Intrinsic value of CTI BioPharma - CTIC

Previous Close

$3.31

  Intrinsic Value

$0.07

stock screener

  Rating & Target

str. sell

-98%

  Value-price divergence*

+5%

Previous close

$3.31

 
Intrinsic value

$0.07

 
Up/down potential

-98%

 
Rating

str. sell

 
Value-price divergence*

+5%

*Intrinsic value change (in %) minus stock price change (in %) in the past 12 months.

We calculate the intrinsic value of CTIC stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2016), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 0.1

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  256.25
  60.00
  54.50
  49.55
  45.10
  41.09
  37.48
  34.23
  31.31
  28.68
  26.31
  24.18
  22.26
  20.53
  18.98
  17.58
  16.32
  15.19
  14.17
  13.26
  12.43
  11.69
  11.02
  10.42
  9.87
  9.39
  8.95
  8.55
  8.20
  7.88
  7.59
Revenue, $m
  57
  91
  141
  211
  306
  431
  593
  796
  1,045
  1,345
  1,699
  2,109
  2,579
  3,109
  3,699
  4,349
  5,059
  5,827
  6,653
  7,535
  8,472
  9,462
  10,504
  11,599
  12,744
  13,940
  15,188
  16,487
  17,838
  19,244
  20,704
Variable operating expenses, $m
 
  758
  1,172
  1,752
  2,543
  3,587
  4,932
  6,620
  8,692
  11,185
  14,127
  17,543
  21,447
  25,851
  30,758
  36,166
  42,070
  48,461
  55,329
  62,663
  70,452
  78,685
  87,355
  96,454
  105,978
  115,926
  126,300
  137,103
  148,343
  160,030
  172,177
Fixed operating expenses, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  107
  758
  1,172
  1,752
  2,543
  3,587
  4,932
  6,620
  8,692
  11,185
  14,127
  17,543
  21,447
  25,851
  30,758
  36,166
  42,070
  48,461
  55,329
  62,663
  70,452
  78,685
  87,355
  96,454
  105,978
  115,926
  126,300
  137,103
  148,343
  160,030
  172,177
Operating income, $m
  -49
  -667
  -1,031
  -1,542
  -2,237
  -3,156
  -4,339
  -5,824
  -7,647
  -9,840
  -12,428
  -15,433
  -18,868
  -22,743
  -27,059
  -31,817
  -37,011
  -42,633
  -48,675
  -55,128
  -61,980
  -69,223
  -76,850
  -84,855
  -93,234
  -101,986
  -111,112
  -120,616
  -130,505
  -140,787
  -151,473
EBITDA, $m
  -48
  -667
  -1,030
  -1,541
  -2,235
  -3,154
  -4,336
  -5,820
  -7,641
  -9,833
  -12,419
  -15,422
  -18,855
  -22,727
  -27,040
  -31,794
  -36,984
  -42,603
  -48,641
  -55,088
  -61,936
  -69,174
  -76,796
  -84,795
  -93,168
  -101,914
  -111,033
  -120,531
  -130,412
  -140,687
  -151,365
Interest expense (income), $m
  4
  1
  0
  1
  4
  7
  11
  17
  23
  32
  42
  54
  68
  84
  102
  122
  144
  168
  193
  221
  251
  283
  316
  352
  388
  427
  468
  510
  554
  599
  647
Earnings before tax, $m
  -53
  -668
  -1,031
  -1,543
  -2,241
  -3,163
  -4,350
  -5,840
  -7,670
  -9,871
  -12,470
  -15,487
  -18,936
  -22,826
  -27,161
  -31,939
  -37,154
  -42,801
  -48,869
  -55,349
  -62,231
  -69,506
  -77,166
  -85,207
  -93,623
  -102,413
  -111,580
  -121,126
  -131,059
  -141,386
  -152,120
Tax expense, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Net income, $m
  -52
  -668
  -1,031
  -1,543
  -2,241
  -3,163
  -4,350
  -5,840
  -7,670
  -9,871
  -12,470
  -15,487
  -18,936
  -22,826
  -27,161
  -31,939
  -37,154
  -42,801
  -48,869
  -55,349
  -62,231
  -69,506
  -77,166
  -85,207
  -93,623
  -102,413
  -111,580
  -121,126
  -131,059
  -141,386
  -152,120

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  44
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  64
  32
  49
  74
  107
  151
  208
  279
  367
  472
  596
  740
  905
  1,091
  1,298
  1,526
  1,775
  2,045
  2,334
  2,644
  2,973
  3,320
  3,686
  4,070
  4,472
  4,891
  5,329
  5,785
  6,259
  6,752
  7,265
Adjusted assets (=assets-cash), $m
  20
  32
  49
  74
  107
  151
  208
  279
  367
  472
  596
  740
  905
  1,091
  1,298
  1,526
  1,775
  2,045
  2,334
  2,644
  2,973
  3,320
  3,686
  4,070
  4,472
  4,891
  5,329
  5,785
  6,259
  6,752
  7,265
Revenue / Adjusted assets
  2.850
  2.844
  2.878
  2.851
  2.860
  2.854
  2.851
  2.853
  2.847
  2.850
  2.851
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.849
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
  2.850
Average production assets, $m
  2
  2
  4
  5
  8
  11
  15
  21
  27
  35
  44
  55
  67
  81
  96
  113
  132
  152
  173
  196
  220
  246
  273
  302
  331
  362
  395
  429
  464
  500
  538
Working capital, $m
  15
  -34
  -52
  -78
  -113
  -159
  -218
  -293
  -385
  -495
  -625
  -776
  -949
  -1,144
  -1,361
  -1,600
  -1,862
  -2,144
  -2,448
  -2,773
  -3,118
  -3,482
  -3,866
  -4,268
  -4,690
  -5,130
  -5,589
  -6,067
  -6,564
  -7,082
  -7,619
Total debt, $m
  19
  -3
  12
  35
  65
  104
  155
  219
  298
  393
  504
  634
  782
  950
  1,136
  1,341
  1,566
  1,808
  2,069
  2,348
  2,643
  2,956
  3,285
  3,631
  3,992
  4,370
  4,764
  5,174
  5,601
  6,045
  6,506
Total liabilities, $m
  51
  29
  44
  67
  97
  136
  187
  251
  330
  425
  536
  666
  814
  982
  1,168
  1,373
  1,598
  1,840
  2,101
  2,380
  2,675
  2,988
  3,317
  3,663
  4,024
  4,402
  4,796
  5,206
  5,633
  6,077
  6,538
Total equity, $m
  13
  3
  5
  7
  11
  15
  21
  28
  37
  47
  60
  74
  90
  109
  130
  153
  178
  204
  233
  264
  297
  332
  369
  407
  447
  489
  533
  578
  626
  675
  726
Total liabilities and equity, $m
  64
  32
  49
  74
  108
  151
  208
  279
  367
  472
  596
  740
  904
  1,091
  1,298
  1,526
  1,776
  2,044
  2,334
  2,644
  2,972
  3,320
  3,686
  4,070
  4,471
  4,891
  5,329
  5,784
  6,259
  6,752
  7,264
Debt-to-equity ratio
  1.462
  -1.000
  2.530
  4.670
  6.020
  6.890
  7.460
  7.850
  8.130
  8.320
  8.460
  8.570
  8.650
  8.710
  8.750
  8.790
  8.820
  8.840
  8.860
  8.880
  8.890
  8.900
  8.910
  8.920
  8.930
  8.930
  8.940
  8.940
  8.950
  8.950
  8.960
Adjusted equity ratio
  -1.550
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  -52
  -668
  -1,031
  -1,543
  -2,241
  -3,163
  -4,350
  -5,840
  -7,670
  -9,871
  -12,470
  -15,487
  -18,936
  -22,826
  -27,161
  -31,939
  -37,154
  -42,801
  -48,869
  -55,349
  -62,231
  -69,506
  -77,166
  -85,207
  -93,623
  -102,413
  -111,580
  -121,126
  -131,059
  -141,386
  -152,120
Depreciation, amort., depletion, $m
  1
  0
  1
  1
  2
  2
  3
  4
  5
  7
  9
  11
  13
  16
  19
  23
  26
  30
  35
  39
  44
  49
  55
  60
  66
  72
  79
  86
  93
  100
  108
Funds from operations, $m
  -86
  -668
  -1,030
  -1,542
  -2,239
  -3,161
  -4,347
  -5,836
  -7,665
  -9,865
  -12,461
  -15,476
  -18,923
  -22,810
  -27,142
  -31,916
  -37,128
  -42,771
  -48,834
  -55,310
  -62,187
  -69,457
  -77,112
  -85,146
  -93,556
  -102,341
  -111,501
  -121,040
  -130,966
  -141,286
  -152,012
Change in working capital, $m
  -9
  -13
  -18
  -26
  -35
  -46
  -59
  -75
  -92
  -110
  -130
  -151
  -173
  -195
  -217
  -239
  -261
  -283
  -304
  -325
  -345
  -364
  -384
  -403
  -421
  -440
  -459
  -478
  -497
  -517
  -538
Cash from operations, $m
  -77
  -655
  -1,011
  -1,516
  -2,204
  -3,114
  -4,287
  -5,761
  -7,573
  -9,754
  -12,331
  -15,325
  -18,750
  -22,615
  -26,925
  -31,677
  -36,867
  -42,488
  -48,530
  -54,985
  -61,842
  -69,092
  -76,728
  -84,744
  -93,135
  -101,901
  -111,042
  -120,562
  -130,468
  -140,769
  -151,475
Maintenance CAPEX, $m
  0
  0
  0
  -1
  -1
  -2
  -2
  -3
  -4
  -5
  -7
  -9
  -11
  -13
  -16
  -19
  -23
  -26
  -30
  -35
  -39
  -44
  -49
  -55
  -60
  -66
  -72
  -79
  -86
  -93
  -100
New CAPEX, $m
  0
  -1
  -1
  -2
  -2
  -3
  -4
  -5
  -6
  -8
  -9
  -11
  -12
  -14
  -15
  -17
  -18
  -20
  -21
  -23
  -24
  -26
  -27
  -28
  -30
  -31
  -32
  -34
  -35
  -37
  -38
Cash from investing activities, $m
  0
  -1
  -1
  -3
  -3
  -5
  -6
  -8
  -10
  -13
  -16
  -20
  -23
  -27
  -31
  -36
  -41
  -46
  -51
  -58
  -63
  -70
  -76
  -83
  -90
  -97
  -104
  -113
  -121
  -130
  -138
Free cash flow, $m
  -77
  -657
  -1,013
  -1,519
  -2,208
  -3,119
  -4,294
  -5,770
  -7,584
  -9,767
  -12,347
  -15,344
  -18,773
  -22,643
  -26,956
  -31,713
  -36,908
  -42,534
  -48,582
  -55,043
  -61,906
  -69,162
  -76,804
  -84,827
  -93,225
  -101,998
  -111,147
  -120,675
  -130,589
  -140,898
  -151,613
Issuance/(repayment) of debt, $m
  -7
  -14
  16
  22
  30
  40
  51
  64
  79
  95
  112
  130
  148
  167
  186
  205
  224
  243
  261
  278
  296
  313
  329
  346
  362
  378
  394
  410
  427
  444
  461
Issuance/(repurchase) of shares, $m
  0
  695
  1,032
  1,545
  2,244
  3,167
  4,355
  5,847
  7,679
  9,882
  12,483
  15,501
  18,953
  22,845
  27,182
  31,961
  37,179
  42,828
  48,898
  55,380
  62,264
  69,541
  77,203
  85,245
  93,663
  102,455
  111,624
  121,172
  131,106
  141,435
  152,171
Cash from financing (excl. dividends), $m  
  -7
  681
  1,048
  1,567
  2,274
  3,207
  4,406
  5,911
  7,758
  9,977
  12,595
  15,631
  19,101
  23,012
  27,368
  32,166
  37,403
  43,071
  49,159
  55,658
  62,560
  69,854
  77,532
  85,591
  94,025
  102,833
  112,018
  121,582
  131,533
  141,879
  152,632
Total cash flow (excl. dividends), $m
  -84
  24
  35
  49
  66
  88
  113
  142
  174
  209
  247
  287
  328
  370
  412
  454
  496
  536
  577
  616
  654
  691
  728
  764
  800
  835
  871
  907
  944
  981
  1,020
Retained Cash Flow (-), $m
  39
  -695
  -1,032
  -1,545
  -2,244
  -3,167
  -4,355
  -5,847
  -7,679
  -9,882
  -12,483
  -15,501
  -18,953
  -22,845
  -27,182
  -31,961
  -37,179
  -42,828
  -48,898
  -55,380
  -62,264
  -69,541
  -77,203
  -85,245
  -93,663
  -102,455
  -111,624
  -121,172
  -131,106
  -141,435
  -152,171
Prev. year cash balance distribution, $m
 
  36
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  -635
  -998
  -1,497
  -2,178
  -3,079
  -4,243
  -5,706
  -7,505
  -9,673
  -12,236
  -15,215
  -18,625
  -22,475
  -26,770
  -31,507
  -36,684
  -42,291
  -48,321
  -54,764
  -61,610
  -68,850
  -76,475
  -84,481
  -92,863
  -101,620
  -110,753
  -120,265
  -130,162
  -140,454
  -151,151
Discount rate, %
 
  4.30
  4.52
  4.74
  4.98
  5.23
  5.49
  5.76
  6.05
  6.35
  6.67
  7.00
  7.35
  7.72
  8.11
  8.51
  8.94
  9.39
  9.86
  10.35
  10.87
  11.41
  11.98
  12.58
  13.21
  13.87
  14.56
  15.29
  16.05
  16.86
  17.70
PV of cash for distribution, $m
 
  -609
  -913
  -1,303
  -1,793
  -2,387
  -3,079
  -3,855
  -4,691
  -5,557
  -6,415
  -7,225
  -7,948
  -8,546
  -8,987
  -9,250
  -9,322
  -9,202
  -8,899
  -8,432
  -7,829
  -7,121
  -6,345
  -5,537
  -4,730
  -3,953
  -3,231
  -2,581
  -2,014
  -1,533
  -1,138
Current shareholders' claim on cash, %
  100
  50.0
  1.5
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0

CTI BioPharma Corp. (CTI) is a biopharmaceutical company focused on the acquisition, development and commercialization of targeted therapies covering a spectrum of blood-related cancers to patients and healthcare providers. The Company is primarily focused on commercializing PIXUVRI in select countries in the European Union, for multiply relapsed or refractory aggressive B-cell non-Hodgkin lymphoma (NHL). It is also engaged in evaluating pacritinib for the treatment of adult patients with myelofibrosis. Its earlier stage product candidate, tosedostat, is an oral, once-daily aminopeptidase inhibitor that has demonstrated responses in patients with acute myeloid leukemia (AML). It also evaluates its pipeline candidate paclitaxel poliglumex (Opaxio), which targets solid tumors. It is evaluating Opaxio through cooperative group sponsored trials and investigator-sponsored trials (ISTs), such as the ongoing maintenance therapy trial in patients with ovarian cancer.

FINANCIAL RATIOS  of  CTI BioPharma (CTIC)

Valuation Ratios
P/E Ratio -1.8
Price to Sales 1.6
Price to Book 7.2
Price to Tangible Book
Price to Cash Flow -1.2
Price to Free Cash Flow -1.2
Growth Rates
Sales Growth Rate 256.3%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate NaN%
Cap. Spend. - 3 Yr. Gr. Rate -100%
Financial Strength
Quick Ratio 6
Current Ratio 0
LT Debt to Equity 84.6%
Total Debt to Equity 146.2%
Interest Coverage -12
Management Effectiveness
Return On Assets -46.2%
Ret/ On Assets - 3 Yr. Avg. -81.1%
Return On Total Capital -74.3%
Ret/ On T. Cap. - 3 Yr. Avg. -125.3%
Return On Equity -160%
Return On Equity - 3 Yr. Avg. -209%
Asset Turnover 0.5
Profitability Ratios
Gross Margin 98.2%
Gross Margin - 3 Yr. Avg. 94.7%
EBITDA Margin -84.2%
EBITDA Margin - 3 Yr. Avg. -324.5%
Operating Margin -87.7%
Oper. Margin - 3 Yr. Avg. -320.8%
Pre-Tax Margin -93%
Pre-Tax Margin - 3 Yr. Avg. -335.3%
Net Profit Margin -91.2%
Net Profit Margin - 3 Yr. Avg. -330%
Effective Tax Rate 0%
Eff/ Tax Rate - 3 Yr. Avg. 0%
Payout Ratio 0%

CTIC stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the CTIC stock intrinsic value calculation we used $57 million for the last fiscal year's total revenue generated by CTI BioPharma. The default revenue input number comes from 2016 income statement of CTI BioPharma. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our CTIC stock valuation model: a) initial revenue growth rate of 60% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 4.3%, whose default value for CTIC is calculated based on our internal credit rating of CTI BioPharma, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of CTI BioPharma.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of CTIC stock the variable cost ratio is equal to 831.6%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for CTIC stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 10.7% for CTI BioPharma.

Corporate tax rate of 27% is the nominal tax rate for CTI BioPharma. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the CTIC stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for CTIC are equal to 2.6%.

Life of production assets of 1.5 years is the average useful life of capital assets used in CTI BioPharma operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for CTIC is equal to -36.8%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $13 million for CTI BioPharma - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 43.893 million for CTI BioPharma is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of CTI BioPharma at the current share price and the inputted number of shares is $0.1 billion.

RELATED COMPANIES Price Int.Val. Rating
TEVA Teva Pharmaceu 14.62 57.61  str.buy
INCY Incyte 115.14 51.36  str.sell
GERN Geron 2.08 0.20  str.sell

COMPANY NEWS

▶ CTI BioPharma posts 2Q profit   [Aug-04-17 03:11AM  Associated Press]
▶ ETFs with exposure to CTI BioPharma Corp. : June 8, 2017   [Jun-08-17 01:31PM  Capital Cube]
▶ ETFs with exposure to CTI BioPharma Corp. : May 25, 2017   [May-25-17 12:37PM  Capital Cube]
▶ ETFs with exposure to CTI BioPharma Corp. : May 8, 2017   [May-08-17 04:22PM  Capital Cube]
▶ CTI BioPharma reports 1Q loss   [May-03-17 05:20PM  Associated Press]
▶ CTI BioPharma reports 4Q loss   [Mar-02-17 04:43PM  Associated Press]
▶ CTI BioPharma hires new CEO   [Mar-01-17 08:35PM  at bizjournals.com]
▶ CTI BioPharma hires new CEO   [08:35PM  American City Business Journals]
▶ CTI Biopharma stock revived after FDA ruling, reverse stock split   [Jan-06-17 10:05PM  at bizjournals.com]
▶ Why CTI BioPharma Corp. Stock Popped Today   [12:43PM  at Motley Fool]
▶ Do Hedge Funds Love Manning and Napier Inc (MN)?   [Dec-11-16 08:08AM  at Insider Monkey]
▶ 5 Biotech Penny Stocks Smart Money Is Piling On   [Oct-23-16 04:23PM  at Insider Monkey]
Financial statements of CTIC
Valuation of Stocks

The paper VALUATION OF STOCKS: The Quest for Intrinsic Value provides a detailed description of our valuation model and discloses the calculation algorithm.

FREE DOWNLOAD
Follow us on:   twitter   twitter   twitter   twitter

VALUATION THEORY       ASSET ALLOCATION

About X-FIN       Site news       Privacy policy       Terms of use       FAQ

Copyright © X-FIN.com 2005-2017. All rigths reserved.