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When Will BioNTech SE (NASDAQ:BNTX) Breakeven?

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NASDAQ:BNTX) future prospects. BioNTech SE, a biotechnology company, develops and commercializes immunotherapies for cancer and other infectious diseases. With the latest financial year loss of €179.1m and a trailing-twelve-month loss of €230.0m, the US$15b market-cap company amplified its loss by moving further away from its breakeven target. As path to profitability is the topic on BioNTech’s investors mind, we’ve decided to gauge market sentiment. In this article, we will touch on the expectations for the company’s growth and when analysts expect it to become profitable.” data-reactid=”28″>With the business potentially at an important milestone, we thought we’d take a closer look at BioNTech SE’s (NASDAQ:BNTX) future prospects. BioNTech SE, a biotechnology company, develops and commercializes immunotherapies for cancer and other infectious diseases. With the latest financial year loss of €179.1m and a trailing-twelve-month loss of €230.0m, the US$15b market-cap company amplified its loss by moving further away from its breakeven target. As path to profitability is the topic on BioNTech’s investors mind, we’ve decided to gauge market sentiment. In this article, we will touch on the expectations for the company’s growth and when analysts expect it to become profitable.

View our latest analysis for BioNTech ” data-reactid=”29″> View our latest analysis for BioNTech

Consensus from 9 of the American Biotechs analysts is that BioNTech is on the verge of breakeven. They anticipate the company to incur a final loss in 2020, before generating positive profits of €1.3b in 2021. The company is therefore projected to breakeven just over a year from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 29%, which is rather optimistic! If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

earnings-per-share-growth

Underlying developments driving BioNTech’s growth isn’t the focus of this broad overview, however, take into account that by and large biotechs, depending on the stage of product development, have irregular periods of cash flow. This means that a high growth rate is not unusual, especially if the company is currently in an investment period.

One thing we’d like to point out is that The company has managed its capital prudently, with debt making up 3.2% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

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BioNTech’s company page on Simply Wall St. We’ve also compiled a list of important aspects you should look at:” data-reactid=”50″>There are key fundamentals of BioNTech which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at BioNTech, take a look at BioNTech’s company page on Simply Wall St. We’ve also compiled a list of important aspects you should look at:

  1. Valuation: What is BioNTech worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether BioNTech is currently mispriced by the market.
  2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on BioNTech’s board and the CEO’s background.
  3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

Get in touch with us directly. Alternatively, email [email protected].” data-reactid=”55″>This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected].

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