Structure Therapeutics Inc. (GPCR) Stock Analysis and Metrics

Sector: Healthcare Industry: Biotechnology CIK: 0001888886

P/B 5.01

P/E -18.32

P/S 0.00

Market Cap 3.86 Bn

ROIC (Qtr) -31.86

Div Yield % 0.00

Rev 1y % (Qtr) 0.00

Total Debt (Qtr) 7.09 Mn

Debt/Equity (Qtr) 0.01

About

Structure Therapeutics Inc., frequently abbreviated as GPCR, is a clinical-stage biopharmaceutical company that operates in the healthcare sector, specifically within the realm of G-protein coupled receptors (GPCRs). This company is dedicated to the development of novel oral therapeutics aimed at addressing a wide array of chronic diseases with unmet medical needs. GPCR's primary business activities revolve around the application of structure-based drug discovery and computational chemistry expertise to create oral small molecule therapeutics....

Structure Therapeutics Inc., frequently abbreviated as GPCR, is a clinical-stage biopharmaceutical company that operates in the healthcare sector, specifically within the realm of G-protein coupled receptors (GPCRs). This company is dedicated to the development of novel oral therapeutics aimed at addressing a wide array of chronic diseases with unmet medical needs.

GPCR's primary business activities revolve around the application of structure-based drug discovery and computational chemistry expertise to create oral small molecule therapeutics. These are intended for treating diseases across various systems, including metabolic, cardiovascular, and pulmonary conditions. The company's operations span numerous countries and regions, including the United States, where it is headquartered.

The company's revenue is generated through the development and commercialization of its product candidates, which are primarily centered on GPCRs. GPCR's lead product candidate, GSBR-1290, is an oral and biased small molecule agonist of the glucagon-like peptide-1 receptor (GLP-1R). This is a validated GPCR drug target for type 2 diabetes mellitus (T2DM) and obesity. Additionally, GPCR has developed next-generation GLP-1R candidates, such as dual GLP-1R/glucose-dependent insulinotropic polypeptide receptor (GIPR) agonists and amylin agonists. Each of these has been designed with unique properties to provide additional benefits.

Within the industry, GPCR holds a strong position, particularly in the development of oral small molecule therapeutics. Its key competitors include established pharmaceutical companies such as Novo Nordisk, Eli Lilly, and Sanofi. These competitors have also developed and commercialized GLP-1R agonists for T2DM and obesity treatment. However, GPCR's focus on oral small molecule therapeutics and its next-generation platform could potentially offer a competitive advantage in the creation of novel treatments for these diseases.

GPCR's customer base primarily consists of pharmaceutical companies, research institutions, and government agencies involved in the development and commercialization of GPCR-targeted therapeutics. The company has established strategic partnerships, including one with Schrödinger, its co-founder. GPCR plans to explore further collaborations with third parties to strengthen its platform capabilities and expand its portfolio.

GPCR's product portfolio includes the lead product candidate, GSBR-1290, and next-generation GLP-1R candidates. These are designed to treat metabolic diseases, with a particular focus on GLP-1R agonists for T2DM and obesity. Furthermore, GPCR is evaluating its LPA1R program, LTSE-2578, for idiopathic pulmonary fibrosis (IPF) and pulmonary fibrosis (PPF). LTSE-2578 is an investigational oral small molecule LPA1R antagonist that has demonstrated potent in vitro and in vivo activity in preclinical IPF models. Additionally, it has shown dose-dependent inhibition of histamine release as a pharmacodynamic marker.

Stock Price Chart

Analysis

Pros

Healthy cash reserves of 102.91M provide 36.73x coverage of short-term debt 2.80M, demonstrating strong liquidity position and minimal refinancing risk.
Strong tangible asset base of 832.16M provides 117.37x coverage of total debt 7.09M, indicating robust asset backing and low credit risk.
Short-term investments of 696.13M provide solid 18.85x coverage of other current liabilities 36.93M, indicating strong liquidity.
Tangible assets of 832.16M provide robust 22.53x coverage of other current liabilities 36.93M, indicating strong asset backing.
Cash reserves of 102.91M provide solid 316.65x coverage of other non-current liabilities 325000, indicating strong liquidity.

Cons

Operating cash flow of (194.25M) barely covers its investment activities of 66.89M, with a coverage ratio of -2.90, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
Investment activities of 66.89M provide weak support for R&D spending of 190.05M, which is 0.35x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
Short-term investments of 696.13M significantly exceed cash reserves of 102.91M, which is 6.76x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
The company's operating cash flow of (194.25M) shows concerning coverage of stock compensation expenses of 26.75M, with a -7.26 ratio indicating potential earnings quality issues.
Operating cash flow of (194.25M) provides minimal -403.85x coverage of tax expenses of 481000, 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.	1,349.40 Bn	-1,464.17	0.00	0.01 Bn
2	ONC	BeOne Medicines Ltd.	437.43 Bn	6,381.20	87.97	1.90 Bn
3	VRTX	Vertex Pharmaceuticals Inc / Ma	116.09 Bn	31.59	9.90	1.83 Bn
4	REGN	Regeneron Pharmaceuticals, Inc.	78.10 Bn	17.06	5.48	2.71 Bn
5	ALNY	Alnylam Pharmaceuticals, Inc.	55.87 Bn	1,282.42	17.40	3.21 Bn
6	ARGX	Argenx Se	52.85 Bn	35.08	27,559.65	-
7	BNTC	Benitec Biopharma Inc.	41.75 Bn	-998.33	0.00	0.00 Bn
8	INSM	INSMED Inc	37.80 Bn	-31.93	84.56	0.74 Bn

Industry Comparisons

Current Valuation

Metric	Value	Industry
EV to Assets	4.47	12.31
EV to Cash from Ops.	-19.16	23.25
EV to Debt	524.81	738.44
EV to EBIT	-17.70	-9.16
EV to EBITDA	-15.23	6.95
EV to Free Cash Flow [EV/FCF]	-18.95	21.90
EV to Market Cap	0.96	65.67
EV to Revenue	0.00	227.32
Price to Book Value [P/B]	5.01	22.34
Price to Earnings [P/E]	-18.32	-11.77

Dividend Metrics

Metric	Value	Industry	Percentile
Dividend Coverage Ratio	0.00	-11.94
Dividend Payout Ratio %	0.00	0.16
Dividend per Basic Share	0.00	0.01
FCF Dividend Payout Ratio %	0.00	-0.14
Interest Coverage	0.00	841.00

Growth Metrics

Metric	Value	Industry
Capex Growth (1y) %	12.18	-27.13
Cash and Equivalents Growth (1y) %	-40.21	734.65
Dividend Growth (1y) %	0.00	0.01
EBIAT Growth (1y) %	-90.58	-46.93
EBITDA Growth (1y) %	-74.47	-1.68
EBIT Growth (1y) %	-89.91	-56.45
EBT Growth (1y) %	-89.91	-12.70
EPS Growth (1y) %	-67.12	-28.31
FCF Growth (1y) %	-88.24	-31.90
Gross Profit Growth (1y) %	0.00	226.84

Liquidity Ratios

Metric	Value	Industry
Asset Utilization Ratio	0.00	0.14
Cash Payout Ratio	0.00	0.00
Cash Ratio	1.79	3.85
Current Ratio	14.15	7.27
Debt to Equity Ratio	0.01	0.40
Interest Cover Ratio	0.00	841.00
Times Interest Earned	0.00	841.00

Profitability

Metric	Value	Industry	Percentile
EBITDA Margin %	0.00	-18,234.31
EBIT Margin %	0.00	-18,580.80
EBT Margin %	0.00	-19,488.74
Gross Margin %	0.00	-7.59
Net Profit Margin %	0.00	-19,439.22

Structure Therapeutics Inc. (NASDAQ: GPCR)