Immunovant, Inc. (NASDAQ: IMVT)

Sector: Healthcare Industry: Biotechnology CIK: 0001764013
Market Cap 4.69 Bn
P/B 4.75
P/E -10.09
P/S 0.00
ROIC (Qtr) -65.63
Div Yield % 0.00
Rev 1y % (Qtr) 0.00
Total Debt (Qtr) 0.00
Debt/Equity (Qtr) 0.00

About

Price action

Investment thesis

Bull case

  • Tangible assets of 1.05B provide robust 18.26x coverage of other current liabilities 57.64M, indicating strong asset backing.
  • Cash reserves of 994.52M provide robust 15.01x coverage of current liabilities 66.26M, indicating strong short-term solvency.
  • Strong cash position of 994.52M provides 17.25x coverage of other current liabilities 57.64M, indicating excellent liquidity.
  • Cash position of 994.52M represents healthy 1.02x of working capital 976.68M, demonstrating strong operational liquidity.
  • Robust R&D investment of 408.02M at 5.16x of SG&A 79.15M demonstrates strong commitment to innovation and future growth.

Bear case

  • Investment activities of (201000) provide weak support for R&D spending of 408.02M, which is -0x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of (422.89M) shows concerning coverage of stock compensation expenses of 56.27M, with a -7.52 ratio indicating potential earnings quality issues.
  • Free cash flow of (423.09M) provides weak coverage of capital expenditures of 201000, with a -2104.92 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (422.89M) provides minimal -116.11x coverage of tax expenses of 3.64M, suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of (460.56M) show weak coverage of depreciation charges of 517000, with a -890.83 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. 1,151.25 Bn -1,249.17 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 485.22 Bn 7,078.40 97.58 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 122.74 Bn 33.40 10.47 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 82.16 Bn 18.24 5.73 2.71 Bn
5 ARGX Argenx Se 48.85 Bn 32.43 25,472.44 -
6 ALNY Alnylam Pharmaceuticals, Inc. 46.12 Bn 1,058.58 14.37 3.21 Bn
7 BNTC Benitec Biopharma Inc. 42.24 Bn -1,010.00 0.00 0.00 Bn
8 INSM INSMED Inc 28.75 Bn -24.29 64.32 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 3.96 11.11
EV to Cash from Ops. EV/CFO -9.85 26.32
EV to Debt EV to Debt 0.00 688.48
EV to EBIT EV/EBIT -9.04 -10.97
EV to EBITDA EV/EBITDA -8.56 8.32
EV to Free Cash Flow [EV/FCF] EV/FCF -9.84 25.03
EV to Market Cap EV to Market Cap 0.89 163.46
EV to Revenue EV to Revenue 0.00 148.57
Price to Book Value [P/B] P/B 4.75 20.73
Price to Earnings [P/E] P/E -10.09 -0.34
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -12.47
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) 0.00 860.86
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 71.61 -26.99
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 165.43 756.75
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -21.29 -53.03
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -20.31 -4.42
EBIT Growth (1y) % EBIT 1y % (Qtr) -20.51 -62.56
EBT Growth (1y) % EBT 1y % (Qtr) -20.51 -19.19
EPS Growth (1y) % EPS 1y % (Qtr) -2.29 -4.07
FCF Growth (1y) % FCF 1y % (Qtr) -29.92 -33.40
Gross Profit Growth (1y) % Gross Profit Growth (1y) % 0.00 264.38
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) 15.01 3.81
Current Ratio Curr Ratio (Qtr) 15.74 7.25
Debt to Equity Ratio Debt/Equity (Qtr) 0.00 0.43
Interest Cover Ratio Int Coverage (Qtr) 0.00 860.86
Times Interest Earned Times Interest Earned (Qtr) 0.00 860.86
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % 0.00 -17,746.13
EBIT Margin % EBIT Margin % 0.00 -18,101.92
EBT Margin % EBT Margin % 0.00 -18,961.86
Gross Margin % Gross Margin % 0.00 -9.24
Net Profit Margin % Net Profit Margin % 0.00 -18,911.61