Sol-Gel Technologies Ltd. (NASDAQ: SLGL)

Sector: Healthcare Industry: Biotechnology CIK: 0001684693
Market Cap 159.55 Mn
P/B 6.13
P/E -46.79
P/S 6.67
ROIC (Qtr) 0.00
Div Yield % 0.00
Rev 1y % (Qtr) -92.54
Total Debt (Qtr) 1.08 Mn
Debt/Equity (Qtr) 0.04

About

Sol-Gel Technologies Ltd., with the ticker symbol SLGL, is a groundbreaking company that operates within the dermatology industry. Its main business activities revolve around the development of innovative, once-daily, non-antibiotic topical creams that combine two or more active ingredients in a single product. This is achieved through the company's proprietary silica-based microencapsulation technology platform. Sol-Gel's operations span across various countries and regions, with a focus on addressing significant unmet needs in the dermatology...

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Price action

Investment thesis

Bull case

  • Healthy cash reserves of 6.72M provide 13.68x coverage of short-term debt 491000, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 34.59M provides 31.94x coverage of total debt 1.08M, indicating robust asset backing and low credit risk.
  • Long-term investments of 1.31M provide solid 2.22x coverage of long-term debt 592000, indicating strategic financial planning.
  • Cash reserves of 6.72M provide robust 1.09x coverage of current liabilities 6.15M, indicating strong short-term solvency.
  • Cash reserves of 6.72M provide solid 3.68x coverage of other non-current liabilities 1.82M, indicating strong liquidity.

Bear case

  • Long-term investments of 1.31M represent a high 1.03x of fixed assets 1.28M, indicating potential overexposure to financial assets versus operational capabilities.
  • Tangible assets of 34.59M provide limited backing for working capital of 25.50M, which is 1.36x, suggesting increased operational risk in market downturns.
  • Other current assets of 962000 provide weak coverage of payables of 5.66M, which is 0.17x, suggesting potential working capital stress in near term.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,446.17 Bn -1,569.17 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 439.23 Bn 6,407.40 88.33 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 120.62 Bn 32.82 10.29 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 84.40 Bn 18.44 5.92 2.71 Bn
5 ALNY Alnylam Pharmaceuticals, Inc. 56.13 Bn 1,288.39 17.49 3.21 Bn
6 ARGX Argenx Se 47.89 Bn 31.79 24,973.95 -
7 BNTC Benitec Biopharma Inc. 42.45 Bn -1,015.00 0.00 0.00 Bn
8 INSM INSMED Inc 32.67 Bn -27.60 73.08 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 4.09 12.96
EV to Cash from Ops. EV/CFO -24.96 23.73
EV to Debt EV to Debt 130.53 772.65
EV to EBIT EV/EBIT -41.45 -11.30
EV to EBITDA EV/EBITDA -30.80 7.11
EV to Free Cash Flow [EV/FCF] EV/FCF -24.85 22.12
EV to Market Cap EV to Market Cap 0.89 68.89
EV to Revenue EV/Rev 5.91 199.70
Price to Book Value [P/B] P/B 6.13 22.62
Price to Earnings [P/E] P/E -46.79 -12.30
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 Dividend Payout Ratio % 0.00 -0.15
Interest Coverage Int. cover (Qtr) 0.00 857.11
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex Growth (1y) % 0.00 -27.24
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -49.95 747.06
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 0.00 -48.21
EBITDA Growth (1y) % EBITDA Growth (1y) % 0.00 -2.09
EBIT Growth (1y) % EBIT 1y % (Qtr) 0.00 -57.79
EBT Growth (1y) % EBT 1y % (Qtr) 0.00 -14.35
EPS Growth (1y) % EPS 1y % (Qtr) 0.00 -30.88
FCF Growth (1y) % FCF Growth (1y) % 0.00 -32.51
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 0.00 227.96
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.14
Cash Payout Ratio Cash Payout Ratio 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 1.09 3.79
Current Ratio Curr Ratio (Qtr) 5.15 7.23
Debt to Equity Ratio Debt/Equity (Qtr) 0.04 0.42
Interest Cover Ratio Int Coverage (Qtr) 0.00 857.11
Times Interest Earned Times Interest Earned (Qtr) 0.00 857.11
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % 0.00 -18,509.94
EBIT Margin % EBIT Margin % (Qtr) 0.00 -18,862.18
EBT Margin % EBT Margin % (Qtr) 0.00 -19,783.19
Gross Margin % Gross Margin % (Qtr) 0.00 -8.62
Net Profit Margin % Net Margin % (Qtr) 0.00 -19,732.60