AC Immune SA (NASDAQ: ACIU)

Sector: Healthcare Industry: Biotechnology CIK: 0001651625
Market Cap 343.39 Mn
P/B 4.40
P/E -3.82
P/S 62.83
ROIC (Qtr) -81.25
Div Yield % 0.00
Rev 1y % (Qtr) -96.09
Total Debt (Qtr) 5.83 Mn
Debt/Equity (Qtr) 0.07

About

AC Immune SA, a Swiss biopharmaceutical company with the ticker symbol ACIU, is a leading clinical-stage biotech company specializing in the development of innovative therapies for neurodegenerative diseases. The company operates in the biopharmaceutical industry, specifically in the field of neurodegenerative disorders such as Alzheimer's disease (AD), Parkinson's disease (PD), and other related conditions. AC Immune's primary products are its proprietary technology platforms, SupraAntigen and Morphomer, which generate highly specific biologics...

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Price action

Investment thesis

Bull case

  • Healthy cash reserves of 34.68M provide 26.55x coverage of short-term debt 1.31M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 151.49M provides 26x coverage of total debt 5.83M, indicating robust asset backing and low credit risk.
  • Robust tangible asset base of 151.49M provides 7.84x coverage of working capital 19.32M, indicating strong operational backing.
  • R&D investment of 77M represents healthy 0.71x of deferred revenue 107.98M, indicating strong future innovation pipeline.
  • Short-term investments of 100.91M provide 77.25x coverage of short-term debt 1.31M, showing strong liquidity management.

Bear case

  • Operating cash flow of (60.91M) barely covers its investment activities of 54.64M, with a coverage ratio of -1.11, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of 54.64M provide weak support for R&D spending of 77M, which is 0.71x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of (60.91M) provides insufficient coverage of deferred revenue obligations of 107.98M, which is -0.56x, raising concerns about future service delivery capabilities.
  • The company's operating cash flow of (60.91M) shows concerning coverage of stock compensation expenses of 5.57M, with a -10.93 ratio indicating potential earnings quality issues.
  • Operating cash flow of (60.91M) provides minimal -16243.33x coverage of tax expenses of 3750, suggesting potential tax planning inefficiencies or unsustainable tax positions.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,446.17 Bn -1,569.17 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 439.23 Bn 6,407.40 88.33 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 120.62 Bn 32.82 10.29 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 84.40 Bn 18.44 5.92 2.71 Bn
5 ALNY Alnylam Pharmaceuticals, Inc. 56.13 Bn 1,288.39 17.49 3.21 Bn
6 ARGX Argenx Se 47.89 Bn 31.79 24,973.95 -
7 BNTC Benitec Biopharma Inc. 42.45 Bn -1,015.00 0.00 0.00 Bn
8 INSM INSMED Inc 32.67 Bn -27.60 73.08 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.79 12.96
EV to Cash from Ops. EV/CFO -6.30 23.73
EV to Debt EV to Debt 65.91 772.65
EV to EBIT EV/EBIT -4.29 -11.30
EV to EBITDA EV/EBITDA -4.32 7.11
EV to Free Cash Flow [EV/FCF] EV/FCF -6.19 22.12
EV to Market Cap EV to Market Cap 1.12 68.89
EV to Revenue EV/Rev 70.26 199.70
Price to Book Value [P/B] P/B 4.40 22.62
Price to Earnings [P/E] P/E -3.82 -12.30
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -12.02
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 0.17
Dividend per Basic Share Div per Share (Qtr) 0.00 0.01
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -0.15
Interest Coverage Int. cover (Qtr) -398.28 857.11
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -41.45 -27.24
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -9.08 747.06
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -91.71 -48.21
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -115.34 -2.09
EBIT Growth (1y) % EBIT 1y % (Qtr) -91.71 -57.79
EBT Growth (1y) % EBT 1y % (Qtr) -91.57 -14.35
EPS Growth (1y) % EPS 1y % (Qtr) -91.25 -30.88
FCF Growth (1y) % FCF 1y % (Qtr) -225.84 -32.51
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -88.66 227.96
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.03 0.14
Cash Payout Ratio Cash Payout Ratio 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 0.28 3.79
Current Ratio Curr Ratio (Qtr) 1.16 7.23
Debt to Equity Ratio Debt/Equity (Qtr) 0.07 0.42
Interest Cover Ratio Int Coverage (Qtr) -398.28 857.11
Times Interest Earned Times Interest Earned (Qtr) -398.28 857.11
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -1,585.40 -18,509.94
EBIT Margin % EBIT Margin % (Qtr) -1,311.80 -18,862.18
EBT Margin % EBT Margin % (Qtr) -1,643.87 -19,783.19
Gross Margin % Gross Margin % (Qtr) 100.00 -8.62
Net Profit Margin % Net Margin % (Qtr) -1,643.90 -19,732.60