Assembly Biosciences Inc (ASMB) is a company engaged in the development of innovative therapeutics for the treatment of infectious diseases. The company's focus is on small molecule drugs that target the RNA replication process of viruses, including hepatitis B virus (HBV) and norovirus. ASMB is dedicated to leveraging its proprietary technology platforms and expertise in molecular virology to develop novel treatments that address significant unmet medical needs.
When it comes to valuation metrics, it is important to consider various factors. ASMB has a current market capitalization of approximately $300 million, which reflects the total value of its outstanding shares. The stock's price-to-earnings (P/E) ratio is -5.21, indicating that the company has negative earnings. It is important to note that negative P/E ratios may not be indicative of poor performance, as it may be due to the company's focus on research and development rather than generating profits.
ASMB's fundamentals are also worth considering. The company has a total cash position of $141.7 million, providing a strong financial foundation for its operations. ASMB has a current ratio of 3.61, indicating that it has sufficient short-term assets to cover its liabilities. The company's debt-to-equity ratio is 0.26, suggesting that it has a conservative capital structure with limited reliance on debt financing. Moreover, ASMB has a return on equity (ROE) of -26.16%, highlighting its focus on reinvesting its earnings into research and development activities.
In terms of stock performance, ASMB has shown resilience in the face of sector challenges. While the biotechnology sector as a whole has experienced volatility, ASMB's stock has outperformed its sector by a wide margin. Over the past year, ASMB's stock has gained approximately 36%, compared to a decline of 5% for the biotechnology sector. This demonstrates the market's confidence in ASMB's innovative approach to tackling infectious diseases.
ASMB's revenue per share is an essential metric for evaluating the company's financial health. As of the most recent fiscal year, ASMB had a revenue per share of $0.09. This indicates that the company generates $0.09 in revenue for each outstanding share of common stock. While this figure may seem low, it is important to remember that ASMB is a development-stage biotechnology company focused on research and development rather than generating significant revenue.
The enterprise to EBITDA ratio is another metric worth considering. In the case of ASMB, the company has an enterprise to EBITDA ratio of -2.36. This ratio measures a company's valuation relative to its earnings before interest, taxes, depreciation, and amortization (EBITDA). A negative ratio suggests that ASMB's enterprise value is currently lower than its EBITDA, which may indicate an undervalued stock.
Profit margin is yet another important metric for evaluating a company's profitability. ASMB has a profit margin of -152.17%, indicating that the company is currently operating at a loss. It is important to note that this is not uncommon for development-stage biotechnology companies, as they often experience significant expenses in their research and development efforts. However, it is crucial for ASMB to demonstrate progress towards profitability in the future.
Total debt is a metric that sheds light on a company's financial leverage. ASMB has a total debt of $4.4 million, which is relatively low when compared to its equity. This indicates that the company has a conservative debt structure with limited financial risk. Low debt levels provide ASMB with greater financial flexibility to invest in its growth initiatives and continue its research and development efforts.
The gross profit of ASMB is an important indicator of the company's financial performance. ASMB has a gross profit of $13.6 million, reflecting its ability to generate revenue after accounting for the cost of goods sold. The gross profit margin is 72.43%, highlighting ASMB's ability to efficiently manage its production costs and maintain a profitable business model.
The CEO of Assembly Biosciences Inc is John McHutchison, MD. Dr. McHutchison has a wealth of experience in the biotechnology industry and is recognized for his contributions to the field of liver diseases. Prior to joining ASMB, he held leadership positions at Gilead Sciences, where he played a key role in the development of groundbreaking treatments for hepatitis C. Dr. McHutchison's leadership and expertise are vital in guiding ASMB towards achieving its mission of developing innovative therapies for infectious diseases.