Scilex Holding Co. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

2seventy Bio, Inc.

Akebia Therapeutics, Inc.

Enanta Pharmaceuticals, Inc.

ATAI Life Sciences NV

Sutro Biopharma, Inc.

Generation Bio Co.

Praxis Precision Medicines, Inc.

Scilex Holding Co.

Immuneering Corp.

Nuvectis Pharma, Inc.

AEON Biopharma, Inc.

Why is Scilex Holding Co. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Operating profit has grown by an annual rate -438.99% of over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -39.48
NET SALES(Q) At USD 9.9 MM has Fallen at -21.94%
RAW MATERIAL COST(Y) Grown by 15.61% (YoY)
INVENTORY TURNOVER RATIO(HY) Lowest at 6.13 times

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -3.57%, its profits have risen by 9.1%

Falling Participation by Institutional Investors

Institutional investors have decreased their stake by -1.73% over the previous quarter and collectively hold 19.98% of the company
These investors have better capability and resources to analyse fundamentals of companies than most retail investors

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 12.33% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -3.57% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Scilex Holding Co. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Scilex Holding Co.

-10.7%

0.48

3594.77%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

256.32%

EBIT Growth (5y)

-438.99%

EBIT to Interest (avg)

-39.48

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.20

Sales to Capital Employed (avg)

-0.29

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

19.98%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

-2.00

EV to EBIT

-4.93

EV to EBITDA

-5.15

EV to Capital Employed

-2.74

EV to Sales

9.16

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 21.06 MM

-33What is not working for the Company

NET SALES(Q)

At USD 9.9 MM has Fallen at -21.94%

RAW MATERIAL COST(Y)

Grown by 15.61% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 6.13 times

INTEREST(Q)

Highest at USD 2.68 MM

NET PROFIT(Q)

Lowest at USD -65.23 MM

Here's what is working for Scilex Holding Co.

Operating Cash Flow

Highest at USD 21.06 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Depreciation

Highest at USD 1.01 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Scilex Holding Co.

Net Sales

At USD 9.9 MM has Fallen at -21.94%

over average net sales of the previous four periods of USD 12.68 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (USD MM)

Net Profit

At USD -65.23 MM has Fallen at -165.51%

over average net sales of the previous four periods of USD -24.57 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

Highest at USD 2.68 MM

in the last five periods and Increased by 8.1% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Net Profit

Lowest at USD -65.23 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Inventory Turnover Ratio

Lowest at 6.13 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 15.61% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales