Coherus Oncology, Inc. (NASDAQ: CHRS)

Sector: Healthcare Industry: Biotechnology CIK: 0001512762
Market Cap 178.27 Mn
P/B 2.03
P/E 1.15
P/S 2.13
ROIC (Qtr) -124.22
Div Yield % 0.00
Rev 1y % (Qtr) 91.19
Total Debt (Qtr) 38.90 Mn
Debt/Equity (Qtr) 0.44

About

Coherus BioSciences, Inc. (CHRS) is a commercial-stage biopharmaceutical company operating in the healthcare industry. The company is primarily involved in the research, development, and commercialization of innovative cancer treatments and the commercialization of its portfolio of FDA-approved oncology products. Coherus BioSciences has a significant presence in the oncology and biosimilar segments, with a focus on developing novel PD-1 inhibitors and biosimilar products. The company's main business activities are centered around its immuno-oncology...

Read more

Price action

Investment thesis

Bull case

  • Strong tangible asset base of 467.04M provides 12.01x coverage of total debt 38.90M, indicating robust asset backing and low credit risk.
  • Robust tangible asset base of 467.04M provides 5.27x coverage of working capital 88.66M, indicating strong operational backing.
  • Tangible assets of 467.04M provide robust 5x coverage of other current liabilities 93.50M, indicating strong asset backing.
  • Cash reserves of 103.35M provide solid 5.89x coverage of other non-current liabilities 17.55M, indicating strong liquidity.
  • Cash reserves of 103.35M exceed inventory value of 2.05M by 50.46x, indicating strong liquidity and inventory management.

Bear case

  • Operating cash flow of (90.19M) barely covers its investment activities of 377.38M, with a coverage ratio of -0.24, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Cash reserves of 103.35M provide limited coverage of acquisition spending of 453.68M, which is 0.23x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • The company's operating cash flow of (90.19M) shows concerning coverage of stock compensation expenses of 20.57M, with a -4.39 ratio indicating potential earnings quality issues.
  • High receivables of 250.50M relative to inventory of 2.05M (122.31 ratio) suggests aggressive credit terms or collection difficulties, potentially masking revenue quality issues.
  • Cash position of 103.35M provides weak coverage of payables of 278.80M, which is 0.37x, indicating potential working capital stress and supplier relationship risks.

Product and Service Breakdown of Revenue (2024)

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 0.00 12.96
EV to Cash from Ops. EV/CFO -0.01 23.73
EV to Debt EV to Debt 0.02 772.65
EV to EBIT EV/EBIT 0.00 -11.30
EV to EBITDA EV/EBITDA 0.00 7.11
EV to Free Cash Flow [EV/FCF] EV/FCF -0.01 22.12
EV to Market Cap EV to Market Cap 0.00 68.89
EV to Revenue EV/Rev 0.01 199.70
Price to Book Value [P/B] P/B 2.03 22.62
Price to Earnings [P/E] P/E 1.15 -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) 13.81 857.11
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 0.00 -27.24
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 5.80 747.06
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 728.06 -48.21
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 20.12 -2.09
EBIT Growth (1y) % EBIT 1y % (Qtr) 728.06 -57.79
EBT Growth (1y) % EBT 1y % (Qtr) 34,538.00 -14.35
EPS Growth (1y) % EPS 1y % (Qtr) 4,533.33 -30.88
FCF Growth (1y) % FCF 1y % (Qtr) -45.50 -32.51
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 103.41 227.96
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.16 0.14
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 0.28 3.79
Current Ratio Curr Ratio (Qtr) 1.24 7.23
Debt to Equity Ratio Debt/Equity (Qtr) 0.44 0.42
Interest Cover Ratio Int Coverage (Qtr) 13.81 857.11
Times Interest Earned Times Interest Earned (Qtr) 13.81 857.11
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 206.40 -18,509.94
EBIT Margin % EBIT Margin % (Qtr) 199.92 -18,862.18
EBT Margin % EBT Margin % (Qtr) 185.44 -19,783.19
Gross Margin % Gross Margin % (Qtr) 47.80 -8.62
Net Profit Margin % Net Margin % (Qtr) 185.40 -19,732.60