HERON THERAPEUTICS INC (HRTX)
US4277461020 - Common Stock
HRTX gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 565 industry peers in the Biotechnology industry. Both the profitability and financial health of HRTX have multiple concerns. While showing a medium growth rate, HRTX is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
HRTX had negative earnings in the past year.
HRTX had a negative operating cash flow in the past year.
In the past 5 years HRTX always reported negative net income.
HRTX had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
HRTX has a Return On Assets of -12.67%. This is amongst the best in the industry. HRTX outperforms 85.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.67% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-64.8%
ROA(5y)-59.72%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of HRTX (72.19%) is better than 83.96% of its industry peers.
In the last couple of years the Gross Margin of HRTX has declined.
HRTX does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 72.19% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.24%
GM growth 5Y-5.45%
2. Health
2.1 Basic Checks
HRTX does not have a ROIC to compare to the WACC, probably because it is not profitable.
HRTX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HRTX has more shares outstanding
The debt/assets ratio for HRTX is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -10.97, we must say that HRTX is in the distress zone and has some risk of bankruptcy.
HRTX has a worse Altman-Z score (-10.97) than 77.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -10.97 |
ROIC/WACCN/A
WACC8.46%
2.3 Liquidity
A Current Ratio of 2.28 indicates that HRTX has no problem at all paying its short term obligations.
The Current ratio of HRTX (2.28) is worse than 72.91% of its industry peers.
HRTX has a Quick Ratio of 1.74. This is a normal value and indicates that HRTX is financially healthy and should not expect problems in meeting its short term obligations.
HRTX has a Quick ratio of 1.74. This is in the lower half of the industry: HRTX underperforms 78.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.74 |
3. Growth
3.1 Past
HRTX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 81.25%, which is quite impressive.
HRTX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.13%.
The Revenue has been growing by 10.39% on average over the past years. This is quite good.
EPS 1Y (TTM)81.25%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%82.35%
Revenue 1Y (TTM)12.13%
Revenue growth 3Y12.76%
Revenue growth 5Y10.39%
Sales Q2Q%4.38%
3.2 Future
Based on estimates for the next years, HRTX will show a very strong growth in Earnings Per Share. The EPS will grow by 21.92% on average per year.
The Revenue is expected to grow by 18.92% on average over the next years. This is quite good.
EPS Next Y86.95%
EPS Next 2Y41.52%
EPS Next 3Y31.56%
EPS Next 5Y21.92%
Revenue Next Year19.89%
Revenue Next 2Y20.59%
Revenue Next 3Y21.27%
Revenue Next 5Y18.92%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for HRTX. In the last year negative earnings were reported.
A Price/Forward Earnings ratio of 446.02 indicates a quite expensive valuation of HRTX.
HRTX's Price/Forward Earnings ratio is rather cheap when compared to the industry. HRTX is cheaper than 91.27% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HRTX to the average of the S&P500 Index (23.82), we can say HRTX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 446.02 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HRTX does not grow enough to justify the current Price/Earnings ratio.
HRTX's earnings are expected to grow with 31.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.52%
EPS Next 3Y31.56%
5. Dividend
5.1 Amount
No dividends for HRTX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
HERON THERAPEUTICS INC
NASDAQ:HRTX (11/21/2024, 8:00:01 PM)
After market: 1.09 +0.03 (+2.83%)1.06
-0.06 (-5.36%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap161.22M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 446.02 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.67% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 72.19% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.74 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)81.25%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y86.95%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.13%
Revenue growth 3Y12.76%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y