Praxis Precision Valuation

PRAX Stock  USD 77.86  2.31  2.88%   
At this time, the company appears to be overvalued. Praxis Precision Med holds a recent Real Value of $42.82 per share. The prevailing price of the company is $77.86. Our model determines the value of Praxis Precision Med from analyzing the company fundamentals such as Return On Equity of -0.64, shares owned by insiders of 0.24 %, and Current Valuation of 1.14 B as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
77.86
Please note that Praxis Precision's price fluctuation is very steady at this time. Calculation of the real value of Praxis Precision Med is based on 3 months time horizon. Increasing Praxis Precision's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Praxis Precision is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Praxis Stock. However, Praxis Precision's 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  77.86 Real  42.82 Hype  80.74 Naive  82.58
The intrinsic value of Praxis Precision's 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 Praxis Precision's 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.
42.82
Real Value
88.19
Upside
Estimating the potential upside or downside of Praxis Precision Medicines helps investors to forecast how Praxis 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 Praxis Precision more accurately as focusing exclusively on Praxis Precision's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
65.4874.0582.62
Details
Hype
Prediction
LowEstimatedHigh
76.8680.7484.62
Details
Naive
Forecast
LowNext ValueHigh
78.7082.5886.46
Details

Praxis Precision Total Value Analysis

Praxis Precision Medicines is at this time forecasted to have valuation of 1.14 B with market capitalization of 1.49 B, debt of 2.5 M, and cash on hands of 165.4 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 Praxis Precision fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
1.14 B
1.49 B
2.5 M
165.4 M

Praxis Precision Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Praxis Precision has an asset utilization ratio of 2.78 percent. This suggests that the Company is making $0.0278 for each dollar of assets. An increasing asset utilization means that Praxis Precision Medicines is more efficient with each dollar of assets it utilizes for everyday operations.

Praxis Precision Ownership Allocation

The majority of Praxis Precision Medicines outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Praxis Precision Med to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Praxis Precision. Please pay attention to any change in the institutional holdings of Praxis Precision Med as this could imply that something significant has changed or is about to change at the company.

Praxis Precision Profitability Analysis

The company reported the previous year's revenue of 2.45 M. Net Loss for the year was (123.28 M) with profit before overhead, payroll, taxes, and interest of 0.

About Praxis Precision Valuation

Our relative valuation model uses a comparative analysis of Praxis Precision. We calculate exposure to Praxis Precision's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Praxis Precision's related companies.
Praxis Precision Medicines, Inc., a clinical-stage biopharmaceutical company, develops therapies for central nervous system disorders characterized by neuronal imbalance. The company was incorporated in 2015 and is based in Boston, Massachusetts. Praxis Precision operates under Biotechnology classification in the United States and is traded on NASDAQ Exchange. It employs 1 people.

Praxis Precision 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 Outstanding6.6 M

Additional Tools for Praxis Stock Analysis

When running Praxis Precision's price analysis, check to measure Praxis Precision's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Praxis Precision is operating at the current time. Most of Praxis Precision's value examination focuses on studying past and present price action to predict the probability of Praxis Precision's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Praxis Precision's price. Additionally, you may evaluate how the addition of Praxis Precision to your portfolios can decrease your overall portfolio volatility.