Spectrum Pharmaceuticals, Inc.

NasdaqCM:SPPI Stock Report

Market Cap: US$209.9m

This company has been acquired

The company may no longer be operating, as it has been acquired. Find out why through their latest events.

Spectrum Pharmaceuticals Valuation

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

Valuation Score

6/6

Valuation Score 6/6

  • 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 SPPI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$6.04
Fair Value
82.9% undervalued intrinsic discount
3
Number of Analysts

Below Fair Value: SPPI ($1.03) is trading below our estimate of fair value ($6.04)

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

Key Valuation Metric

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

Key metric: As SPPI is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SPPI. This is calculated by dividing SPPI's market cap by their current revenue.
What is SPPI's PS Ratio?
PS Ratio8.2x
SalesUS$25.73m
Market CapUS$209.89m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for SPPI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.7x
GOSS Gossamer Bio
2.8x33.1%US$315.8m
ZNTL Zentalis Pharmaceuticals
3.4x34.5%US$136.1m
GLUE Monte Rosa Therapeutics
4.7x-5.7%US$356.8m
FENC Fennec Pharmaceuticals
3.8x24.8%US$182.0m
SPPI Spectrum Pharmaceuticals
8.2x35.5%US$209.9m

Price-To-Sales vs Peers: SPPI is good value based on its Price-To-Sales Ratio (8.2x) compared to the peer average (28.2x).

Price to Sales Ratio vs Industry

How does SPPI's PS Ratio compare vs other companies in the US Biotechs Industry?

142 CompaniesPrice / SalesEstimated GrowthMarket Cap
BIIB Biogen
2.1x-0.1%US$20.62b
MRNA Moderna
3.9x16.7%US$12.63b
INCY Incyte
2.8x3.4%US$11.98b
EXAS Exact Sciences
3.1x9.5%US$8.47b
SPPI 8.2xIndustry Avg. 9.7xNo. of Companies142PS01632486480+
142 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: SPPI is good value based on its Price-To-Sales Ratio (8.2x) compared to the US Biotechs industry average (10.9x).

Price to Sales Ratio vs Fair Ratio

What is SPPI'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.

SPPI PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio8.2x
Fair PS Ratio11.3x

Price-To-Sales vs Fair Ratio: SPPI is good value based on its Price-To-Sales Ratio (8.2x) compared to the estimated Fair Price-To-Sales Ratio (11.3x).

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 SPPI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Mar ’26n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Feb ’26n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Jan ’26n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Dec ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Nov ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Oct ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Sep ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Aug ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Jul ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Jun ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
May ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Apr ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Mar ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Feb ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Jan ’25n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Dec ’24n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Nov ’24n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Oct ’24n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Sep ’24n/a
US$1.26
0%
13.5%US$1.50US$1.14n/a3
Aug ’24US$1.03
US$1.26
+22.3%
13.5%US$1.50US$1.14n/a3
Jul ’24US$0.96
US$1.26
+31.3%
13.5%US$1.50US$1.14n/a3
Jun ’24US$1.11
US$1.26
+13.5%
13.5%US$1.50US$1.14n/a3
May ’24US$0.98
US$1.88
+91.3%
61.0%US$3.50US$1.00n/a3
Apr ’24US$0.75
US$2.65
+253.3%
55.2%US$4.00US$0.75n/a5
Mar ’24US$0.86
US$2.65
+208.1%
55.2%US$4.00US$0.75n/a5
Analyst Price Target
Consensus Narrative from 3 Analysts
US$1.26
Fair Value
18.3% undervalued intrinsic discount
3
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2023/08/02 05:59
End of Day Share Price 2023/07/31 00:00
Earnings2023/03/31
Annual Earnings2022/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Spectrum Pharmaceuticals, Inc. is covered by 17 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Difei YangAuriga USA LLC
David BuckB. Riley Securities, Inc.
Alethia YoungCantor Fitzgerald & Co.