CureVac (CVAC) AI Stock Analysis

• Market Cap: $736.26M
• Dividend Yield: N/A
• Average Volume (3M): 656.07K
• Price to Earnings (P/E): 4.0
• Beta (1Y): 1.15
• Revenue Growth: 910.33%
• EPS Growth: N/A
• Country: US
• Employees: 825
• Sector: Healthcare
• Sector Strength: 69
• Industry: Biotechnology
• EPS (TTM): -0.18
• Shares Outstanding: 225,155,870
• 10 Day Avg. Volume: 754,924
• 30 Day Avg. Volume: 656,068
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 26.28
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $5.17
• Price Target Upside: 60.06% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

CureVac's overall score reflects a company with substantial financial improvements, attractive valuation, and strategic partnerships, particularly with GSK. The strong cash position and advancements in oncology are positive indicators. However, past volatility in financial performance and operational challenges like restructuring costs remain concerns. The technical indicators suggest moderate positive momentum, enhancing the stock's attractiveness for investors.

Positive Factors

Clinical Trials

CVAC received FDA clearance to initiate the Phase 1 dose-finding trial of CVHNLC in squamous non-small cell lung cancer.

Financial Position

The €400M payment from the amended GSK licensing agreement supports the company's financial position.

Patent Rulings

A positive infringement ruling in Germany would trigger damage assessment proceedings, potentially benefiting Curevac.

Negative Factors

Market Competition

Royalty-bearing flu/COVID programs with GSK are unlikely to drive much value due to their late entries into the market.

Pipeline Development

Pipeline assets from CureVac are still in the very early stages of development and await clinical proof-of-concept before significant value can be assigned.

Restructuring Challenges

The analyst reiterates an underperform rating due to significant derisking needed for pipeline assets amid restructuring and hesitance on the impact of GSK-partnered assets.

CureVac Business Overview & Revenue Model

Company Description

CureVac N.V., a clinical-stage biopharmaceutical company, focuses on developing various transformative medicines based on messenger ribonucleic acid (mRNA). It is developing prophylactic vaccines, such as mRNA-based vaccine candidates CV2CoV, which is in Phase 1 clinical trial against SARS-CoV-2; CV7202, a prophylactic mRNA-based vaccine, which has completed Phase 1 clinical trial for rabies virus glycoprotein; and CVSQIV, which is in Phase 1 clinical trial against influenza, as well as vaccine for lassa fever, yellow fever, respiratiory syncytial virus, rotavirus, malaria, and universal influenza. The company also develops RNA-based cancer immunotherapies, including CV8102, which is in Phase 1 clinical trial for treating cutaneous melanoma and adenoidcystic carcinoma, as well as squamous cell cancer of skin, head, and neck. The company was founded in 2000 and is headquartered in Tübingen, Germany.

How the Company Makes Money

CureVac makes money primarily through the development and commercialization of its mRNA-based therapeutics and vaccines. The company's revenue streams include partnerships and collaborations with other pharmaceutical and biotechnology companies, where they co-develop products and share in the revenue generated from successful products. Additionally, CureVac earns income from licensing agreements, providing access to its proprietary mRNA technology to partners in exchange for upfront payments, milestone payments, and royalties on sales. Significant partnerships with industry leaders and investments in research and development also contribute to CureVac's revenue model, as the company leverages these collaborations to advance its pipeline and bring new products to market.

CureVac Financial Statement Overview

Summary

CureVac demonstrates a significant financial recovery with robust revenue growth and improved profit margins. The balance sheet is strong with low leverage, and cash flow metrics show efficient cash management. However, historical volatility in financial metrics suggests the need for sustained performance.

Income Statement

CureVac's income statement shows a robust turnaround with a significant increase in total revenue in the TTM. The gross profit margin improved to 69.76% from negative values in previous years. The net profit margin also turned positive at 20.36%, reflecting better cost management and operational efficiency. However, historical negative EBIT and EBITDA margins indicate past operational inefficiencies, though current improvements are promising. The revenue growth from the previous year is exceptional at 909.46%, positioning the company well for future growth.

Balance Sheet

The balance sheet reflects a strong equity base with an equity ratio of 84.85% in the TTM, indicating low leverage and financial stability. The debt-to-equity ratio is low at 0.06, suggesting minimal reliance on debt financing. Return on equity has improved significantly to 15.25% in the TTM, indicating efficient use of shareholder funds. However, past fluctuations in equity and liabilities highlight potential volatility.

Cash Flow

CureVac's cash flow statement shows a remarkable recovery with a positive operating cash flow of $128 million in the TTM, compared to significant negative values in prior years. The free cash flow growth is substantial, highlighting better capital expenditure management. The operating cash flow to net income ratio is strong at 1.16, indicating healthy cash generation. The improved free cash flow to net income ratio at 0.90 shows enhanced cash efficiency.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
53.76M	67.42M	102.99M	48.90M	17.42M
	Gross Profit
-70.61M	-116.57M	-135.21M	34.73M	-10.57M
	EBIT
-274.21M	-249.46M	-412.26M	-124.00M	-99.50M
	EBITDA
-234.09M	-209.39M	-386.49M	-123.09M	-91.50M
	Net Income Common Stockholders
-260.17M	-249.03M	-411.72M	-129.07M	-99.87M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
405.11M	500.28M	816.11M	1.33B	32.14M
	Total Assets
788.25M	860.47M	1.16B	1.51B	130.62M
	Total Debt
41.82M	42.09M	28.89M	30.09M	79.15M
	Net Debt
-360.63M	-453.71M	-782.57M	-1.29B	48.46M
	Total Liabilities
271.31M	327.22M	469.77M	800.01M	173.42M
	Stockholders Equity
516.94M	533.25M	688.48M	711.35M	-42.80M
Cash Flow		Free Cash Flow
-323.09M	-379.40M	-861.03M	475.05M	-99.19M
	Operating Cash Flow
-267.89M	-286.18M	-733.13M	522.40M	-86.96M
	Investing Cash Flow
-55.20M	-93.50M	-127.90M	-45.27M	28.18M
	Financing Cash Flow
230.89M	63.17M	344.96M	819.83M	67.98M

CureVac Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.23
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CVAC, the sentiment is Positive. The current price of 3.23 is above the 20-day moving average (MA) of 3.00, above the 50-day MA of 3.08, and above the 200-day MA of 3.20, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 56.35 is Neutral, neither overbought nor oversold. The STOCH value of 69.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CVAC.

CureVac Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CVAC	74 Outperform	$736.26M	4.04	28.12%	―	910.33%	―
Sector *	51 Neutral	$5.31B	3.39	-40.42%	2.90%	18.11%	2.25%
VIR	51 Neutral	$844.95M	―	-38.09%	―	-13.90%	16.56%
ABCL	49 Neutral	$765.83M	―	-14.75%	―	-24.17%	-9.24%
NRIX	47 Neutral	$881.28M	―	-64.16%	―	-30.25%	-5.92%
PRAX	42 Neutral	$725.88M	―	-70.98%	―	249.53%	56.59%
XNCR	40 Underperform	$747.80M	―	-34.74%	―	-36.72%	-64.37%