NasdaqGM:XENE

Stock Analysis Report

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Executive Summary

Xenon Pharmaceuticals Inc., a clinical-stage biopharmaceutical company, engages in developing therapeutics to treat patients with neurological disorders in Canada.


Snowflake Analysis

Excellent balance sheet with limited growth.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: XENE has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.9%

XENE

2.0%

US Biotechs

2.3%

US Market


1 Year Return

31.0%

XENE

27.6%

US Biotechs

6.7%

US Market

Return vs Industry: XENE exceeded the US Biotechs industry which returned 27.6% over the past year.

Return vs Market: XENE exceeded the US Market which returned 6.7% over the past year.


Shareholder returns

XENEIndustryMarket
7 Day3.9%2.0%2.3%
30 Day9.9%7.4%-0.7%
90 Day3.5%25.3%17.1%
1 Year31.0%31.0%28.8%27.6%9.0%6.7%
3 Year291.5%291.5%34.6%30.2%36.7%27.8%
5 Year16.0%16.0%-3.3%-8.8%65.2%46.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.58x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate XENE's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate XENE's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: XENE is good value based on its PB Ratio (2.6x) compared to the US Biotechs industry average (3.6x).


Next Steps

Future Growth

How is Xenon Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: XENE's revenue (32.7% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: XENE's revenue (32.7% 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 XENE's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Xenon Pharmaceuticals performed over the past 5 years?

-32.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XENE is currently unprofitable.

Growing Profit Margin: XENE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: XENE is unprofitable, and losses have increased over the past 5 years at a rate of -32.7% per year.

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

Earnings vs Industry: XENE is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-4.5%).


Return on Equity

High ROE: XENE has a negative Return on Equity (-20.08%), as it is currently unprofitable.


Next Steps

Financial Health

How is Xenon Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: XENE's short term assets ($233.9M) exceed its short term liabilities ($48.5M).

Long Term Liabilities: XENE's short term assets ($233.9M) exceed its long term liabilities ($541.0K).


Debt to Equity History and Analysis

Debt Level: XENE's debt to equity ratio (8.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if XENE's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


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: XENE has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: XENE has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of 24% each year


Next Steps

Dividend

What is Xenon Pharmaceuticals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if XENE'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 XENE'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?

2.8yrs

Average management tenure


CEO

Simon Pimstone (52yo)

17.5yrs

Tenure

US$2,612,720

Compensation

Dr. Simon N. Pimstone, M.B. ChB., Ph.D., FRCPC, M.D, is a Scientific Co-Founder of Xenon Pharmaceuticals Inc. in 1996 and has been its Chief Executive Officer since January 2003. He had served as President ...


CEO Compensation Analysis

Compensation vs Market: Simon's total compensation ($USD2.61M) is about average for companies of similar size in the US market ($USD2.13M).

Compensation vs Earnings: Simon's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Simon Pimstone
CEO & Director17.5yrsUS$2.61m0.78% $3.6m
Ian Mortimer
President2.33yrsUS$1.55m1.11% $5.2m
Ernesto Aycardi-Fonseca
Chief Medical Officer2.33yrsUS$1.07m0.13% $590.6k
Jodi Regts
Vice President of Corporate Affairs & Investor Relations3.33yrsno datano data
Shelley McCloskey
Senior Vice President of Human Resources0.83yrno datano data
Robin Sherrington
Executive Vice President of Strategy & Innovationno dataUS$552.84k0.048% $223.5k
James Empfield
Senior Vice President of Drug Discovery4.42yrsUS$545.00kno data

2.8yrs

Average Tenure

58yo

Average Age

Experienced Management: XENE's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Simon Pimstone
CEO & Director17.5yrsUS$2.61m0.78% $3.6m
Mohammad Azab
Independent Director16.75yrsUS$142.11k0.17% $807.2k
Frank Holler
Independent Director 21.33yrsUS$147.38k0.35% $1.6m
Michael Tarnow
Independent Chairman21.17yrsUS$169.62k0.20% $927.9k
Michael Hayden
Independent Director23.67yrsUS$131.93k0.78% $3.6m
Gary Patou
Independent Director16.5yrsUS$144.74k0.097% $452.8k
Clarissa Desjardins
Independent Director0.50yrno datano data
Steven Gannon
Independent Director5.17yrsUS$139.84k0.043% $199.7k
Dawn Svoronos
Independent Director3.83yrsUS$136.08k0.34% $1.6m

16.8yrs

Average Tenure

63yo

Average Age

Experienced Board: XENE's board of directors are seasoned and experienced ( 16.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: XENE 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 35.7%.


Top Shareholders

Company Information

Xenon Pharmaceuticals Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Xenon Pharmaceuticals Inc.
  • Ticker: XENE
  • Exchange: NasdaqGM
  • Founded: 1996
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$465.506m
  • Shares outstanding: 34.97m
  • Website: https://www.xenon-pharma.com

Number of Employees


Location

  • Xenon Pharmaceuticals Inc.
  • 200 – 3650 Gilmore Way
  • Burnaby
  • British Columbia
  • V5G 4W8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
XENENasdaqGM (Nasdaq Global Market)YesCommon SharesUSUSDNov 2014
XP0DB (Deutsche Boerse AG)YesCommon SharesDEEURNov 2014

Biography

Xenon Pharmaceuticals Inc., a clinical-stage biopharmaceutical company, engages in developing therapeutics to treat patients with neurological disorders in Canada. Its clinical development pipeline include XEN496, A Kv7 potassium channel modulator that is Phase II clinical trials for the treatment of KCNQ2 epilepsy; XEN1101, A Kv7 potassium channel modulator, which is in Phase II clinical trial for the treatment of epilepsy. The company’s product candidates also comprise XEN901, a selective Nav1.6 sodium channel inhibitor that is in Phase I clinical trials for the treatment of epilepsy; and XEN007, A central nervous system-acting calcium channel modulator, which is in Phase I clinical trials. The company has a license and collaboration agreement with the Neurocrine Biosciences, Inc. to develop first-in-class treatments for epilepsy. The company was founded in 1996 and is headquartered in Burnaby, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/10 00:02
End of Day Share Price2020/07/09 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.