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Zomedica Pharma (ZOM)
:ZOM
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Zomedica Pharmaceuticals
(NYSE MKT:ZOM)
47Neutral
Zomedica Pharmaceuticals (ZOM) vs. S&P 500 (SPY)
Market Cap
$95.35M
Dividend YieldN/A
Average Volume (3M)3.79M
Price to Earnings (P/E)―
Beta (1Y)1.04
Revenue Growth11.33%
EPS Growth-317.76%
CountryUS
Employees144
SectorHealthcare
Sector Strength48
IndustryMedical Equipment & Supplies
Share Statistics
EPS (TTM)-0.06
Shares Outstanding979,949,650
10 Day Avg. Volume4,315,455
30 Day Avg. Volume3,789,877
Financial Highlights & Ratios
PEG Ratio0.14
Price to Book (P/B)0.47
Price to Sales (P/S)3.57
P/FCF Ratio-4.85
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$0.25Price Target Upside400.00% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
Zomedica Pharmaceuticals Business Overview & Revenue Model
Company DescriptionZomedica Pharmaceuticals Corp. operates as a development stage veterinary diagnostic and pharmaceutical company. It creates products for companion animals by focusing on the unmet needs of clinical veterinarians. The company was founded by Gerald L. Solensky, Jr. on January 7, 2013 and is headquartered in Ann Arbor, MI.
How the Company Makes MoneyZomedica Pharmaceuticals generates revenue primarily through the sale of its veterinary diagnostic and therapeutic products to veterinary clinics and hospitals. The company's key revenue streams include direct sales of its diagnostic platforms, such as Truforma, which provides point-of-care testing for veterinarians. Zomedica also earns through partnerships with veterinary distributors and clinics, which help expand their market reach and facilitate the adoption of their products. Additionally, revenue growth may be supported by ongoing research and development efforts aimed at expanding their product portfolio and improving existing solutions.
Zomedica Pharmaceuticals Financial Statement Overview
Summary
Zomedica Pharmaceuticals is seeing revenue growth but struggles with profitability due to high operational costs. The strong equity position and low leverage offer financial stability, but negative cash flow highlights challenges in covering expenses and limits growth potential.Income Statement
Zomedica Pharmaceuticals has shown a significant revenue growth from the previous year, with a TTM revenue of $26.7 million compared to $25.2 million last year. However, the company is facing challenges with profitability as indicated by negative EBIT and net income margins, suggesting high operational expenses relative to revenue.45
Neutral
Balance Sheet
The balance sheet reflects a strong equity position with an equity ratio of 94.7% which indicates financial stability. However, the high negative net income impacts the return on equity, showing inefficiencies in generating profits from shareholder investments. The debt-to-equity ratio is low, signifying minimal leverage, which reduces financial risk.60
Neutral
Cash Flow
The company reported negative free cash flow, indicating challenges in covering operating expenses and capital expenditures from revenue. The operating cash flow to net income ratio is negative, highlighting inefficiencies in converting reported earnings into cash flow.40
Negative
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 26.73M | 25.19M | 18.93M | 4.13M | 0.00 | 0.00 | Gross Profit |
| 14.77M | 17.32M | 13.65M | 3.05M | -530.02K | -787.61K | EBIT |
| -38.26M | -31.59M | -21.92M | -21.37M | -16.76M | -19.78M | EBITDA |
| -54.27M | -29.39M | -15.34M | -19.57M | -16.38M | -19.00M | Net Income Common Stockholders |
| -62.19M | -34.53M | -17.02M | -18.38M | -16.92M | -19.82M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 90.50M | 90.50M | 115.09M | 194.95M | 61.99M | 510.59K | Total Assets |
| 253.20M | 253.20M | 279.61M | 280.40M | 66.14M | 4.18M | Total Debt |
| 2.73M | 2.73M | 1.74M | 1.38M | 1.87M | 0.00 | Net Debt |
| -10.22M | -10.22M | -25.66M | -193.57M | -60.12M | -510.59K | Total Liabilities |
| 13.18M | 13.18M | 12.22M | 9.51M | 15.08M | 2.09M | Stockholders Equity |
| 240.02M | 240.02M | 267.39M | 270.89M | 51.07M | 2.10M |
| Cash Flow | Free Cash Flow | ||||
| -19.64M | -20.62M | -12.70M | -14.80M | -16.26M | -16.32M | Operating Cash Flow |
| -23.83M | -15.97M | -11.67M | -14.28M | -16.24M | -15.63M | Investing Cash Flow |
| 12.01M | 1.58M | -155.88M | -71.93M | 1.01M | -686.93K | Financing Cash Flow |
| -223.65K | 0.00 | 8.00K | 219.16M | 76.71M | 14.89M |
Zomedica Pharmaceuticals Technical Analysis
Negative
0.05
Price Trends
0.11
Negative
0.12
Negative
0.13
Negative
Market Momentum
-0.02
Positive
19.79
Positive
22.83
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZOM, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.09, below the 50-day MA of 0.11, and below the 200-day MA of 0.13, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 19.79 is Positive, neither overbought nor oversold. The STOCH value of 22.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZOM.
Zomedica Pharmaceuticals Risk Analysis
Zomedica Pharmaceuticals disclosed 37 risk factors in its most recent earnings report. Zomedica Pharmaceuticals reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Zomedica Pharmaceuticals Peers Comparison
Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $70.91B | 28.60 | 51.85% | 1.15% | 6.32% | 7.23% | |
74 Outperform | $40.98B | 47.08 | 59.33% | ― | 5.56% | 4.66% | |
70 Outperform | $5.94B | 15.96 | 6.01% | ― | 1.42% | ― | |
53 Neutral | $74.78M | 338.32 | 0.36% | ― | -10.82% | ― | |
52 Neutral | $5.21B | 3.49 | -43.30% | 2.83% | 14.70% | -0.24% | |
47 Neutral | $95.35M | ― | -26.82% | ― | 11.33% | -317.76% |
* Healthcare Sector Average
Performance Comparison
ZOM
Zomedica Pharmaceuticals
0.04
-0.11
-73.33%
IDXX
Idexx Laboratories
509.13
-11.98
-2.30%
PETS
Petmed Express
3.92
-0.92
-19.01%
ZTS
Zoetis
160.41
-6.59
-3.95%
HEPA
Hepion Pharmaceuticals
0.32
-64.18
-99.50%
ELAN
Elanco Animal Health
13.02
-4.05
-23.73%
Zomedica Pharmaceuticals Earnings Call Summary
Earnings Call Date:Nov 07, 2024
(Q3-2024)
| % Change Since: -58.33%|
Next Earnings Date:Mar 13, 2025
Earnings Call Sentiment Neutral
The earnings call reflected strong revenue growth and successful global expansion initiatives, with improvements in cost management and financial health. However, the increased net loss, challenges in Assisi sales, and potential delisting risk present concerns moving forward.Q3-2024 Updates
Positive Updates
Record Q3 Revenue
Zomedica set a new record for third-quarter revenue at $7 million, reflecting over 10% growth over the third quarter of 2023, marking the 14th consecutive quarter of record revenue highs.
Therapeutic Devices and Diagnostics Growth
Total Therapeutic Device revenue increased 8.5% year-over-year, with PulseVet performance increasing 24%. Diagnostics segment revenue grew 38%, driven by an 80% increase in TRUFORMA platform sales.
Global Expansion Initiatives
Zomedica expanded international reach with new distributor partnerships in the Middle East, Egypt, India, Central America, and Europe, supported by CE marking on all products.
Cost Management and Efficiency
Operating expenses were reduced by over $900,000 compared to the previous quarter, with a focus on leveraging existing infrastructure and improving operating efficiency.
Strong Gross Margins
Gross margin for the quarter was 72.3%, exceeding the previous year's 69% and higher than the targeted range.
Cash Position and Financial Health
Zomedica ended the third quarter with $77.8 million in cash and equivalents, with no debt, and showed a declining trend in cash usage.
Negative Updates
Net Loss Increase
Net loss for the quarter was $6.7 million, compared to a net loss of $491,000 in the prior year, attributed partly to nonrecurring professional fees.
Assisi Product Sales Decline
Assisi sales were lower than the third quarter of the previous year due to a substantial onetime initial stocking order that did not recur.
Impact of Medical Leave on Sales
Sales were impacted in the second quarter due to unexpected medical leave of multiple sales representatives, affecting capital sales.
Potential Delisting Risk
Concerns were raised about the risk of being delisted due to stock price falling below exchange requirements.
Company Guidance
During the Zomedica Q3 2024 earnings call, the company provided guidance indicating strong performance across multiple metrics. Zomedica achieved a record revenue of $7 million, marking over 10% growth compared to Q3 2023 and marking the 14th consecutive quarter of revenue growth. The Therapeutic Devices segment grew by 8.5%, driven by a 24% increase in PulseVet performance, while the Diagnostics segment saw a 38% rise, largely due to an 80% growth in the TRUFORMA platform. The company reported solid gross margins of 72.3% and reduced operating expenses by over $900,000 compared to the previous quarter. Zomedica's strategic initiatives included expanding international market reach, enhancing product lines, and maintaining a strong financial position with $77.8 million in cash and securities, positioning the company for continued growth and progress towards cash flow and GAAP profitability.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.