The Piotroski F-Score calculation for ATRS / Antares Pharma, Inc. is shown here. In 2000, Joseph Piotroski published a paper titled "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers." This paper described a method of using data from a company's financial reports to help predict future performance.
The Piotroski F-Score, as it is known, is a 9-point discrete score, where 9 is the best, that ranks companies based on a number of financial factors. To calculate the score, we compare nine factors from the two most recent annual reports. If the change in the factor is "good", then we add one to the score. If the change in the factor is "not good", then we add zero. The following explanations are quoted from the paper.
ATRS / Antares Pharma, Inc. Piotroski F-Score
ROA : Net Income before Extraordinary Items, scaled by Total Assets at beginning of year
CFO: Cash Flow from Operations, scaled by Total Assets at beginning of year
ΔROA: Current Year's ROA less Prior Year's ROA. If this negative, ROA (and therefore profitability) has decreased.
ACCRUAL: Current Year's Net Income before Extraordinary Items less Cash Flow from Operations, scaled by Total Assets at beginning of year. In short, one if CFO > ROA. The relationship between earnings and cash flow levels is also considered. Earnings driven by positive accrual adjustments (i.e., profits are greater than cash flow from operations) is a bad signal about future profitability and returns. This relationship may be particularly important among value firms, where the incentive to manage earnings through positive accruals (e.g., to prevent covenant violations) is strong.
Financial Leverage, Liquidity, and Source of Funds
ΔLEVER: The historical change in the ratio of long-term debt to average total assets. By raising external capital, a financially distressed firm is signaling its inability to generate sufficient internal funds. In addition, an increase in long-term debt is likely to place additional constraints on the firm’s financial flexibility. An increase in financial leverage is a negative.
ΔLIQUID: The historical change in the firm’s current ratio between the current and prior year, where we define the current ratio as the ratio of current assets to current liabilities at fiscal year-end. An improvement in liquidity is a good signal.
EQ_OFFER: One if the firm did not issue common equity in the year, zero otherwise. Similar to an increase in long-term debt, financially distressed firms that raise external capital could be signaling their inability to generate sufficient internal funds to service future obligations. Moreover, the fact that these firms are willing to issue equity when their stock prices are likely to be depressed (i.e., high cost of capital) highlights the poor financial condition facing these firms.
ΔMARGIN: The firm’s current gross margin ratio (gross margin scaled by total sales) less the prior year’s gross margin ratio. An improvement in margins signifies a potential improvement in factor costs, a reduction in inventory costs, or a rise in the price of the firm’s product.
ΔTURN: The firm’s current year asset turnover ratio (total sales scaled by beginning of the year total assets) less the prior year’s asset turnover ratio. An improvement in asset turnover signifies greater productivity from the asset base. Such an improvement can arise from more efficient operations (fewer assets generating the same levels of sales) or an increase in sales (which could also signify improved market conditions for the firm’s products).
Peers - Surgical and Medical Instruments and Apparatus (3841)
AMDA / Amedica Corporation
CASM / CAS Medical Systems, Inc.
CYTX / Cytori Therapeutics, Inc.
DRIO / DarioHealth Corp
DSCI / Derma Sciences, Inc.
GID / GI DYNAMICS, INC.
HART / Harvard Apparatus Regenerative Technology, Inc.
ICAD / icad, inc.
MDXG / MiMedx Group, Inc.
2018-07-17 - Asif
History and Development of the Company Kitov Pharma was incorporated under the laws of the State of Israel (under a previous name) on August 12, 1968 and its ordinary shares were originally listed for trading on the TASE in 1978. The company's ordinary shares are currently traded on the TASE under the symbol “KTOV”, and its ADSs and its public warrants are traded on NASDAQ under the symbols “KTOV” and “KTOVW”, respectively. In October 2012, the District Court in Lod, Israel approved the creditors arrangement in accordance with Section 350 of the Companies Law in order to effectuate the sale by Kitov Pharma (then known as Mainrom Line Logistics Ltd.) of all its activities, assets, rights, obligations and liabilities to a private company held by its then controlling shareholders, and all rights of Kitov Pharma’s creditors against it were extinguished. The sale was made pursuant to an arrangement between Kitov Pharma and its creditors. Following such sale and a related cash...
2018-07-17 - Asif
Overview and Recent Developments Athersys is an international biotechnology company that is focused primarily in the field of regenerative medicine. The company's MultiStem® cell therapy, a patented and proprietary allogeneic stem cell product, is its lead platform product and is currently in later-stage clinical development. The company's current clinical development programs are focused on treating neurological conditions, cardiovascular disease, inflammatory and immune disorders, certain pulmonary conditions and other conditions where the current standard of care is limited or inadequate for many patients, particularly in the critical care segment. Current Programs By applying its proprietary MultiStem cell therapy product, the company established therapeutic product development programs treating neurological conditions, cardiovascular disease, inflammatory and immune disorders, and other conditions. The company's programs in the clinical development stage include ...
2018-07-16 - Asif
General The company's objective is to build a profitable and growing specialty therapeutics company. To meet this objective, Cytori Therapeutics has acquired and are developing two technology platforms that hold promise for treating millions of patients and represent significant potential for increasing shareholder value. The company's current corporate activities fall substantially into advancing these platforms: Cytori Nanomedicine and Cytori Cell Therapy. The Cytori Nanomedicine platform features a versatile liposomal nanoparticle technology for drug encapsulation that has thus far provided the foundation to bring two promising drugs into mid/late stage clinical trials. Nanoparticle encapsulation is promising because it can help improve the delivery and metabolism of many drugs, thus potentially enhancing the therapeutic profile and patient benefits. The company's lead drug candidate, ATI-0918 is a generic version of pegylated liposomal encapsulated doxorubicin. Pegyl...
Related News Stories
A study from 2009 by Alok Kumar found retail investors exhibit “a greater propensity to gamble” as compared to institutional investors. (62-1)
Novocure strengthened its Board of Directors and Abeona Therapeutics received a key analyst thumbs up. Two possible trades are suggested. (627-6)
FDA Commissioner Scott Gottlieb´s remarks concerning the potential of gene therapy, bode well for stocks participating in that theme. (666-4)
Back in early January my article "3 Biotechs For The January Effect" was published. The article highlighted Geron (GERN), Antares Pharma (ATRS) and AcelRX (ACRX). This article is to assess my picks so far in May and outline prospects going forward to determine if we should sell, hold or buy more. Thus far, all three well overperformed both the Nasdaq (QQQ) as well as their small biotech (SBIO) peer group. (75-1)
Company remains a viable acquisition candidate, especially in the likely aftermath of Xyosted being approved by the FDA. (68-0)
as of ET