PureTech Health plc
PureTech Health plc Fundamental Analysis
PureTech Health plc (PTCHF) shows moderate financial fundamentals with a PE ratio of 8.12, profit margin of 8.62%, and ROE of 12.82%. The company generates $0.1B in annual revenue with strong year-over-year growth of 29.58%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.3/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze PTCHF's fundamental strength across five key dimensions:
Efficiency Score
WeakPTCHF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPTCHF trades at attractive valuation levels.
Growth Score
ModeratePTCHF shows steady but slowing expansion.
Financial Health Score
ExcellentPTCHF maintains a strong and stable balance sheet.
Profitability Score
WeakPTCHF struggles to sustain strong margins.
Key Financial Metrics
Is PTCHF Expensive or Cheap?
P/E Ratio
PTCHF trades at 8.12 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PTCHF's PEG of -0.41 indicates potential undervaluation.
Price to Book
The market values PureTech Health plc at 1.09 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.90 times EBITDA. This signals the market has high growth expectations.
How Well Does PTCHF Make Money?
Net Profit Margin
For every $100 in sales, PureTech Health plc keeps $8.62 as profit after all expenses.
Operating Margin
Core operations generate -20.01 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $12.82 in profit for every $100 of shareholder equity.
ROA
PureTech Health plc generates $9.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
PureTech Health plc generates limited operating cash flow of $-1.03B, signaling weaker underlying cash strength.
Free Cash Flow
PureTech Health plc generates weak or negative free cash flow of $-1.03B, restricting financial flexibility.
FCF Per Share
Each share generates $-4.27 in free cash annually.
FCF Yield
PTCHF converts -23.31% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.12
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.41
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.09
vs 25 benchmark
P/S Ratio
Price to sales ratio
72.04
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
8.49
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
-0.23
vs 25 benchmark
How PTCHF Stacks Against Its Sector Peers
| Metric | PTCHF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.12 | 29.45 | Better (Cheaper) |
| ROE | 12.82% | 779.00% | Weak |
| Net Margin | 862.16% | -24936.00% (disorted) | Strong |
| Debt/Equity | 0.06 | 0.26 | Strong (Low Leverage) |
| Current Ratio | 8.49 | 4.65 | Strong Liquidity |
| ROA | 9.16% | -19344.00% (disorted) | Weak |
PTCHF outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews PureTech Health plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-46.13%
Industry Style: Defensive, Growth, Innovation
DecliningEPS CAGR
-86.22%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
-48.47%
Industry Style: Defensive, Growth, Innovation
Declining