1.155 USD
+0.01 (+0.43%)
HRTX gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 534 industry peers in the Biotechnology industry. While HRTX is still in line with the averages on profitability rating, there are concerns on its financial health. HRTX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
HRTX had negative earnings in the past year.
HRTX had a negative operating cash flow in the past year.
HRTX had negative earnings in each of the past 5 years.
In the past 5 years HRTX always reported negative operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of -5.45%, HRTX belongs to the best of the industry, outperforming 86.89% of the companies in the same industry.
HRTX has a Return On Equity (-91.22%) which is in line with its industry peers.
HRTX has a Return On Invested Capital of 0.79%. This is amongst the best in the industry. HRTX outperforms 89.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.45% | ||
| ROE | -91.22% | ||
| ROIC | 0.79% |
ROA(3y)-42.67%
ROA(5y)-52.9%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Operating Margin of HRTX (1.03%) is better than 89.33% of its industry peers.
The Gross Margin of HRTX (73.92%) is better than 82.77% of its industry peers.
In the last couple of years the Gross Margin of HRTX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.03% | ||
| PM (TTM) | N/A | ||
| GM | 73.92% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y16.17%
GM growth 5Y4.86%
2. Health
2.1 Basic Checks
HRTX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for HRTX has been increased compared to 1 year ago.
HRTX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, HRTX has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -9.03, we must say that HRTX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of HRTX (-9.03) is worse than 70.79% of its industry peers.
A Debt/Equity ratio of 2.16 is on the high side and indicates that HRTX has dependencies on debt financing.
HRTX has a Debt to Equity ratio of 2.16. This is in the lower half of the industry: HRTX underperforms 79.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.16 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -9.03 |
ROIC/WACC0.11
WACC7.49%
2.3 Liquidity
HRTX has a Current Ratio of 2.56. This indicates that HRTX is financially healthy and has no problem in meeting its short term obligations.
HRTX has a Current ratio of 2.56. This is in the lower half of the industry: HRTX underperforms 68.73% of its industry peers.
A Quick Ratio of 1.78 indicates that HRTX should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.78, HRTX is not doing good in the industry: 77.53% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.56 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
HRTX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 83.33%, which is quite impressive.
The Revenue has grown by 12.60% in the past year. This is quite good.
Measured over the past years, HRTX shows a decrease in Revenue. The Revenue has been decreasing by -0.24% on average per year.
EPS 1Y (TTM)83.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-33.33%
Revenue 1Y (TTM)12.6%
Revenue growth 3Y18.69%
Revenue growth 5Y-0.24%
Sales Q2Q%16.47%
3.2 Future
The Earnings Per Share is expected to grow by 45.81% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 14.66% on average over the next years. This is quite good.
EPS Next Y66%
EPS Next 2Y64.17%
EPS Next 3Y62.14%
EPS Next 5Y45.81%
Revenue Next Year11.08%
Revenue Next 2Y12.03%
Revenue Next 3Y14.31%
Revenue Next 5Y14.66%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
HRTX reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 18.46, the valuation of HRTX can be described as rather expensive.
Based on the Price/Forward Earnings ratio, HRTX is valued cheaper than 94.38% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.21, HRTX is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HRTX is valued cheaply inside the industry as 91.01% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 44.28 |
4.3 Compensation for Growth
HRTX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as HRTX's earnings are expected to grow with 62.14% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y64.17%
EPS Next 3Y62.14%
5. Dividend
5.1 Amount
No dividends for HRTX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:HRTX (12/2/2025, 3:05:04 PM)
1.155
+0.01 (+0.43%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners86.51%
Inst Owner Change21.18%
Ins Owners0.69%
Ins Owner Change6.27%
Market Cap211.78M
Revenue(TTM)155.10M
Net Income(TTM)-13.58M
Analysts84
Price Target4.59 (297.4%)
Short Float %20.14%
Short Ratio19.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-128.76%
Min EPS beat(2)-161.44%
Max EPS beat(2)-96.08%
EPS beat(4)2
Avg EPS beat(4)40.75%
Min EPS beat(4)-161.44%
Max EPS beat(4)246.99%
EPS beat(8)5
Avg EPS beat(8)33%
EPS beat(12)7
Avg EPS beat(12)22.59%
EPS beat(16)9
Avg EPS beat(16)15.22%
Revenue beat(2)0
Avg Revenue beat(2)-4.12%
Min Revenue beat(2)-4.22%
Max Revenue beat(2)-4.02%
Revenue beat(4)2
Avg Revenue beat(4)0.17%
Min Revenue beat(4)-4.22%
Max Revenue beat(4)7%
Revenue beat(8)4
Avg Revenue beat(8)-0.3%
Revenue beat(12)5
Avg Revenue beat(12)-0.21%
Revenue beat(16)7
Avg Revenue beat(16)-1.01%
PT rev (1m)-5.26%
PT rev (3m)-5.26%
EPS NQ rev (1m)-33.33%
EPS NQ rev (3m)-33.33%
EPS NY rev (1m)0%
EPS NY rev (3m)-100%
Revenue NQ rev (1m)-3.69%
Revenue NQ rev (3m)-3.69%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.46 | ||
| P/S | 1.37 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 14.23 | ||
| P/tB | 14.23 | ||
| EV/EBITDA | 44.28 |
EPS(TTM)-0.03
EYN/A
EPS(NY)0.06
Fwd EY5.42%
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)-0.16
OCFYN/A
SpS0.85
BVpS0.08
TBVpS0.08
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.45% | ||
| ROE | -91.22% | ||
| ROCE | 1% | ||
| ROIC | 0.79% | ||
| ROICexc | 1.22% | ||
| ROICexgc | 1.22% | ||
| OM | 1.03% | ||
| PM (TTM) | N/A | ||
| GM | 73.92% | ||
| FCFM | N/A |
ROA(3y)-42.67%
ROA(5y)-52.9%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y16.17%
GM growth 5Y4.86%
F-Score4
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.16 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.14 | ||
| Cap/Depr | 40.5% | ||
| Cap/Sales | 0.62% | ||
| Interest Coverage | 0.28 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.56 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | -9.03 |
F-Score4
WACC7.49%
ROIC/WACC0.11
Cap/Depr(3y)61.69%
Cap/Depr(5y)104.8%
Cap/Sales(3y)1.37%
Cap/Sales(5y)3.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)83.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-33.33%
EPS Next Y66%
EPS Next 2Y64.17%
EPS Next 3Y62.14%
EPS Next 5Y45.81%
Revenue 1Y (TTM)12.6%
Revenue growth 3Y18.69%
Revenue growth 5Y-0.24%
Sales Q2Q%16.47%
Revenue Next Year11.08%
Revenue Next 2Y12.03%
Revenue Next 3Y14.31%
Revenue Next 5Y14.66%
EBIT growth 1Y106.16%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y69.01%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y69.44%
OCF growth 3YN/A
OCF growth 5YN/A
HERON THERAPEUTICS INC / HRTX FAQ
What is the ChartMill fundamental rating of HERON THERAPEUTICS INC (HRTX) stock?
ChartMill assigns a fundamental rating of 3 / 10 to HRTX.
Can you provide the valuation status for HERON THERAPEUTICS INC?
ChartMill assigns a valuation rating of 4 / 10 to HERON THERAPEUTICS INC (HRTX). This can be considered as Fairly Valued.
What is the profitability of HRTX stock?
HERON THERAPEUTICS INC (HRTX) has a profitability rating of 4 / 10.
How financially healthy is HERON THERAPEUTICS INC?
The financial health rating of HERON THERAPEUTICS INC (HRTX) is 2 / 10.