VEC:GBR - Embedded Expectations Analysis - 2018 11 12
Vectura Group plc (VEC:GBR) currently trades well below corporate averages relative to UAFRS-based (Uniform) Earnings, with a 5.1x Uniform P/E, implying very bearish expectations for the firm, and management has concerns about Sular sales declines, respiratory field performance, and the potential of their pipelineSpecifically, management may have concerns about their ability to drive more high-value revenues from Sular, and to sustain current in-market performance. Additionally, they may lack confidence in their ability to drive growth in H1 2018, and may be downplaying concerns about their VR475 trials. Furthermore, they may be exaggerating expected tailwinds that flutiform may see entering mature markets like China, and may lack confidence in their expectations that their Gx 315 partner; Hikma, will submit their data to the FDA by 2019. Finally, they may be concerned about their ability to deliver on the remaining unmet needs in the respiratory field, and to effectively develop their inhaled treatment for the underlying inflammation caused by cystic fibrosis
Vectura Group is an inhaled airways disease focused business. Co. has a range of enabling formulations, analytics, process development and pre-commercial scale manufacturing capabilities. This integrated inhaled drug delivery platform enables the development of inhalation products and in particular for the treatment of airways diseases. Co. has three formulation and device technologies: dry powder inhalers, which include GyroHaler®, lever-operated inhaler, open-inhale-close inhaler, and unit-dose inhaler; pressurized metered dose inhalers, which include dose-indicating MDI actuator; and smart nebulizer technology, which includes AKITA® JET and FOX®.
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