Company Overview
Atara Biotherapeutics, Inc. engages in the development of transformative therapies designed for patients suffering from cancer and autoimmune diseases within the United States and international markets. The company operates within the Healthcare sector, specifically the Biotechnology industry, a field characterized by high research and development costs and regulatory complexity. This biotechnology entity maintains a relatively small organizational structure with 14 employees and holds a market capitalization of $37.54M alongside an annual revenue of $120.77M. These financial figures indicate that the company operates at a micro-cap scale, suggesting a nascent stage of commercialization or a specialized focus on high-cost clinical development programs rather than mass-market product distribution.
Financial Health
The company reported a revenue of $120.77M over the trailing twelve months, yet generated a net income of $32.69M and an EBITDA of $51.59M. The gap between the revenue figure and the net income reveals a profit margin of 27.1%, while the EBITDA figure suggests strong operational earnings before interest, taxes, depreciation, and amortization despite other financial headwinds. However, the free cash flow stands at $-47,677,624, indicating a significant cash burn rate that limits the company's immediate financial flexibility for expansion or acquisitions. When analyzing profitability efficiency, the gross margin is 61.8%, which reflects a healthy pricing power or cost control on the cost of goods sold relative to revenue. In contrast, the operating margin is -339.6%, a figure that signals substantial operating expenses exceeding gross profit, a common scenario in early-stage biotechnology firms where R&D and clinical trial costs are high. The profit margin of 27.1% further highlights the divergence between operational losses and final net income, potentially due to one-time gains or specific accounting treatments. Regarding balance sheet strength, the company holds $8.48M in cash against $10.38M in debt, resulting in a debt-to-equity ratio that is listed as N/A, suggesting a leveraged position relative to equity but requiring careful management of liquidity. The current ratio is 0.82, which indicates that the company possesses fewer current assets than current liabilities, pointing to potential short-term liquidity constraints. Return on equity is listed as N/A, while the return on assets is 47.8%, revealing that the company generates high returns on its asset base despite the lack of traditional equity metrics.
Valuation Assessment
The trailing twelve-month P/E ratio is 1.79, whereas the forward P/E is -7.23, implying that expected earnings trajectory may involve losses or significant adjustments in the coming year. The price-to-book ratio is -0.87, indicating that the market values the company at a negative multiple of its book value, which often occurs when intangible assets or deferred charges dominate the balance sheet. Alternative valuation metrics such as the price-to-sales ratio of 0.31 and an EV/EBITDA of 0.76 suggest that the market prices the stock based on sales volume rather than traditional earnings multiples. The 52-week high is $19.14 and the 52-week low is $3.92, meaning the current price sits at a level that reflects significant volatility within this trading range. The beta value is -0.40, which is an unusual negative coefficient indicating that the stock's price volatility moves inversely to the broader market movements.
Growth & Income
The revenue growth year-over-year is -95.1%, while earnings growth year-over-year is N/A, indicating that the company is currently contracting in terms of sales volume. Since the revenue growth rate is negative, there are no earnings growing faster than revenue because the business is experiencing a sharp decline in top-line performance. As a non-dividend payer, the company does not distribute a dividend yield or a payout ratio, meaning it reinvests any available earnings or raises capital to fund its development pipeline. The overall growth and income profile is characterized by significant revenue contraction and a lack of dividend distribution, relying instead on asset monetization or future clinical success to drive value.