VERACYTE INC (VCYT) Stock Fundamental Analysis
USA - NASDAQ:VCYT - US92337F1075 - Common Stock
33.23 USD
+1.4 (+4.4%)
33.3 USD
+0.07 (+0.21%)
Taking everything into account, VCYT scores 6 out of 10 in our fundamental rating. VCYT was compared to 540 industry peers in the Biotechnology industry. While VCYT has a great health rating, its profitability is only average at the moment. VCYT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
VCYT had positive earnings in the past year.
VCYT had a positive operating cash flow in the past year.
VCYT had negative earnings in 4 of the past 5 years.
In multiple years VCYT reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.96%, VCYT belongs to the top of the industry, outperforming 90.19% of the companies in the same industry.
With an excellent Return On Equity value of 2.16%, VCYT belongs to the best of the industry, outperforming 90.93% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 2.32%, VCYT belongs to the top of the industry, outperforming 90.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 2.16% | ||
| ROIC | 2.32% |
ROA(3y)-2.66%
ROA(5y)-4.4%
ROE(3y)-2.83%
ROE(5y)-4.73%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 5.50%, VCYT belongs to the best of the industry, outperforming 91.11% of the companies in the same industry.
VCYT's Operating Margin of 7.78% is amongst the best of the industry. VCYT outperforms 91.30% of its industry peers.
VCYT has a better Gross Margin (68.26%) than 80.56% of its industry peers.
In the last couple of years the Gross Margin of VCYT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.78% | ||
| PM (TTM) | 5.5% | ||
| GM | 68.26% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.39%
GM growth 5Y-0.79%
2. Health
2.1 Basic Checks
VCYT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for VCYT has been increased compared to 1 year ago.
Compared to 5 years ago, VCYT has more shares outstanding
There is no outstanding debt for VCYT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
VCYT has an Altman-Z score of 13.04. This indicates that VCYT is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 13.04, VCYT belongs to the top of the industry, outperforming 88.33% of the companies in the same industry.
VCYT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 13.04 |
ROIC/WACC0.24
WACC9.57%
2.3 Liquidity
VCYT has a Current Ratio of 5.43. This indicates that VCYT is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 5.43, VCYT is in line with its industry, outperforming 59.26% of the companies in the same industry.
VCYT has a Quick Ratio of 5.10. This indicates that VCYT is financially healthy and has no problem in meeting its short term obligations.
VCYT has a Quick ratio (5.10) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.43 | ||
| Quick Ratio | 5.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 144.00% over the past year.
Looking at the last year, VCYT shows a quite strong growth in Revenue. The Revenue has grown by 19.91% in the last year.
VCYT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 29.93% yearly.
EPS 1Y (TTM)144%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-114.29%
Revenue 1Y (TTM)19.91%
Revenue growth 3Y26.64%
Revenue growth 5Y29.93%
Sales Q2Q%13.75%
3.2 Future
Based on estimates for the next years, VCYT will show a very strong growth in Earnings Per Share. The EPS will grow by 51.40% on average per year.
The Revenue is expected to grow by 9.94% on average over the next years. This is quite good.
EPS Next Y24.95%
EPS Next 2Y67.99%
EPS Next 3Y64.53%
EPS Next 5Y51.4%
Revenue Next Year12.64%
Revenue Next 2Y11.23%
Revenue Next 3Y10.68%
Revenue Next 5Y9.94%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 100.70, the valuation of VCYT can be described as expensive.
VCYT's Price/Earnings ratio is rather cheap when compared to the industry. VCYT is cheaper than 90.19% of the companies in the same industry.
VCYT is valuated expensively when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 39.25, which means the current valuation is very expensive for VCYT.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VCYT indicates a rather cheap valuation: VCYT is cheaper than 89.81% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of VCYT to the average of the S&P500 Index (22.88), we can say VCYT is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.7 | ||
| Fwd PE | 39.25 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VCYT indicates a rather cheap valuation: VCYT is cheaper than 91.30% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, VCYT is valued cheaply inside the industry as 93.52% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.13 | ||
| EV/EBITDA | 36.38 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VCYT does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of VCYT may justify a higher PE ratio.
A more expensive valuation may be justified as VCYT's earnings are expected to grow with 64.53% in the coming years.
PEG (NY)4.04
PEG (5Y)N/A
EPS Next 2Y67.99%
EPS Next 3Y64.53%
5. Dividend
5.1 Amount
No dividends for VCYT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.23
+1.4 (+4.4%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners107.53%
Inst Owner Change0.85%
Ins Owners0.6%
Ins Owner Change0.18%
Market Cap2.61B
Analysts83.53
Price Target42.05 (26.54%)
Short Float %10.28%
Short Ratio5.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-19.08%
Min EPS beat(2)-110.32%
Max EPS beat(2)72.17%
EPS beat(4)2
Avg EPS beat(4)123.1%
Min EPS beat(4)-110.32%
Max EPS beat(4)579.09%
EPS beat(8)4
Avg EPS beat(8)77.32%
EPS beat(12)8
Avg EPS beat(12)65.1%
EPS beat(16)11
Avg EPS beat(16)51.9%
Revenue beat(2)2
Avg Revenue beat(2)3.39%
Min Revenue beat(2)1.01%
Max Revenue beat(2)5.76%
Revenue beat(4)3
Avg Revenue beat(4)2.66%
Min Revenue beat(4)-0.39%
Max Revenue beat(4)5.76%
Revenue beat(8)7
Avg Revenue beat(8)4.2%
Revenue beat(12)11
Avg Revenue beat(12)5.28%
Revenue beat(16)15
Avg Revenue beat(16)5.66%
PT rev (1m)-0.43%
PT rev (3m)-0.56%
EPS NQ rev (1m)1.67%
EPS NQ rev (3m)-8.96%
EPS NY rev (1m)-27.7%
EPS NY rev (3m)-41.48%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.22%
Revenue NY rev (1m)1.52%
Revenue NY rev (3m)1.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.7 | ||
| Fwd PE | 39.25 | ||
| P/S | 5.46 | ||
| P/FCF | 31.13 | ||
| P/OCF | 27.97 | ||
| P/B | 2.14 | ||
| P/tB | 7.43 | ||
| EV/EBITDA | 36.38 |
EPS(TTM)0.33
EY0.99%
EPS(NY)0.85
Fwd EY2.55%
FCF(TTM)1.07
FCFY3.21%
OCF(TTM)1.19
OCFY3.57%
SpS6.09
BVpS15.52
TBVpS4.47
PEG (NY)4.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 2.16% | ||
| ROCE | 2.94% | ||
| ROIC | 2.32% | ||
| ROICexc | 3.11% | ||
| ROICexgc | 37.8% | ||
| OM | 7.78% | ||
| PM (TTM) | 5.5% | ||
| GM | 68.26% | ||
| FCFM | 17.52% |
ROA(3y)-2.66%
ROA(5y)-4.4%
ROE(3y)-2.83%
ROE(5y)-4.73%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.39%
GM growth 5Y-0.79%
F-Score7
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 41.28% | ||
| Cap/Sales | 1.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 155.1% | ||
| Profit Quality | 318.84% | ||
| Current Ratio | 5.43 | ||
| Quick Ratio | 5.1 | ||
| Altman-Z | 13.04 |
F-Score7
WACC9.57%
ROIC/WACC0.24
Cap/Depr(3y)39.24%
Cap/Depr(5y)36.19%
Cap/Sales(3y)2.72%
Cap/Sales(5y)2.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)144%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-114.29%
EPS Next Y24.95%
EPS Next 2Y67.99%
EPS Next 3Y64.53%
EPS Next 5Y51.4%
Revenue 1Y (TTM)19.91%
Revenue growth 3Y26.64%
Revenue growth 5Y29.93%
Sales Q2Q%13.75%
Revenue Next Year12.64%
Revenue Next 2Y11.23%
Revenue Next 3Y10.68%
Revenue Next 5Y9.94%
EBIT growth 1Y52395.8%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year253.37%
EBIT Next 3Y67.47%
EBIT Next 5Y43.98%
FCF growth 1Y264.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y198.77%
OCF growth 3YN/A
OCF growth 5YN/A