Gyre Therapeutics, Inc. (NASDAQ: GYRE)

Sector: Healthcare Industry: Biotechnology CIK: 0001124105
P/B 7.17
P/E 109.86
P/S 6.81
Market Cap 730.66 Mn
ROIC (Qtr) 8.29
Div Yield % 0.00
Rev 1y % (Qtr) 19.92
Total Debt (Qtr) 1.17 Mn
Debt/Equity (Qtr) 0.01

About

Stock Price Chart

Analysis

Pros

  • Strong operating cash flow of 3.88M provides robust 3.33x coverage of total debt 1.17M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 40.40M provide 64.54x coverage of short-term debt 626000, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 154.54M provides 132.65x coverage of total debt 1.17M, indicating robust asset backing and low credit risk.
  • Tangible assets of 154.54M provide exceptional 167.25x coverage of deferred revenue 924000, showing strong service capability backing.
  • Robust free cash flow of 3.05M exceeds capital expenditure of 824000 by 3.71x, indicating strong organic growth funding capability.

Cons

  • Operating cash flow of 3.88M barely covers its investment activities of (4.33M), with a coverage ratio of -0.90, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (4.33M) provide weak support for R&D spending of 12.60M, which is -0.34x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • High receivables of 26.11M relative to inventory of 8.85M (2.95 ratio) suggests aggressive credit terms or collection difficulties, potentially masking revenue quality issues.
  • The company's operating cash flow of 3.88M shows concerning coverage of stock compensation expenses of 3.13M, with a 1.24 ratio indicating potential earnings quality issues.
  • Operating cash flow of 3.88M provides minimal 1.12x coverage of tax expenses of 3.46M, 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 Percentile
EV to Assets 4.36 12.31
EV to Cash from Ops. 179.41 23.25
EV to Debt 597.05 738.44
EV to EBIT 68.80 -9.16
EV to EBITDA 46.11 6.95
EV to Free Cash Flow [EV/FCF] 227.83 21.90
EV to Market Cap 0.95 65.67
EV to Revenue 6.48 227.32
Price to Book Value [P/B] 7.17 22.34
Price to Earnings [P/E] 109.86 -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 Percentile
Capex Growth (1y) % 80.72 -27.13
Cash and Equivalents Growth (1y) % 154.65 734.65
Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % 107.49 -46.93
EBITDA Growth (1y) % 120.31 -1.68
EBIT Growth (1y) % 112.18 -56.45
EBT Growth (1y) % 112.18 -12.70
EPS Growth (1y) % 105.00 -28.31
FCF Growth (1y) % 269.89 -31.90
Gross Profit Growth (1y) % 1.32 226.84

Liquidity Ratios

Metric Value Industry Percentile
Asset Utilization Ratio 0.67 0.14
Cash Payout Ratio 0.00 0.00
Cash Ratio 2.54 3.85
Current Ratio 6.20 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 % 12.30 -18,234.31
EBIT Margin % 9.43 -18,580.80
EBT Margin % 9.43 -19,488.74
Gross Margin % 95.50 -7.59
Net Profit Margin % 6.20 -19,439.22