Analyzing Axovant Sciences’ Valuation Metrics

In September, there are seven analysts covering Axovant Sciences (AXON) stock. Two of them have given the stock a “buy” rating, and five have given it a “hold.” The mean rating for Axovant stock is 2.71 with a target price of $4.70, implying an upside potential of 129.3% over its trading price of $2.05 on September 11.

In comparison, peers Acadia Pharmaceuticals (ACAD), Esperion Therapeutics (ESPR), and Intercept Pharmaceuticals (ICPT) have mean ratings of 2.2, 2.27, and 2.41, respectively, and target prices of $30.56, $72.68, and $123.07, respectively.

From $5.37 on January 5, Axovant stock corrected sharply to $1.05 on May 5, which was also its lowest point in 2018. Subsequently, it climbed to $5.01 on June 11 and then sharply corrected to its current $2 level in September.

The enterprise value of Axovant is $243.33 million, and its price-to-book ratio is 8.54x.

Axovant’s cash per share stands at $0.72. Cash per share levels for peers Acadia Pharmaceuticals (ACAD), Esperion Therapeutics (ESPR), and Intercept Pharmaceuticals (ICPT) are $2.06, $6.77, and $18.89, respectively.

Its current ratio, a metric of how effectively a company can meet its short-term obligations, stands at 2.30x. In comparison, peers Acadia Pharmaceuticals (ACAD), Esperion Therapeutics (ESPR), and Intercept Pharmaceuticals (ICPT) have ratios of 6.10x, 5.40x, and 6.50x, respectively, indicating that Axovant’s peers are in a strong position to satisfy their short-term obligations.

We’ll take a look at Biolife Solutions’ valuation metrics in the next part.