Pacific Biosciences of California, Inc. Fundamental Analysis (NASDAQ: PACB)
Pacific Biosciences of California, Inc. Fundamental Analysis (NASDAQ: PACB)
Pacific Biosciences of California, Inc. (NASDAQ: PACB) shows moderate financial fundamentals with a PE ratio of -4.97, profit margin of -81.31%, and ROE of 6.04%. The company generates $0.2B in annual revenue with moderate year-over-year growth of 3.89%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 93.0/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze PACB's fundamental strength across five key dimensions:
Efficiency Score
WeakPACB struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPACB trades at attractive valuation levels.
Growth Score
WeakPACB faces weak or negative growth trends.
Financial Health Score
ExcellentPACB maintains a strong and stable balance sheet.
Profitability Score
WeakPACB struggles to sustain strong margins.
Key Financial Metrics
Is PACB Expensive or Cheap?
P/E Ratio
PACB trades at -4.97 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PACB's PEG of -0.08 indicates potential undervaluation.
Price to Book
The market values Pacific Biosciences of California, Inc. at -10.58 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.01 times EBITDA. This is generally considered low.
How Well Does PACB Make Money?
Net Profit Margin
For every $100 in sales, Pacific Biosciences of California, Inc. keeps $-81.31 as profit after all expenses.
Operating Margin
Core operations generate -99.59 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.04 in profit for every $100 of shareholder equity.
ROA
Pacific Biosciences of California, Inc. generates $-18.20 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Pacific Biosciences of California, Inc. generates limited operating cash flow of $-181.40M, signaling weaker underlying cash strength.
Free Cash Flow
Pacific Biosciences of California, Inc. generates weak or negative free cash flow of $-187.83M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.60 in free cash annually.
FCF Yield
PACB converts -28.75% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-4.97
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
-10.58
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.02
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-11.49
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.62
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
6.04
vs 25 benchmark
ROA
Return on assets percentage
-0.18
vs 25 benchmark
ROCE
Return on capital employed
-0.25
vs 25 benchmark
How PACB Stacks Against Its Sector Peers
| Metric | PACB Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -4.97 | 31.66 | Better (Cheaper) |
| ROE | 604.22% | 501.00% | Excellent |
| Net Margin | -81.31% | -3647.00% (disorted) | Weak |
| Debt/Equity | -11.49 | -0.30 (disorted) | Distorted |
| Current Ratio | 4.62 | 5.78 | Strong Liquidity |
| ROA | -18.20% | -262.00% (disorted) | Weak |
PACB outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROE, but lagging in Net Margin.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Pacific Biosciences of California, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
11.69%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-1123.33%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
-414.02%
Industry Style: Defensive, Growth, Innovation
Declining