Aileron Therapeutics Valuation
| ALRN Stock | USD 2.86 0.12 4.38% |
Based on Macroaxis valuation methodology, the firm appears to be overvalued. Aileron Therapeutics shows a prevailing Real Value of $2.58 per share. The current price of the firm is $2.86. Our model approximates the value of Aileron Therapeutics from analyzing the firm fundamentals such as Shares Owned By Insiders of 0.60 %, current valuation of 44.7 M, and Return On Equity of -0.44 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Aileron Therapeutics' valuation include:
Price Book 1.2337 | Enterprise Value 44.7 M | Enterprise Value Ebitda (0.64) |
Overvalued
Today
Please note that Aileron Therapeutics' price fluctuation is very risky at this time. Calculation of the real value of Aileron Therapeutics is based on 3 months time horizon. Increasing Aileron Therapeutics' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Aileron Therapeutics is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Aileron Stock. However, Aileron Therapeutics' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 2.86 | Real 2.58 | Target 40.0 | Hype 2.86 | Naive 2.77 |
The intrinsic value of Aileron Therapeutics' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Aileron Therapeutics' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Aileron Therapeutics helps investors to forecast how Aileron stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Aileron Therapeutics more accurately as focusing exclusively on Aileron Therapeutics' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Aileron Therapeutics' intrinsic value based on its ongoing forecasts of Aileron Therapeutics' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Aileron Therapeutics' closest peers.
Aileron Therapeutics Cash |
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Aileron Valuation Trend
Knowing Aileron Therapeutics' actual value is paramount for traders when making sound investment determinations. Using both Aileron Therapeutics' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Aileron Therapeutics Total Value Analysis
Aileron Therapeutics is presently projected to have valuation of 44.7 M with market capitalization of 61.96 M, debt of 48 K, and cash on hands of 32.38 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Aileron Therapeutics fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
44.7 M | 61.96 M | 48 K | 32.38 M |
Aileron Therapeutics Asset Utilization
One of the ways to look at asset utilization of Aileron is to check how much profit was generated for every dollar of assets it reports. Aileron Therapeutics shows a negative utilization of assets of -0.26 percent, losing $0.002586 for each dollar of assets held by the firm. Inadequate asset utilization signifies that the company is being less effective with each dollar of assets it shows. Put another way, asset utilization of Aileron Therapeutics shows how discouraging it operates for each dollar spent on its assets.Aileron Therapeutics Ownership Allocation
Aileron Therapeutics holds a total of 21.67 Million outstanding shares. Almost 70.93 percent of Aileron Therapeutics outstanding shares are held by general public with 0.6 (percent) owned by insiders and only 28.47 % by other corporate entities. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Aileron Therapeutics Profitability Analysis
Net Loss for the year was (15.73 M) with loss before overhead, payroll, taxes, and interest of (17.01 M).About Aileron Therapeutics Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Aileron Therapeutics. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Aileron Therapeutics based exclusively on its fundamental and basic technical indicators. By analyzing Aileron Therapeutics's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Aileron Therapeutics's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Aileron Therapeutics. We calculate exposure to Aileron Therapeutics's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Aileron Therapeutics's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -119 K | -125 K | |
| Pretax Profit Margin | 0.13 | 0.12 | |
| Operating Profit Margin | 0.13 | 0.12 | |
| Net Profit Margin | 0.01 | 0.01 | |
| Gross Profit Margin | 0.41 | 0.36 |
Aileron Therapeutics Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 4.6 M |
Aileron Therapeutics Current Valuation Indicators
Aileron Therapeutics' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Aileron Therapeutics' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Aileron Therapeutics, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Aileron Therapeutics' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Aileron Therapeutics' worth.When determining whether Aileron Therapeutics offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Aileron Therapeutics' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Aileron Therapeutics Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Aileron Therapeutics Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Aileron Therapeutics. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. To learn how to invest in Aileron Stock, please use our How to Invest in Aileron Therapeutics guide.You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Aileron Therapeutics. If investors know Aileron will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Aileron Therapeutics listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (2.88) | Return On Assets (0.26) | Return On Equity (0.44) |
The market value of Aileron Therapeutics is measured differently than its book value, which is the value of Aileron that is recorded on the company's balance sheet. Investors also form their own opinion of Aileron Therapeutics' value that differs from its market value or its book value, called intrinsic value, which is Aileron Therapeutics' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Aileron Therapeutics' market value can be influenced by many factors that don't directly affect Aileron Therapeutics' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Aileron Therapeutics' value and its price as these two are different measures arrived at by different means. Investors typically determine if Aileron Therapeutics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Aileron Therapeutics' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.