NEUROONE MEDICAL TECHNOLOGIES Corp (NASDAQ: NMTC)

Sector: Healthcare Industry: Medical Devices CIK: 0001500198
Market Cap 27.31 Mn
P/B 4.27
P/E -4.00
P/S 3.13
ROIC (Qtr) -111.38
Div Yield % 0.00
Rev 1y % (Qtr) -53.90
Total Debt (Qtr) 110,374.00
Debt/Equity (Qtr) 0.02
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About

NeuroOne Medical Technologies Corporation (NMTC) operates in the medical technology industry, specializing in the development and commercialization of thin film electrode technology for various neurological applications. The company's primary business activities involve creating minimally invasive and cost-effective solutions for diagnosing and treating neurological disorders. These solutions have been tested in pre-clinical models and clinical research studies, demonstrating promising results in detecting and treating several neurological conditions. NeuroOne's...

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Investment thesis

Bull case

  • Strong tangible asset base of 8.54M provides 77.36x coverage of total debt 110374, indicating robust asset backing and low credit risk.
  • Tangible assets of 8.54M provide robust 12.09x coverage of other current liabilities 706112, indicating strong asset backing.
  • Strong cash position of 3.56M provides 5.04x coverage of other current liabilities 706112, indicating excellent liquidity.
  • Cash reserves of 3.56M provide solid 4.41x coverage of other non-current liabilities 806859, indicating strong liquidity.
  • Cash reserves of 3.56M provide robust 2.83x coverage of current liabilities 1.26M, indicating strong short-term solvency.

Bear case

  • Investment activities of (98080) provide weak support for R&D spending of 5.20M, which is -0.02x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of (6.16M) shows concerning coverage of stock compensation expenses of 1.28M, with a -4.80 ratio indicating potential earnings quality issues.
  • Free cash flow of (6.26M) provides weak coverage of capital expenditures of 98080, with a -63.82 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (6.83M) show weak coverage of depreciation charges of 375095, with a -18.20 ratio indicating high capital intensity and potential reinvestment needs.
  • High financing cash flow of 8.69M relative to working capital of 6.81M, which is 1.28x suggests concerning dependence on external funding for operational needs.

Peer comparison

Companies in the Medical Devices
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 ABT Abbott Laboratories 173.80 Bn 32.73 5.47 12.94 Bn
2 SYK Stryker Corp 141.15 Bn 43.48 5.62 15.86 Bn
3 MDT Medtronic plc 123.47 Bn 25.92 3.55 29.10 Bn
4 BSX Boston Scientific Corp 112.80 Bn 38.92 5.62 11.44 Bn
5 EW Edwards Lifesciences Corp 45.66 Bn 33.38 7.76 0.70 Bn
6 DXCM Dexcom Inc 27.52 Bn 32.91 5.90 1.34 Bn
7 STE STERIS plc 24.13 Bn 34.08 4.14 2.05 Bn
8 PODD Insulet Corp 17.33 Bn 70.38 6.87 1.01 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 2.44 2.13
EV to Cash from Ops. EV/CFO -3.39 2.75
EV to Debt EV to Debt 189.24 17.25
EV to EBIT EV/EBIT -3.06 2.89
EV to EBITDA EV/EBITDA -2.87 4.53
EV to Free Cash Flow [EV/FCF] EV/FCF -3.34 29.36
EV to Market Cap EV to Market Cap 0.76 25.09
EV to Revenue EV/Rev 2.40 32.80
Price to Book Value [P/B] P/B 4.27 4.73
Price to Earnings [P/E] P/E -4.00 -2.04
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 40.22
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 1.59
Dividend per Basic Share Div per Share (Qtr) 0.00 0.10
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -0.37
Interest Coverage Int. cover (Qtr) 0.00 196.93
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 8.75 -152.08
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 213.98 8,476.58
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -0.44
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 5.00 -792.16
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -13.24 3.79
EBIT Growth (1y) % EBIT 1y % (Qtr) 5.00 -301.80
EBT Growth (1y) % EBT 1y % (Qtr) 5.00 -121.44
EPS Growth (1y) % EPS 1y % (Qtr) 34.62 -87.51
FCF Growth (1y) % FCF 1y % (Qtr) 11.87 10.43
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -16.69 38.21
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.02 0.55
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 2.83 1.80
Current Ratio Curr Ratio (Qtr) 6.41 4.18
Debt to Equity Ratio Debt/Equity (Qtr) 0.02 1.20
Interest Cover Ratio Int Coverage (Qtr) 0.00 196.93
Times Interest Earned Times Interest Earned (Qtr) 0.00 196.93
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -74.00 -2,396.63
EBIT Margin % EBIT Margin % (Qtr) -78.34 -2,478.60
EBT Margin % EBT Margin % (Qtr) -78.34 -2,690.42
Gross Margin % Gross Margin % (Qtr) 54.90 30.80
Net Profit Margin % Net Margin % (Qtr) -78.30 -2,821.53