821

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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