Kymera Therapeutics, Inc. (NASDAQ: KYMR)

Sector: Healthcare Industry: Biotechnology CIK: 0001815442
Market Cap 6.13 Bn
P/B 6.48
P/E -20.77
P/S 140.15
ROIC (Qtr) -31.83
Div Yield % 0.00
Rev 1y % (Qtr) -26.12
Total Debt (Qtr) 84.00 Mn
Debt/Equity (Qtr) 0.09

About

Price action

Investment thesis

Bull case

  • Healthy cash reserves of 118.74M provide 8.64x coverage of short-term debt 13.74M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 1.10B provides 13.12x coverage of total debt 84M, indicating robust asset backing and low credit risk.
  • Tangible assets of 1.10B provide exceptional 29.60x coverage of deferred revenue 37.24M, showing strong service capability backing.
  • Operating cash flow of (227.93M) fully covers other non-current liabilities (23.28M) by 9.79x, showing strong long-term stability.
  • Long-term investments of 473.06M provide solid 6.73x coverage of long-term debt 70.25M, indicating strategic financial planning.

Bear case

  • Investment activities of (58.09M) provide weak support for R&D spending of 304.55M, which is -0.19x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of (227.93M) provides insufficient coverage of deferred revenue obligations of 37.24M, which is -6.12x, raising concerns about future service delivery capabilities.
  • Short-term investments of 392.73M significantly exceed cash reserves of 118.74M, which is 3.31x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • The company's operating cash flow of (227.93M) shows concerning coverage of stock compensation expenses of 59.25M, with a -3.85 ratio indicating potential earnings quality issues.
  • Free cash flow of (230.21M) provides weak coverage of capital expenditures of 2.28M, with a -101.01 ratio suggesting additional external financing needs for growth initiatives.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,511.45 Bn -1,640.00 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 463.25 Bn 6,757.80 93.16 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 119.13 Bn 32.42 10.16 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 83.93 Bn 18.33 5.89 2.71 Bn
5 ALNY Alnylam Pharmaceuticals, Inc. 55.97 Bn 1,284.81 17.44 3.21 Bn
6 ARGX Argenx Se 47.47 Bn 31.51 24,751.70 -
7 BNTC Benitec Biopharma Inc. 41.27 Bn -986.67 0.00 0.00 Bn
8 INSM INSMED Inc 33.76 Bn -28.52 75.53 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 5.33 13.39
EV to Cash from Ops. EV/CFO -25.77 23.02
EV to Debt EV to Debt 69.93 789.59
EV to EBIT EV/EBIT -19.93 -11.14
EV to EBITDA EV/EBITDA -18.13 7.05
EV to Free Cash Flow [EV/FCF] EV/FCF -25.51 21.44
EV to Market Cap EV to Market Cap 0.96 72.36
EV to Revenue EV/Rev 134.30 194.41
Price to Book Value [P/B] P/B 6.48 23.19
Price to Earnings [P/E] P/E -20.77 -11.47
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) -874.73 856.48
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 90.31 -27.12
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 1.92 747.06
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -76.27 -48.05
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -67.08 -1.94
EBIT Growth (1y) % EBIT 1y % (Qtr) -76.27 -57.64
EBT Growth (1y) % EBT 1y % (Qtr) -76.22 -14.19
EPS Growth (1y) % EPS 1y % (Qtr) -53.85 -30.71
FCF Growth (1y) % FCF 1y % (Qtr) -55.34 -32.52
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -50.05 227.96
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.04 0.14
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 1.66 3.79
Current Ratio Curr Ratio (Qtr) 7.38 7.23
Debt to Equity Ratio Debt/Equity (Qtr) 0.09 0.42
Interest Cover Ratio Int Coverage (Qtr) -874.73 856.48
Times Interest Earned Times Interest Earned (Qtr) -874.73 856.48
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -655.10 -18,509.94
EBIT Margin % EBIT Margin % (Qtr) -674.04 -18,862.18
EBT Margin % EBT Margin % (Qtr) -674.81 -19,783.19
Gross Margin % Gross Margin % (Qtr) 100.00 -8.62
Net Profit Margin % Net Margin % (Qtr) -674.80 -19,732.60