Orchard Therapeutics logged a 7.3% change during today's afternoon session, and is now trading at a price of $5.46 per share.
Orchard Therapeutics returned gains of 6.0% last year, with its stock price reaching a high of $7.2 and a low of $3.6. Over the same period, the stock underperformed the S&P 500 index by -2.0%. As of April 2023, the company's 50-day average price was $5.08. Orchard Therapeutics plc, a gene therapy company, research, develops, and commercialize hematopoietic stem cell and gene therapies in the United Kingdom, Italy, France, and Germany. Based in London, United Kingdom, the small-cap Health Care company has 166 full time employees. Orchard Therapeutics has not offered a regular dividend during the last year.
The Company Has a Positive Net Current Asset Value:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue (k) | $2,513 | $2,595 | $483 | $6,986 |
| Gross Margins | 68.0% | 67.0% | 300.0% | 65.2% |
| Operating Margins | -6879.2% | -6049.2% | -7539.3% | -452.2% |
| Net Margins | -6503.06% | -5856.61% | -7525.67% | -112.84% |
| Net Income (k) | -$163,422 | -$151,979 | -$36,349 | -$7,883 |
| Net Interest Income | $5,824 | $857 | -$620 | -$76 |
| Depreciation & Amort. | -$1,675 | -$2,004 | -$2,327 | -$2,741 |
| Earnings Per Share | -$17.5 | -$15.3 | -$11.7 | -$11.59 |
| EPS Growth | n/a | 12.57% | 23.53% | 0.94% |
| Diluted Shares (k) | 9,324 | 9,945 | 12,396 | 18,398 |
| Free Cash Flow (k) | -$170,498 | -$138,942 | -$128,332 | -$82,501 |
| Capital Expenditures | -$4,367 | -$12,668 | -$3,235 | -$6,514 |
| Net Current Assets (k) | $249,808 | $121,032 | $162,862 | $47,502 |
| Current Ratio | 6.26 | 4.34 | 6.43 | 2.78 |
| Long Term Debt (k) | $24,699 | $20,204 | $32,086 | $22,991 |
| LT Debt to Equity | 0.08 | 0.11 | 0.15 | 0.23 |
Orchard Therapeutics has growing revenues and increasing reinvestment in the business, a pattern of improving cash flows, and an excellent current ratio. The company also benefits from healthy debt levels, wider gross margins than its peer group, and positive EPS growth. However, the firm has consistently negative margins with a positive growth rate.
Orchard Therapeutics does not have a meaningful trailing P/E ratio since its earnings per share are negative. Its forward EPS guidance is negative too, at $-3.07. The average P/E ratio for the Health Care sector is 24.45. On the other hand, the market is undervaluing Orchard Therapeutics in terms of its equity because its P/B ratio is 0.76. In comparison, the sector average is 4.16. In conclusion, Orchard Therapeutics's impressive cash flow trend, decent P/B ratio, and reasonable use of leverage demonstrate that the company may still be fairly valued — despite its elevated earnings multiple.
Orchard Therapeutics Has an Average Rating of Buy:
The 4 analysts following Orchard Therapeutics have set target prices ranging from $12.0 to $37.0 per share, for an average of $21.5 with a buy rating. As of April 2023, the company is trading -76.4% away from its average target price, indicating that there is an analyst consensus of strong upside potential.
The largest shareholder is Federated Hermes, Inc., whose 1% stake in the company is worth $10,512,558.
