NasdaqCM:VCEL

Stock Analysis Report

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Market Cap

US$2.5b

Last Updated

2021/08/01 22:30 UTC

Data Sources

Company Financials +

Executive Summary

Vericel Corporation, a commercial-stage biopharmaceutical company, researches, develops, manufactures, and distributes cellular therapies for sports medicine and severe burn care markets in the United States. More Details


Snowflake Analysis

Flawless balance sheet with high growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: VCEL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: VCEL's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

-0.6%

VCEL

-1.2%

US Biotechs

-0.4%

US Market


1 Year Return

221.0%

VCEL

24.5%

US Biotechs

35.9%

US Market

Return vs Industry: VCEL exceeded the US Biotechs industry which returned 25.4% over the past year.

Return vs Market: VCEL exceeded the US Market which returned 35.9% over the past year.


Shareholder returns

VCELIndustryMarket
7 Day-0.6%-1.2%-0.4%
30 Day2.3%-0.7%-0.3%
90 Day-14.7%2.0%3.1%
1 Year221.0%221.0%26.3%24.5%38.0%35.9%
3 Year421.6%421.6%23.0%16.9%62.9%52.7%
5 Year2,152.8%2,152.8%41.9%30.8%121.3%96.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

16.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VCEL ($52.94) is trading below our estimate of fair value ($63.73)

Significantly Below Fair Value: VCEL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: VCEL is poor value based on its PE Ratio (562.6x) compared to the US Biotechs industry average (21.8x).

PE vs Market: VCEL is poor value based on its PE Ratio (562.6x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: VCEL is poor value based on its PEG Ratio (9.2x)


Price to Book Ratio

PB vs Industry: VCEL is overvalued based on its PB Ratio (17.5x) compared to the US Biotechs industry average (2.8x).


Future Growth

How is Vericel forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

61.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VCEL's forecast earnings growth (61.2% per year) is above the savings rate (2%).

Earnings vs Market: VCEL's earnings (61.2% per year) are forecast to grow faster than the US market (15% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: VCEL's revenue (28.6% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: VCEL's revenue (28.6% 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 VCEL's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Vericel performed over the past 5 years?

40.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VCEL has high quality earnings.

Growing Profit Margin: VCEL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: VCEL has become profitable over the past 5 years, growing earnings by 40.5% per year.

Accelerating Growth: VCEL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: VCEL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Biotechs industry (32.6%).


Return on Equity

High ROE: VCEL's Return on Equity (3.1%) is considered low.


Financial Health

How is Vericel's financial position?


Financial Position Analysis

Short Term Liabilities: VCEL's short term assets ($127.2M) exceed its short term liabilities ($23.2M).

Long Term Liabilities: VCEL's short term assets ($127.2M) exceed its long term liabilities ($48.0M).


Debt to Equity History and Analysis

Debt Level: VCEL is debt free.

Reducing Debt: VCEL has no debt compared to 5 years ago when its debt to equity ratio was 0.5%.

Debt Coverage: VCEL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: VCEL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Vericel current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if VCEL'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 VCEL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Nick Colangelo (57 yo)

8.33yrs

Tenure

US$4,412,718

Compensation

Mr. Dominick C. Colangelo, also known as Nick, Esq., has been the Chief Executive Officer and President at Vericel Corporation. since March 1, 2013 and served as its Treasurer since May 7, 2014. He has bee...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD4.41M) is about average for companies of similar size in the US market ($USD5.32M).

Compensation vs Earnings: Nick's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: VCEL's management team is not considered experienced ( 2 years average tenure), which suggests a new team.


Board Members

Experienced Board: VCEL's board of directors are considered experienced (8.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: VCEL insiders have only sold shares 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 2.8%.


Top Shareholders

Company Information

Vericel Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vericel Corporation
  • Ticker: VCEL
  • Exchange: NasdaqCM
  • Founded: 1989
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$2.454b
  • Shares outstanding: 46.36m
  • Website: https://vcel.com

Number of Employees


Location

  • Vericel Corporation
  • 64 Sidney Street
  • Cambridge
  • Massachusetts
  • 2139
  • United States

Listings


Biography

Vericel Corporation, a commercial-stage biopharmaceutical company, researches, develops, manufactures, and distributes cellular therapies for sports medicine and severe burn care markets in the United Stat...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/01 22:30
End of Day Share Price2021/07/30 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.