Summit Therapeutics Inc.
Find Ratings ReportsSUMMIT THERAPEUTICS INC's gross profit margin for the fourth quarter of its fiscal year 2023 has significantly decreased when compared to the same period a year ago. Sales and net income fell significantly, underperforming compared to the average company in its subsector. SUMMIT THERAPEUTICS INC is extremely liquid. Currently, the Quick Ratio is 9.17 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.
At the same time, stockholders' equity ("net worth") has significantly decreased by 38.65% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
---|---|---|
Net Sales ($mil) | 0.0 | 0.34 |
EBITDA ($mil) | -36.18 | -11.53 |
EBIT ($mil) | -36.21 | -11.83 |
Net Income ($mil) | -36.57 | -19.23 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 186.24 | 648.61 |
Total Assets ($mil) | 202.95 | 664.17 |
Total Debt ($mil) | 106.1 | 518.76 |
Equity ($mil) | 77.69 | 126.65 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | -3618000.0 | -3390.0 |
EBITDA Margin | -3618000.0 | -3390.0 |
Operating Margin | -3621000.0 | -3479.71 |
Sales Turnover | 0.0 | 0.02 |
Return on Assets | -302.99 | -11.86 |
Return on Equity | -791.49 | -62.2 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 9.3 | 16.93 |
Debt/Capital | 0.58 | 0.8 |
Interest Expense | 2.9 | 2.9 |
Interest Coverage | -12.5 | -4.07 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 701.66 | 211.09 |
Div / share | 0.0 | 0.0 |
EPS | -0.05 | -0.07 |
Book value / share | 0.11 | 0.6 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 2015201.0 | 1000932.0 |
SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. For additional comparison, its price-to-book ratio of 42.90 indicates a significant premium versus the S&P 500 average of 4.68 and a significant premium versus the subsector average of 19.07. The price-to-sales ratio is well above both the S&P 500 average and the subsector average, indicating a premium. Upon assessment of these and other key valuation criteria, SUMMIT THERAPEUTICS INC seems to be trading at a premium to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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SMMT NM | Peers 85.83 | SMMT NM | Peers 38.76 | |||||||||||||||||||||
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. SMMT's P/E is negative making this valuation measure meaningless. |
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. SMMT's P/CF is negative making the measure meaningless. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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SMMT NA | Peers 18.08 | SMMT NA | Peers 1.16 | |||||||||||||||||||||
Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential. Ratio not available. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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Price/Book |
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Earnings Growth |
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SMMT 42.90 | Peers 19.07 | SMMT -155.00 | Peers 12.58 | |||||||||||||||||||||
Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. SMMT is trading at a significant premium to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, SMMT is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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SMMT 55548.08 | Peers 84.44 | SMMT -99.49 | Peers 42.35 | |||||||||||||||||||||
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. SMMT is trading at a significant premium to its subsector. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. SMMT significantly trails its peers on the basis of sales growth. |
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