Frequency Therapeutics Investors
FREQ Stock ,Frequency Therapeutics (FREQ 0.80 percent) is a biotech company currently conducting several clinical trials for FX-322, a drug for hearing loss that is Frequency’s primary product currently in the process of clinical development. While final results from phase 2a are not yet available the interim results that were released in March were confusing and the stock price dropped from $36 to $8 in the aftermath. At the time of writing, April 14th, the value is currently around $10.
The many clinical trials underway on FX-322 are studying its use as a treatment for various reasons for hearing loss. The phase 2a study focused specifically on two groups of hearing loss caused by noise and moderate to severe sensory hearing loss. Hearing loss in the sensorineural area is due to damage to the inner auditory nerve. It accounts for 90 percent of hearing loss cases in adults. In this case and many other instances, Frequency hopes to treat the loss of hearing making use of FX-322 to stimulate the progenitor cells of the cochlea, which will grow into hair cells that can be transformed into new ones.
The results from the previous phase 1/2 were statistically and clinically significant, however, as previously noted, investors were not pleased by the interim results from phase 2a. The Phase 1 results demonstrated significant clinical and statistical improvement in the clarity of sound and also a clinically significant improvement in the word-in-noise test, which assesses the ability of the user to recognize words when background noise plays on the background.
Frequency Therapeutics Returns against. S&P
| 1 YEAR | 5 YEAR | 5 YEAR ANNUALIZED | SINCE IPO | |
|---|---|---|---|---|
| FREQ | -18.35% | -71% | ||
| S&P | -8.93% | +57.20% | +9.47% | +41% |
Assets
QUARTERLYANNUAL
| Q3 2022 | YOY CHANGE | |
|---|---|---|
| Net Cash | $43.85M | -60.9% |
| Accounts Receivable | $0.14M | – |
| Inventory | 0 | – |
Liabilities
QUARTERLYANNUAL
| Q3 2022 | YOY CHANGE | |
|---|---|---|
| Long Term Debt | $33.96M | -23.4% |
| Short Term Debt | $10.28M | +511.6% |
Ratios
QUARTERLYANNUAL
| Q3 2022 | YOY CHANGE | |
|---|---|---|
| Return On Assets | -50.7% | +50.7% |
| Return On Invested Capital | -48.4% | +0.2% |
Cash Flow
QUARTERLYANNUAL
| Q3 2022 | YOY CHANGE | |
|---|---|---|
| Free Cash Flow | -$11.33M | -24.2% |
| Operating Free Cash Flow | -$11.35M | -22.5% |
Valuation
QUARTERLYANNUAL
| Q4 2021 | Q1 2022 | Q2 2022 | Q3 2022 | YOY CHANGE | |
|---|---|---|---|---|---|
| Price to Earnings | – | – | – | – | – |
| Price to Book | 1.20 | 0.56 | 0.47 | 0.65 | -55.3% |
| Price to Sales | 9.67 | 10.13 | 12.62 | 7.84 | -16.9% |
| Price to Tangible Book Value | 1.20 | 0.56 | 0.47 | 0.65 | -55.3% |
| Price to Free Cash Flow TTM | – | – | – | – | – |
| Enterprise Value to EBITDA | -4.61 | -0.07 | 0.70 | -0.42 | -92.8% |
| Free Cash Flow Yield | – | – | – | – | – |
| Return on Equity | -52.4% | -60.5% | -69.7% | -74.8% | +76.7% |
| Total Debt | $45.60M | $45.19M | $44.69M | $44.24M | -3.8% |
