UroGen Pharma Ltd. (NASDAQ: URGN)

Sector: Healthcare Industry: Biotechnology CIK: 0001668243
Market Cap 1.11 Bn
P/B -9.58
P/E -6.72
P/S 11.46
ROIC (Qtr) -568.57
Div Yield % 0.00
Rev 1y % (Qtr) 9.04
Total Debt (Qtr) 128.35 Mn
Debt/Equity (Qtr) -1.11

About

UroGen Pharma Ltd., a biotechnology company listed on NASDAQ under the symbol Urog, operates in the healthcare sector, specifically focusing on the development and commercialization of innovative solutions for urothelial and specialty cancers. The company's unique value proposition lies in its proprietary technology, RTGel, which is a liquid at lower temperatures that converts into a gel form at body temperature, allowing for instillation into the upper urinary tract or bladder. This technology enables longer exposure of medications to urinary tract...

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Price action

Investment thesis

Bull case

  • Tangible assets of 185.05M provide robust 11.51x coverage of other current liabilities 16.07M, indicating strong asset backing.
  • Short-term investments of 36.99M provide solid 2.30x coverage of other current liabilities 16.07M, indicating strong liquidity.
  • Retained earnings of (933.35M) represent substantial 8.09x of equity (115.41M), indicating strong internal capital generation.
  • Strong cash position of 91.39M provides 5.69x coverage of other current liabilities 16.07M, indicating excellent liquidity.
  • Cash reserves of 91.39M provide robust 2.16x coverage of current liabilities 42.24M, indicating strong short-term solvency.

Bear case

  • Operating cash flow of (137.74M) barely covers its investment activities of 94.46M, with a coverage ratio of -1.46, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of 94.46M provide weak support for R&D spending of 67.69M, which is 1.40x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of (137.74M) shows concerning coverage of stock compensation expenses of 12.13M, with a -11.35 ratio indicating potential earnings quality issues.
  • Free cash flow of (138.12M) provides weak coverage of capital expenditures of 387000, with a -356.91 ratio suggesting additional external financing needs for growth initiatives.
  • High receivables of 19.70M relative to inventory of 8.34M (2.36 ratio) suggests aggressive credit terms or collection difficulties, potentially masking revenue quality issues.

Peer comparison

Companies in the Biotechnology
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SMMT Summit Therapeutics Inc. 1,149.72 Bn -1,247.50 0.00 0.01 Bn
2 ONC BeOne Medicines Ltd. 478.27 Bn 6,977.00 96.18 1.90 Bn
3 VRTX Vertex Pharmaceuticals Inc / Ma 120.93 Bn 32.90 10.32 1.83 Bn
4 REGN Regeneron Pharmaceuticals, Inc. 81.61 Bn 18.12 5.69 2.71 Bn
5 ARGX Argenx Se 49.86 Bn 33.10 25,999.50 -
6 ALNY Alnylam Pharmaceuticals, Inc. 44.97 Bn 1,032.26 14.01 3.21 Bn
7 BNTC Benitec Biopharma Inc. 41.09 Bn -982.50 0.00 0.00 Bn
8 INSM INSMED Inc 28.69 Bn -24.24 64.19 0.74 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 6.15 11.12
EV to Cash from Ops. EV/CFO -8.26 26.73
EV to Debt EV to Debt 8.87 686.78
EV to EBIT EV/EBIT -7.78 -10.71
EV to EBITDA EV/EBITDA -8.66 8.30
EV to Free Cash Flow [EV/FCF] EV/FCF -8.24 25.45
EV to Market Cap EV to Market Cap 1.03 166.02
EV to Revenue EV/Rev 11.79 153.59
Price to Book Value [P/B] P/B -9.58 20.63
Price to Earnings [P/E] P/E -6.72 -0.19
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) -9.45 860.86
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -63.98 -26.99
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -27.47 756.81
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.01
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -44.95 -52.99
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -59.37 -4.39
EBIT Growth (1y) % EBIT 1y % (Qtr) -47.46 -62.52
EBT Growth (1y) % EBT 1y % (Qtr) -45.18 -19.16
EPS Growth (1y) % EPS 1y % (Qtr) -13.99 -4.04
FCF Growth (1y) % FCF 1y % (Qtr) -43.31 -33.35
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 5.23 264.38
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.52 0.14
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.00
Cash Ratio Cash Ratio (Qtr) 2.16 3.83
Current Ratio Curr Ratio (Qtr) 3.99 7.27
Debt to Equity Ratio Debt/Equity (Qtr) -1.11 0.43
Interest Cover Ratio Int Coverage (Qtr) -9.45 860.86
Times Interest Earned Times Interest Earned (Qtr) -9.45 860.86
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -149.30 -17,746.13
EBIT Margin % EBIT Margin % (Qtr) -151.45 -18,101.92
EBT Margin % EBT Margin % (Qtr) -167.47 -18,961.86
Gross Margin % Gross Margin % (Qtr) 88.00 -9.24
Net Profit Margin % Net Margin % (Qtr) -170.60 -18,911.61