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Precipio

Nasdaq:PRPO
Snowflake Description

High growth potential and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PRPO
Nasdaq
$6M
Market Cap
  1. Home
  2. US
  3. Healthcare
Company description

Precipio, Inc., a cancer diagnostics company, provides diagnostic products and services in the United States oncology market. The last earnings update was 7 days ago. More info.


Add to Portfolio Compare Print
  • Precipio has significant price volatility in the past 3 months.
PRPO Share Price and Events
7 Day Returns
-13.4%
NasdaqCM:PRPO
1.9%
US Healthcare
-1.1%
US Market
1 Year Returns
-71.9%
NasdaqCM:PRPO
-1.7%
US Healthcare
-13.6%
US Market
PRPO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Precipio (PRPO) -13.4% -57% -67.8% -71.9% - -
US Healthcare 1.9% -10.3% -16.7% -1.7% 14.9% 15.7%
US Market -1.1% -17.8% -22.5% -13.6% 4.9% 16.3%
1 Year Return vs Industry and Market
  • PRPO underperformed the Healthcare industry which returned -1.7% over the past year.
  • PRPO underperformed the Market in United States of America which returned -13.6% over the past year.
Price Volatility
PRPO
Industry
5yr Volatility vs Market

Value

 Is Precipio undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Precipio to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Precipio.

NasdaqCM:PRPO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqCM:PRPO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Healthcare Unlevered Beta Simply Wall St/ S&P Global 0.66
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.656 (1 + (1- 21%) (24.22%))
0.854
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.85
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (0.854 * 5.44%)
6.38%

Discounted Cash Flow Calculation for NasdaqCM:PRPO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Precipio is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqCM:PRPO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 6.38%)
2020 -3.44 Analyst x1 -3.23
2021 -2.89 Analyst x1 -2.55
2022 0.49 Analyst x1 0.40
2023 5.06 Analyst x1 3.95
2024 10.79 Analyst x1 7.92
2025 15.85 Est @ 46.95% 10.94
2026 21.14 Est @ 33.39% 13.71
2027 26.19 Est @ 23.89% 15.97
2028 30.71 Est @ 17.25% 17.60
2029 34.58 Est @ 12.59% 18.62
Present value of next 10 years cash flows $83.00
NasdaqCM:PRPO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $34.58 × (1 + 1.74%) ÷ (6.38% – 1.74%)
$757.67
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $757.67 ÷ (1 + 6.38%)10
$408.07
NasdaqCM:PRPO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $83.00 + $408.07
$491.07
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $491.07 / 8.87
$55.36
NasdaqCM:PRPO Discount to Share Price
Calculation Result
Value per share (USD) From above. $55.36
Current discount Discount to share price of $0.63
= -1 x ($0.63 - $55.36) / $55.36
98.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Precipio is available for.
Intrinsic value
>50%
Share price is $0.63 vs Future cash flow value of $55.36
Current Discount Checks
For Precipio to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Precipio's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Precipio's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Precipio's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Precipio's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqCM:PRPO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $-2.33
NasdaqCM:PRPO Share Price ** NasdaqCM (2020-04-02) in USD $0.63
United States of America Healthcare Industry PE Ratio Median Figure of 45 Publicly-Listed Healthcare Companies 20.62x
United States of America Market PE Ratio Median Figure of 2,943 Publicly-Listed Companies 12.9x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Precipio.

NasdaqCM:PRPO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqCM:PRPO Share Price ÷ EPS (both in USD)

= 0.63 ÷ -2.33

-0.27x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precipio is loss making, we can't compare its value to the US Healthcare industry average.
  • Precipio is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does Precipio's expected growth come at a high price?
Raw Data
NasdaqCM:PRPO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -0.27x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
68.9%per year
United States of America Healthcare Industry PEG Ratio Median Figure of 32 Publicly-Listed Healthcare Companies 1.59x
United States of America Market PEG Ratio Median Figure of 2,006 Publicly-Listed Companies 0.95x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Precipio, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Precipio's assets?
Raw Data
NasdaqCM:PRPO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $1.67
NasdaqCM:PRPO Share Price * NasdaqCM (2020-04-02) in USD $0.63
United States of America Healthcare Industry PB Ratio Median Figure of 95 Publicly-Listed Healthcare Companies 2.29x
United States of America Market PB Ratio Median Figure of 5,140 Publicly-Listed Companies 1.25x
NasdaqCM:PRPO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqCM:PRPO Share Price ÷ Book Value per Share (both in USD)

= 0.63 ÷ 1.67

0.38x

* Primary Listing of Precipio.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Precipio is good value based on assets compared to the US Healthcare industry average.
X
Value checks
We assess Precipio's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Healthcare industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Healthcare industry average (and greater than 0)? (1 check)
  5. Precipio has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Precipio expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
68.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Precipio expected to grow at an attractive rate?
  • Precipio's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Precipio's earnings growth is expected to exceed the United States of America market average.
  • Precipio's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqCM:PRPO Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqCM:PRPO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 68.9%
NasdaqCM:PRPO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 43.5%
United States of America Healthcare Industry Earnings Growth Rate Market Cap Weighted Average 13.6%
United States of America Healthcare Industry Revenue Growth Rate Market Cap Weighted Average 6.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 12.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqCM:PRPO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqCM:PRPO Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31 81 10 1
2023-12-31 53 4 1
2022-12-31 33 0 1
2021-12-31 18 -4 1
2020-12-31 11 -4 2
2020-04-03
NasdaqCM:PRPO Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 3 -9 -13
2019-09-30 3 -9 -16
2019-06-30 3 -8 -18
2019-03-31 3 -7 -16
2018-12-31 3 -7 -20
2018-09-30 3 -7 -26
2018-06-30 3 -9 -33
2018-03-31 2 -8 -38
2017-12-31 2 -7 -33
2017-09-30 1 -5 -21
2017-06-30 1 -1 -11
2017-03-31 1 -1 -3

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Precipio's earnings are expected to grow significantly at over 20% yearly.
  • Precipio's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqCM:PRPO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Precipio Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:PRPO Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31 0.31 0.31 0.31 1.00
2023-12-31 0.13 0.13 0.13 1.00
2022-12-31 -0.02 -0.02 -0.02 1.00
2021-12-31 -0.18 -0.18 -0.18 1.00
2020-12-31 -0.41 -0.33 -0.49 2.00
2020-04-03
NasdaqCM:PRPO Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 -2.33
2019-09-30 -3.79
2019-06-30 -3.06
2019-03-31 -3.63
2018-12-31 -13.82
2018-09-30 -23.73
2018-06-30 -38.49
2018-03-31 -75.10
2017-12-31 -107.37
2017-09-30 -138.93
2017-06-30 -351.05
2017-03-31 -171.42

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Precipio will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Precipio's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Precipio has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Precipio performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Precipio's growth in the last year to its industry (Healthcare).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Precipio does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Precipio's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Precipio's 1-year growth to the US Healthcare industry average as it is not currently profitable.
Earnings and Revenue History
Precipio's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Precipio Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:PRPO Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 3.13 -13.24 9.62
2019-09-30 3.12 -16.41 9.04
2019-06-30 2.99 -18.36 9.48
2019-03-31 2.87 -15.62 9.37
2018-12-31 2.86 -19.92 9.45
2018-09-30 3.12 -26.36 9.87
2018-06-30 2.74 -32.64 9.58
2018-03-31 2.19 -38.40 8.00
2017-12-31 1.72 -33.21 6.49
2017-09-30 1.09 -20.79 4.87
2017-06-30 1.19 -11.16 2.83
2017-03-31 1.43 -2.68 2.60
2016-12-31 1.72 -4.08 2.47
2015-12-31 1.48 -1.68 2.17

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Precipio has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Precipio has efficiently used its assets last year compared to the US Healthcare industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Precipio improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Precipio's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Healthcare industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Precipio has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Precipio's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Precipio's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Precipio's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Precipio's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Precipio's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Precipio Company Filings, last reported 3 months ago.

NasdaqCM:PRPO Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 13.21 0.66 0.85
2019-09-30 15.29 0.70 1.68
2019-06-30 14.23 0.37 1.17
2019-03-31 9.83 3.53 0.30
2018-12-31 6.12 4.89 0.38
2018-09-30 9.18 3.48 0.22
2018-06-30 12.20 3.50 0.07
2018-03-31 13.41 3.57 0.29
2017-12-31 13.03 3.42 0.42
2017-09-30 20.41 0.04 0.38
2017-06-30 19.77 0.68 0.97
2017-03-31 -7.22 5.54 0.03
2016-12-31 -6.46 5.22 0.05
2015-12-31 -2.10 2.14 0.23
  • Precipio's level of debt (5%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if Precipio's debt level has increased without past 5-year debt data.
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • Precipio has less than a year of cash runway based on current free cash flow.
  • Precipio has less than a year of cash runway if free cash flow continues to grow at historical rates of 42.2% each year.
X
Financial health checks
We assess Precipio's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Precipio has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Precipio's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Precipio dividends.
If you bought $2,000 of Precipio shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Precipio's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Precipio's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqCM:PRPO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United States of America Healthcare Industry Average Dividend Yield Market Cap Weighted Average of 20 Stocks 1.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1943 Stocks 3.1%
United States of America Minimum Threshold Dividend Yield 10th Percentile 1.1%
United States of America Bottom 25% Dividend Yield 25th Percentile 2%
United States of America Top 25% Dividend Yield 75th Percentile 5.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqCM:PRPO Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2020-04-03

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Precipio has not reported any payouts.
  • Unable to verify if Precipio's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Precipio's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Precipio has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Precipio's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Precipio afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Precipio has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Precipio's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ilan Danieli
COMPENSATION $297,556
AGE 47
TENURE AS CEO 2.8 years
CEO Bio

Mr. Ilan Danieli is the Founder of Precipio, Inc. and has been its Chief Executive Officer since June 29, 2017 and serves as its President and Director. Mr. Danieli has over 15 years managing small and medium-size companies experience. Mr. Danieli was the founder of Precipio Diagnostics LLC and has been its Chief Executive Officer since November 2011. Mr. Danieli's served as Chief Operating Officer of Osiris Corporation since April 2008; Vice President of Operations for Laurus Capital Management, a multi-billion dollar hedge fund and in various other entrepreneurial ventures. He served as Chief Executive Officer and Director at Transgenomic, Inc. since June 30, 2017. Mr. Danieli holds an MBA from the Darden School at the University of Virginia and a BA in Economics from Bar-Ilan University in Israel.

CEO Compensation
  • Ilan's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Ilan's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Precipio management team in years:

2.8
Average Tenure
47
Average Age
  • The tenure for the Precipio management team is about average.
Management Team

Ilan Danieli

TITLE
Founder
COMPENSATION
$298K
AGE
47
TENURE
2.8 yrs

Carl Iberger

TITLE
CFO & Secretary
COMPENSATION
$245K
AGE
66
TENURE
3.5 yrs

Ahmed Sabet

TITLE
Chief Operating Officer
COMPENSATION
$208K
AGE
32
TENURE
2.8 yrs

Steve Miller

TITLE
Chief Commercial Officer
COMPENSATION
$300K
AGE
53
TENURE
2.8 yrs

Doug Sites

TITLE
Vice President of Sales
TENURE
2.3 yrs

Ayman Mohamed

TITLE
Senior VP of R&D and Laboratory Operations
AGE
33
TENURE
2.8 yrs

Ori Karev

TITLE
Chief Strategy Officer
TENURE
1 yrs
Board of Directors Tenure

Average tenure and age of the Precipio board of directors in years:

2.4
Average Tenure
58
Average Age
  • The average tenure for the Precipio board of directors is less than 3 years, this suggests a new board.
Board of Directors

Doug Fisher

TITLE
Chairman of the Board
COMPENSATION
$37K
AGE
43
TENURE
0.3 yrs

Ilan Danieli

TITLE
Founder
COMPENSATION
$298K
AGE
47
TENURE
2.8 yrs

Kathy LaPorte

TITLE
Independent Non Executive Director
COMPENSATION
$47K
AGE
57
TENURE
1.7 yrs

Mark Rimer

TITLE
Independent Director
COMPENSATION
$35K
AGE
38
TENURE
8.1 yrs

S. Hudnall

TITLE
Member of Scientific Advisory Board

Jeffrey Sklar

TITLE
Member of Scientific Advisory Board
AGE
71

Dick Sandberg

TITLE
Director
COMPENSATION
$16K
AGE
77
TENURE
0.3 yrs

Jeff Cossman

TITLE
Independent Director
COMPENSATION
$36K
AGE
72
TENURE
2.6 yrs

David Cohen

TITLE
Independent Director
COMPENSATION
$32K
AGE
59
TENURE
2.4 yrs

Mike Makrigiorgos

TITLE
Member of Scientific Advisory Board
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
05. Dec 19 Buy Ahmed Sabet Individual 02. Dec 19 02. Dec 19 127 $2.11 $268
02. Dec 19 Buy Ilan Danieli Individual 02. Dec 19 02. Dec 19 1,176 $2.09 $2,463
05. Sep 19 Buy Ilan Danieli Individual 03. Sep 19 03. Sep 19 965 $2.58 $2,490
10. Jun 19 Buy Ilan Danieli Individual 07. Jun 19 07. Jun 19 586 $4.22 $2,475
X
Management checks
We assess Precipio's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Precipio has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Did You Manage To Avoid Precipio's (NASDAQ:PRPO) Devastating 71% Share Price Drop?

Precipio isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. … Shareholders of unprofitable companies usually expect strong revenue growth. … As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.

Simply Wall St -

Is Precipio Inc (NASDAQ:PRPO) A Financially Sound Company?

Precipio Inc (NASDAQ:PRPO) is a small-cap stock with a market capitalization of US$9.03m. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is

Simply Wall St -

Why Precipio Inc's (NASDAQ:PRPO) Investor Composition Impacts Your Returns

With this size of ownership, retail investors can collectively play a role in major company policies that affect shareholders returns, including executive remuneration and the appointment of directors. … Private Company Ownership Another group of owners that a potential investor in PRPO should consider are private companies, with a stake of 2.80%. … Thus, investors not need worry too much about the consequences of these holdings.Next Steps: With a low level of institutional ownership, investors in PRPO need not worry about non-fundamental factors such as ownership structure causing large impact on stock prices.

Simply Wall St -

When Will Precipio Inc (NASDAQ:PRPO) Run Out Of Money?

The single most important question to ask when you’re investing in a loss-making company is – will they need to raise cash again, and if so, when? … NasdaqCM:PRPO Income Statement May 17th 18 When will Precipio need to raise more cash? … Not surprisingly, if Precipio continues to ramp up expenditure at this rate for the upcoming year, it’ll likely need to come to market within the next few months, given the its current level of cash reserves.

Simply Wall St -

Is Precipio Inc's (NASDAQ:PRPO) Balance Sheet Strong Enough To Weather A Storm?

How does PRPO’s operating cash flow stack up against its debt? … Moving onto cash from operations, its small level of operating cash flow means calculating cash-to-debt wouldn't be too useful, though these low levels of cash means that operational efficiency is worth a look. … PRPO's risk around capital structure is low, and the company has the headroom and ability to raise debt should it need to in the future.Next Steps: PRPO’s cash flow coverage indicates it could improve its operating efficiency in order to meet demand for debt repayments should unforeseen events arise.

Simply Wall St -

Why Precipio Inc's (NASDAQ:PRPO) Investor Composition Impacts Your Returns

Check out our latest analysis for Precipio NasdaqCM:PRPO Ownership_summary Feb 27th 18 Institutional Ownership Institutional investors are one of the largest group of market participants and their buy-sell decisions on a company's stock can significantly impact prices, more so, when there are relatively small amounts of shares available on the market to trade. … This level of ownership gives retail investors the power to sway key policy decisions such as board composition, executive compensation, and potential acquisitions. … This is an encouraging sign for investors as these investors tend to be active strategist in companies, focusing on increasing operational and capital efficiency for the firm.Next Steps: Institutional ownership level and composition in PRPO is not high nor active enough to significantly impact its investment thesis.

Simply Wall St -

When Will Loss-Maker Precipio Inc (NASDAQ:PRPO) Need More Cash?

View our latest analysis for Precipio What is cash burn? … NasdaqCM:PRPO Income Statement Feb 2nd 18 When will Precipio need to raise more cash? … This means that, if Precipio continues to grow its opex at this rate, given how much money it currently has in the bank, it will actually need to raise capital again within the next couple of months!

Simply Wall St -

How Did Precipio Inc's (NASDAQ:PRPO) 52.05% ROE Fare Against The Industry?

However, ROE only measures returns against equity, not debt. … Return on Equity = Net Profit ÷ Shareholders Equity Returns are usually compared to costs to measure the efficiency of capital. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NasdaqCM:PRPO Last Perf Jan 16th 18 Essentially, profit margin shows how much money the company makes after paying for all its expenses.

Simply Wall St -

Is Precipio Inc (NASDAQ:PRPO) A Financially Sound Company?

With this growth in debt, PRPO's cash and short-term investments stands at $0.1M for investing into the business. … NasdaqCM:PRPO Historical Debt Dec 27th 17 Is PRPO’s level of debt at an acceptable level? … PRPO’s cash flow coverage indicates it could improve its operating efficiency in order to meet demand for debt repayments should unforeseen events arise.

Simply Wall St -

Is Precipio Inc (PRPO) An Industry Laggard Or Leader?

Tech analysts are forecasting for the entire software tech industry, a somewhat weaker growth of 8.28% in the upcoming year , and a single-digit 4.97% growth over the next couple of years. … In this article, I’ll take you through the tech sector growth expectations, as well as evaluate whether PRPO is lagging or leading its competitors in the industry. … If PRPO has been on your watchlist for a while, now may be the time to enter into the stock, if you are not highly concentrated in the tech industry.

Simply Wall St -

Company Info

Description

Precipio, Inc., a cancer diagnostics company, provides diagnostic products and services in the United States oncology market. Its product consists of clinical diagnostic services. The company’s clinical diagnostic services focus on the diagnosis of different hematopoietic or blood-related cancers to oncologists. Its cytogenetics media IV-Cell enables laboratories to arrive at more accurate results; and HemeScreen panel enables hospitals and laboratories to run an important genetic mutation test. It serves oncologists, hospitals, reference laboratories, and pharma and biotech companies. Precipio, Inc. has collaborations with academic institutions specializing in cancer research, diagnostics, and treatment, such as the Yale School of Medicine and Harvard’s Dana-Farber Cancer Institute. The company is based in New Haven, Connecticut.

Details
Name: Precipio, Inc.
PRPO
Exchange: NasdaqCM
Founded:
$5,605,921
8,870,129
Website: http://www.precipiodx.com
Address: Precipio, Inc.
4 Science Park,
New Haven,
Connecticut, 06511,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqCM PRPO Common Stock Nasdaq Capital Market US USD 30. Jun 2017
DB TGKQ Common Stock Deutsche Boerse AG DE EUR 30. Jun 2017
Number of employees
Current staff
Staff numbers
51
Precipio employees.
Industry
Health Care Services
Healthcare
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/03 02:35
End of day share price update: 2020/04/02 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2020/03/27
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.