Advertisement
U.S. markets closed
  • S&P Futures

    5,304.25
    -4.00 (-0.08%)
     
  • Dow Futures

    40,140.00
    -36.00 (-0.09%)
     
  • Nasdaq Futures

    18,465.00
    -38.75 (-0.21%)
     
  • Russell 2000 Futures

    2,145.20
    +6.80 (+0.32%)
     
  • Crude Oil

    83.11
    -0.06 (-0.07%)
     
  • Gold

    2,254.80
    +16.40 (+0.73%)
     
  • Silver

    25.10
    +0.18 (+0.74%)
     
  • EUR/USD

    1.0790
    -0.0003 (-0.03%)
     
  • 10-Yr Bond

    4.2060
    +0.0100 (+0.24%)
     
  • Vix

    13.01
    +0.23 (+1.80%)
     
  • GBP/USD

    1.2624
    +0.0002 (+0.02%)
     
  • USD/JPY

    151.4700
    +0.0980 (+0.06%)
     
  • Bitcoin USD

    70,746.41
    +948.30 (+1.36%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • FTSE 100

    7,952.62
    +20.64 (+0.26%)
     
  • Nikkei 225

    40,358.54
    +190.47 (+0.47%)
     

Does HTG Molecular Diagnostics Inc’s (NASDAQ:HTGM) Latest Financial Perfomance Look Strong?

Examining HTG Molecular Diagnostics Inc’s (NASDAQ:HTGM) past track record of performance is an insightful exercise for investors. It allows us to reflect on whether or not the company has met or exceed expectations, which is a great indicator for future performance. Today I will assess HTGM’s latest performance announced on 31 December 2017 and compare these figures to its longer term trend and industry movements. View our latest analysis for HTG Molecular Diagnostics

How Well Did HTGM Perform?

I prefer to use the ‘latest twelve-month’ data, which either annualizes the most recent 6-month earnings update, or in some cases, the most recent annual report is already the latest available financial data. This blend allows me to analyze many different companies in a uniform manner using new information. For HTG Molecular Diagnostics, its latest earnings (trailing twelve month) is -US$18.96M, which, against last year’s figure, has become less negative. Since these figures may be somewhat myopic, I’ve determined an annualized five-year figure for HTG Molecular Diagnostics’s net income, which stands at -US$20.44M. This suggests that, though net income is negative, it has become less negative over the years.

NasdaqCM:HTGM Income Statement May 10th 18
NasdaqCM:HTGM Income Statement May 10th 18

We can further analyze HTG Molecular Diagnostics’s loss by looking at what the industry has been experiencing over the past few years. Each year, for the past five years HTG Molecular Diagnostics’s top-line has increased by 33.70% on average, signalling that the company is in a high-growth phase with expenses racing ahead revenues, leading to annual losses. Looking at growth from a sector-level, the US healthcare services industry has been growing its average earnings by double-digit 27.90% over the past twelve months, and 19.46% over the past half a decade. This suggests that any uplift the industry is benefiting from, HTG Molecular Diagnostics has not been able to leverage it as much as its industry peers.

What does this mean?

While past data is useful, it doesn’t tell the whole story. With companies that are currently loss-making, it is always hard to forecast what will happen in the future and when. The most useful step is to assess company-specific issues HTG Molecular Diagnostics may be facing and whether management guidance has dependably been met in the past. I recommend you continue to research HTG Molecular Diagnostics to get a more holistic view of the stock by looking at:

  1. Future Outlook: What are well-informed industry analysts predicting for HTGM’s future growth? Take a look at our free research report of analyst consensus for HTGM’s outlook.

  2. Financial Health: Is HTGM’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.

  3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

NB: Figures in this article are calculated using data from the trailing twelve months from 31 December 2017. This may not be consistent with full year annual report figures.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.

Advertisement