aTYR PHARMA INC (NASDAQ: ATYR)

Sector: Healthcare Industry: Biotechnology CIK: 0001339970
Market Cap 89.78 Mn
P/B 1.12
P/E -1.20
P/S 472.53
ROIC (Qtr) -87.33
Div Yield % 0.00
Rev 1y % (Qtr) 0.00
Total Debt (Qtr) 12.36 Mn
Debt/Equity (Qtr) 0.15
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About

Atyron Pharma Inc., or aTYR PHARMA INC, is a clinical-stage biotechnology company that operates in the field of fibrosis and inflammation treatment. The company's primary focus is on developing efzofitimod, a first-in-class biologic immunomodulator, for the treatment of interstitial lung disease (ILD), a group of immune-mediated disorders that can cause inflammation and fibrosis of the lungs. Atyron Pharma's operations involve leveraging evolutionary intelligence to translate tRNA synthetase biology into new therapies for fibrosis and inflammation....

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Investment thesis

Bull case

  • Healthy cash reserves of 8.86M provide 6.20x coverage of short-term debt 1.43M, demonstrating strong liquidity position and minimal refinancing risk.
  • Operating cash flow of (62.92M) provides exceptional 12584.40x coverage of minority interest expenses (5000), showing strong core operations.
  • Strong tangible asset base of 106.65M provides 8.63x coverage of total debt 12.36M, indicating robust asset backing and low credit risk.
  • Short-term investments of 84.05M provide solid 8.25x coverage of other current liabilities 10.19M, indicating strong liquidity.
  • Tangible assets of 106.65M provide robust 10.47x coverage of other current liabilities 10.19M, indicating strong asset backing.

Bear case

  • Investment activities of (27.58M) provide weak support for R&D spending of 61.56M, which is -0.45x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Short-term investments of 84.05M significantly exceed cash reserves of 8.86M, which is 9.48x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • The company's operating cash flow of (62.92M) shows concerning coverage of stock compensation expenses of 4.56M, with a -13.80 ratio indicating potential earnings quality issues.
  • Free cash flow of (62.99M) provides weak coverage of capital expenditures of 64000, with a -984.16 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (75.12M) show weak coverage of depreciation charges of 1.16M, with a -64.87 ratio indicating high capital intensity and potential reinvestment needs.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,204.25 Bn -1,306.67 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 486.51 Bn 7,097.20 97.84 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 122.05 Bn 30.87 10.17 1.85 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 83.00 Bn 18.42 5.79 2.71 Bn
5 ARGX Argenx Se 50.78 Bn 33.71 26,480.10 -
6 ALNY Alnylam Pharmaceuticals, Inc. 43.66 Bn 139.17 11.76 2.97 Bn
7 BNTC Benitec Biopharma Inc. 43.61 Bn -941.82 0.00 0.00 Bn
8 INSM INSMED Inc 28.88 Bn -24.40 64.61 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.77 11.06
EV to Cash from Ops. EV/CFO -1.31 26.32
EV to Debt EV to Debt 6.66 762.61
EV to EBIT EV/EBIT -1.10 -13.49
EV to EBITDA EV/EBITDA -1.06 8.61
EV to Free Cash Flow [EV/FCF] EV/FCF -1.31 25.66
EV to Market Cap EV to Market Cap 0.92 203.37
EV to Revenue EV/Rev 433.47 156.31
Price to Book Value [P/B] P/B 1.12 20.59
Price to Earnings [P/E] P/E -1.20 -0.88
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -12.64
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 -0.14
Interest Coverage Int. cover (Qtr) 0.00 956.66
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -12.28 7.87
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -38.39 753.48
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -17.72 -57.63
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -17.23 8.83
EBIT Growth (1y) % EBIT 1y % (Qtr) -17.72 -67.21
EBT Growth (1y) % EBT 1y % (Qtr) -17.72 -23.74
EPS Growth (1y) % EPS 1y % (Qtr) 12.77 -7.02
FCF Growth (1y) % FCF 1y % (Qtr) 6.14 -40.48
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -19.15 264.51
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.14
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 0.57 3.92
Current Ratio Curr Ratio (Qtr) 5.93 7.33
Debt to Equity Ratio Debt/Equity (Qtr) 0.15 0.48
Interest Cover Ratio Int Coverage (Qtr) 0.00 956.66
Times Interest Earned Times Interest Earned (Qtr) 0.00 956.66
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -38,928.40 -17,888.70
EBIT Margin % EBIT Margin % (Qtr) -39,537.89 -18,246.34
EBT Margin % EBT Margin % (Qtr) -39,537.89 -19,108.08
Gross Margin % Gross Margin % (Qtr) 100.00 -10.30
Net Profit Margin % Net Margin % (Qtr) -39,537.90 -19,056.96