INSMED Inc (NASDAQ: INSM)

Sector: Healthcare Industry: Biotechnology CIK: 0001104506
P/B 38.52
P/E -30.77
P/S 81.49
Market Cap 36.43 Bn
ROIC (Qtr) -63.22
Div Yield % 0.00
Rev 1y % (Qtr) 52.36
Total Debt (Qtr) 740.14 Mn
Debt/Equity (Qtr) 0.78

About

Stock Price Chart

Analysis

Pros

  • Healthy cash reserves of 334.76M provide 45.37x coverage of short-term debt 7.38M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 2.14B provides 2.89x coverage of total debt 740.13M, indicating robust asset backing and low credit risk.
  • Cash reserves of 334.76M provide robust 0.80x coverage of current liabilities 417.21M, indicating strong short-term solvency.
  • Cash reserves of 334.76M provide solid 1.26x coverage of other non-current liabilities 265.19M, indicating strong liquidity.
  • Cash reserves of 334.76M exceed inventory value of 120.97M by 2.77x, indicating strong liquidity and inventory management.

Cons

  • Investment activities of (322.23M) provide weak support for R&D spending of 695.91M, which is -0.46x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of (883.40M) shows concerning coverage of stock compensation expenses of 140.22M, with a -6.30 ratio indicating potential earnings quality issues.
  • Short-term investments of 1.35B significantly exceed cash reserves of 334.76M, which is 4.02x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • Free cash flow of (906.14M) provides weak coverage of capital expenditures of 22.74M, with a -39.84 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (883.40M) provides minimal -186.33x coverage of tax expenses of 4.74M, 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. 1,377.82 Bn -1,495.00 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 442.39 Bn 6,453.60 88.96 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 114.19 Bn 31.07 9.74 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 76.52 Bn 16.71 5.37 2.71 Bn
5 ALNY Alnylam Pharmaceuticals, Inc. 56.84 Bn 1,304.71 17.71 3.21 Bn
6 ARGX Argenx Se 53.58 Bn 35.57 27,941.68 -
7 BNTC Benitec Biopharma Inc. 44.65 Bn -1,067.50 0.00 0.00 Bn
8 INSM INSMED Inc 36.43 Bn -30.77 81.49 0.74 Bn

Industry Comparisons

Current Valuation

Metric Value Industry Percentile
EV to Assets 15.78 12.31
EV to Cash from Ops. -42.17 23.25
EV to Debt 50.34 738.44
EV to EBIT -34.04 -9.16
EV to EBITDA -32.69 6.95
EV to Free Cash Flow [EV/FCF] -41.11 21.90
EV to Market Cap 0.99 65.67
EV to Revenue 83.34 227.32
Price to Book Value [P/B] 39.98 22.34
Price to Earnings [P/E] -31.93 -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 -12.91 841.00

Growth Metrics

Metric Value Industry Percentile
Capex Growth (1y) % -31.44 -27.13
Cash and Equivalents Growth (1y) % -27.45 734.65
Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % -40.90 -46.93
EBITDA Growth (1y) % -40.34 -1.68
EBIT Growth (1y) % -40.90 -56.45
EBT Growth (1y) % -36.97 -12.70
EPS Growth (1y) % -11.17 -28.31
FCF Growth (1y) % -42.47 -31.90
Gross Profit Growth (1y) % 29.15 226.84

Liquidity Ratios

Metric Value Industry Percentile
Asset Utilization Ratio 0.19 0.14
Cash Payout Ratio 0.00 0.00
Cash Ratio 0.80 3.85
Current Ratio 4.63 7.27
Debt to Equity Ratio 0.78 0.40
Interest Cover Ratio -12.91 841.00
Times Interest Earned -12.91 841.00

Profitability

Metric Value Industry Percentile
EBITDA Margin % -240.80 -18,234.31
EBIT Margin % -244.81 -18,580.80
EBT Margin % -263.77 -19,488.74
Gross Margin % 76.50 -7.59
Net Profit Margin % -264.80 -19,439.22