Helicos BioSciences Corp. (Nasdaq: HLCS)
Helicos BioSciences Corp. (HLCS) engages in the life sciences, focusing on genetic analysis technologies for the clinical diagnostics market. The Company’s proprietary technology enables researchers, healthcare enterprises and pharmaceuticals to rapidly analyze large volumes of genetic material by sequencing single molecules of DNA and RNA.
Founded in 2003, the Company is headquartered in Cambridge, Massachusetts.
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Share Statistics (14-Sep-09) |
|
2007 |
2008 |
% Chg |
Q1 2008 |
Q1 2009 |
% Chg |
||
|
Symbol |
HLCS |
Revenue, $Mn |
0.6 |
0.8 |
33.3% |
0.3 |
0.4 |
33.3% |
|
|
Current price |
$2.58 |
Gross marg. |
100% |
100% |
33.3% |
100% |
50.0% |
-33.3% |
|
|
52wk Range: |
$0.00-3.82 |
Oper. Margin |
-6.4k% |
-5.5k% |
14.3% |
-3.9k% |
-1.5k% |
-48.7% |
|
|
Avg Vol (3m): |
1,866,030 |
Net margin |
-6.1k% |
-5.7k% |
24.2% |
-4.0k% |
-1.6k% |
-47.1% |
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|
Market Cap. |
166.8M |
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|
|
|
|
|
|
|
Dil. Shares Outst. |
63.56M |
EPS, $ |
-2.678 |
-2.097 |
-21.7% |
-0.574 |
-0.099 |
-83% |
|
Source: Reuters.com, SEC Filings.
Financial Summary
|
Financial Strength (11-Sept-09) |
Company |
Industry |
Sector |
S&P 500 |
|
|
Quick Ratio (MRQ) |
1.55 |
1.35 |
2.64 |
0.78 |
|
|
Current Ratio (MRQ) |
2.76 |
1.75 |
3.15 |
0.91 |
|
|
Long-Term Debt to Equity (MRQ) |
33.90 |
233.76 |
23.48 |
150.35 |
|
|
Total Debt to Equity (MRQ) |
63.94 |
285.60 |
31.36 |
234.14 |
|
|
Interest Coverage (TTM) |
– |
0.33 |
5.14 |
24.20 |
Source: Reuters.com, SEC Filings.
Analyst Consensus
|
SALES (in millions) |
# of Estimates |
Mean |
High |
Low |
1 Year Ago |
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||||||
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Quarter Ending Sep-09 |
1 |
2.80 |
2.80 |
2.80 |
10.75 |
|
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Quarter Ending Dec-09 |
1 |
3.10 |
3.10 |
3.10 |
12.15 |
|
|
Year Ending Dec-09 |
1 |
7.50 |
7.50 |
7.50 |
29.91 |
|
|
Year Ending Dec-10 |
1 |
20.50 |
20.50 |
20.50 |
67.83 |
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|
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Earnings (per share) |
||||||
|
Quarter Ending Sep-09 |
1 |
-0.05 |
-0.05 |
-0.05 |
-0.34 |
|
|
Quarter Ending Dec-09 |
1 |
-0.03 |
-0.03 |
-0.03 |
-0.29 |
|
|
Year Ending Dec-09 |
1 |
-0.28 |
-0.28 |
-0.28 |
-1.52 |
|
|
Year Ending Dec-10 |
1 |
-0.09 |
-0.09 |
-0.09 |
-0.72 |
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Source: Reuters.com
Investment Highlights
Overview
HLCS engages in the life sciences, focusing on genetic analysis technologies for the clinical diagnostics market. The Company’s proprietary technology enables researchers, healthcare enterprises and pharmaceuticals to rapidly analyze large volumes of genetic material by sequencing single molecules of DNA and RNA.
Market Potential
The market for DNA-based infectious disease tests totals $1.1 billion per year. DNA-based tests have emerged as the standard in oncology. DNA-based diagnostics have moved into the research of chronic disease, infectious disease and diseases of aging. Scientists and policymakers believe DNA-based diagnostics will revolutionize medicine in the coming years.
Although still in its early stages, interpretation of genome data is believed to be a breakthrough to new avenues for the advancement of treatments of disease and infectious viruses. Today, genetic tests can be performed to reveal genetic predisposition to a wide range of diseases and conditions, including breast cancer, blood disorders, cystic fibrosis, liver diseases and other diseases. Alzheimer’s disease is targeted for potential benefits from genome information, and may lead to better management to patients with this disease.
Researchers have collaborated through a worldwide database of particular genes accessed on the Internet. There, researchers and others can gain insight into particular genes through the work of others, including the genes function, interactions with other genes, its three-dimensional structure, and its evolutionary properties. Possible mutations and interactions with other genes as well as body tissue can be accessed through the database.
The potential for the understanding of the disease process at the molecular level enables more effective drug and other therapies. Without the knowledge gained from DNA-based research, medical advances will be stunted and limited to present techniques of treating disease.
DNA sequencing from other species will open up new avenues in the study of evolution. The development of vertebrate embryos can be related at the molecular level to analyze and advance the understanding of the organism’s body plan and its similarity to the human embryo.
Company Mission
The Company provides the technology to analyze a wide range of genes for the testing of drug and other therapies for the pharmaceutical, biomedical research and diagnostic markets. Additionally, the Company develops technologies to enhance chemistries and consumer products though improving the sequencing throughput.
Company News
On September 3, the Company announced that it has hired Thomas Weisel Partners to assist in weighing the Company’s options to move forward, including equity financing, joint ventures, and/or partnerships. The Company said it is in talks with several potential entities.
Additionally, the Company reported it doubled its instrument installation for the second quarter from the same period last year. The Company also received its first multi-order purchase order during the quarter.
Technical Analysis
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Source: http://stockcharts.com/h-sc/ui?s=hlcs
HLCS is above its 13-day moving average. This bullish sign is even more significant because the moving average also trends strongly higher.
The MACD for HLCS currently indicates a bullish signal. The MACD is above the signal line, a 9-day moving average; but the MACD is also above the critical level of 0, which implies that the underlying moving averages are trending higher.
Comparative Analysis
|
Company Name |
Ticker |
Price per |
Mrkt. Cap. |
P/E |
P/S |
|||
|
Sept-14-2009 |
Symbol |
Share, $ |
$ Mn |
2009 |
2010 |
2009 |
2010 |
|
|
Affymetrix Inc. |
AFFX |
8.38 |
584.71 |
n/a |
n/a |
1.86 |
n/a |
|
|
GE Healthcare |
– |
– |
– |
– |
– |
– |
– |
|
|
Life Technologies Corp. |
LIFE |
47.84 |
n/a |
n/a |
15.05 |
n/a |
n/a |
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|
Median |
|
|
|
24.18 |
n/a |
0.93 |
n/a |
|
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|
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|
|
|
|
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Helicos BioSciences Corp. |
HLCS |
2.58 |
177.8 |
n/a |
n/a |
88.15 |
n/a |
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Source: Thomson Financial
Insider Trading Activity
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NET SHARE PURCHASE ACTIVITY |
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Data provided by Thomson Financial
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