How does the valuation (PE, EV/EBITDA, etc.) of OmniAb compare to peer companies after this announcement? | OABI (Aug 06, 2025) | Candlesense
OABI

How does the valuation (PE, EV/EBITDA, etc.) of OmniAb compare to peer companies after this announcement?

Answer

The press release you quoted does not contain any valuation multiples (e.g., P/E, EV/EBITDA, price‑to‑sales, etc.) for OmniAb or for its peer group. Because those figures are not disclosed in the announcement, I can’t calculate a direct, data‑driven comparison here.

Below is a step‑by‑step framework you can use to assess how OmniAb’s valuation stacks up against comparable companies after the Q2 2025 results were released. I also outline the typical sources of the required data and the key considerations you’ll want to keep in mind.

1. Gather the Core Financials for OmniAb

Metric Where to Find It Typical Frequency
Net Income (or loss) – needed for P/E Form 10‑K/10‑Q filings, earnings press release, or the “Financial Highlights” section of the press release Quarterly (Q2 2025)
EBITDA – needed for EV/EBITDA Same sources; sometimes disclosed in the MD&A or in a “Non‑GAAP” reconciliation Quarterly
Total Debt & Cash Balance sheet in 10‑Q/10‑K Quarterly
Share Count (basic & diluted) 10‑Q footnotes or “Capital Stock” section Quarterly
Revenue (or sales) Income statement in 10‑Q Quarterly

If the press release only gives high‑level operating highlights (e.g., “partner count reached 100”), you’ll still need the SEC filings to pull the exact numbers.

2. Compute OmniAb’s Valuation Ratios

Ratio Formula Example (illustrative only)
P/E Share‑price Ă· EPS (EPS = Net Income / Shares Outstanding) If OmniAb reported a net profit of $12 M and has 10 M diluted shares, EPS = $1.20. With a post‑announcement market price of $24, P/E = 24 ÷ 1.20 = 20×.
EV/EBITDA Enterprise Value Ă· EBITDA (EV = Market Cap + Debt – Cash) Market cap = $240 M (10 M × $24). Debt = $30 M, Cash = $15 M → EV = $255 M. If EBITDA = $45 M, EV/EBITDA = 255 ÷ 45 = 5.7×.
P/S (price‑to‑sales) Share‑price Ă· (Revenue per Share) Revenue = $120 M → Rev/Share = $12.00 → P/S = 24 ÷ 12 = 2×.

Important: The numbers above are placeholders to show the mechanics. Replace them with the actual figures from OmniAb’s SEC filings and the market price at the time you conduct the analysis (e.g., the closing price on August 6 2025 or the next trading day).

3. Identify a Peer Group

Because OmniAb is a biopharmaceutical/diagnostics‑technology company focused on partner platforms, you’ll want peers that share:

  1. Industry focus – biotech, specialty pharma, or platform‑technology firms.
  2. Size & growth profile – market cap in the low‑hundred‑million to low‑billion range, similar revenue growth rates.
  3. Business model – reliance on partner networks, recurring revenue, or licensing.

Typical peer‑selection methods:

Approach How to Execute
Sector‑based screening (e.g., “Biotechnology – Therapeutics” or “Diagnostics & Research”) Use Bloomberg, FactSet, S&P Capital IQ, or Yahoo Finance “Peer Group” function.
S&P/Industry Classification Choose the “S&P Biotechnology” or “S&P Medical Devices & Instruments” sub‑industry.
Custom peer list Identify 5‑10 companies that publicly disclose partner‑program metrics (e.g., Illumina, Gilead, Sage Therapeutics, Molecular Diagnostics firms).

Make sure the peers have publicly available P/E and EV/EBITDA data for the same reporting period (Q2 2025).

4. Pull Valuation Data for the Peer Group

Data Point Typical Sources
Current market price Bloomberg, Reuters, Yahoo Finance, Nasdaq.com
Trailing twelve‑month (TTM) EPS Company 10‑K, FactSet, S&P Capital IQ
EBITDA (TTM) Company filings, analyst estimates, or data providers
Total debt & cash Balance sheet in 10‑K/10‑Q
Shares outstanding Same as above

Most data platforms will let you export a table of P/E, EV/EBITDA, P/S, and EV/Revenue for a list of tickers in one click.

5. Perform the Comparison

Metric OmniAb (post‑Q2 2025) Peer Median Peer Range (Low‑High) Interpretation
P/E [Insert actual] e.g., 22× 15× – 35× A lower P/E suggests the market values OmniAb’s earnings more cheaply relative to peers; a higher P/E could indicate growth expectations.
EV/EBITDA [Insert actual] e.g., 8× 6× – 12× EV/EBITDA below the peer median may point to a “discount” on operating cash‑flow generation.
P/S [Insert actual] e.g., 3× 2× – 5× A higher P/S can be justified if OmniAb’s sales are more recurring or higher‑margin.
EV/Revenue [Insert actual] e.g., 4× 3× – 6× Similar to P/S, but includes debt; useful for high‑growth, low‑profit firms.

If OmniAb’s ratios sit *below** the peer median, the market may be pricing the stock at a discount—potentially reflecting concerns about profitability, cash burn, or execution risk. Conversely, ratios above peers could indicate premium valuation due to perceived superior technology, partner pipeline, or growth momentum.*

6. Contextual Factors to Consider After the Announcement

Factor Why It Matters for Valuation
Partner expansion (100 active partners) May lead to higher recurring licensing or royalty revenue → could justify a higher P/E or EV/EBITDA if the market expects faster top‑line growth.
Revenue growth trajectory If Q2 2025 shows a YoY acceleration (e.g., 30% revenue growth), analysts may raise earnings forecasts, compressing P/E.
Profitability trends If the company turned profitable or narrowed losses, the P/E becomes more meaningful; otherwise, a “negative P/E” is not comparable to peers with positive earnings.
Cash‑burn rate High operating cash‑outflows can depress EV/EBITDA; peers with similar burn may have lower multiples.
Macro‑biotech sentiment Market cycles in biotech can swing multiples dramatically; a strong earnings beat may lift the whole sector’s multiples temporarily.

7. How to Get the Numbers Quickly (Practical Tips)

  1. Yahoo Finance “Quote” page – Enter “OABI” → “Statistics” tab → view P/E, EV/EBITDA, Market Cap, Debt/Equity.
  2. Bloomberg Terminal – FA <GO> for “Financial Analysis” → select “Ratios” → add peers via “PEERS ”.
  3. FactSet – Use the “Company Profile” → “Peer Group” → export the “Valuation Summary” table.
  4. SEC EDGAR – Download the latest 10‑Q (for Q2 2025) → calculate EBITDA manually if not disclosed.

If you lack a subscription to Bloomberg or FactSet, most public websites (Yahoo Finance, Nasdaq.com, MarketWatch) provide *real‑time P/E** and EV/EBITDA for U.S.‑listed stocks. For debt and cash, you may need the SEC filing or a free “Financial Statements” page on the company’s investor‑relations site.*

8. Sample “What‑If” Illustration (Using Publicly Available Data)

Below is a hypothetical snapshot that demonstrates the mechanics. Do not treat these numbers as actual OmniAb data—they are only for illustration.

Company Market Cap (M) Share‑price Shares (M) Net Income (M) EPS P/E Debt (M) Cash (M) EV EBITDA (M) EV/EBITDA
OmniAb (OABI) 240 $24.00 10 $12.0 $1.20 20× $30 $15 $255 $45 5.7×
Peer A 1,200 $48.00 25 $80.0 $3.20 15× $200 $120 1,280 $150 8.5×
Peer B 800 $32.00 25 $40.0 $1.60 20× $100 $80 820 $70 11.7×
Peer Median — — — — — 17.5× — — — — 9.6×

Interpretation: In this example, OmniAb’s P/E of 20× is slightly above the peer median (17.5×), while its EV/EBITDA of 5.7× is well below the peer median (9.6×). This could suggest the market values OmniAb’s earnings a bit higher (perhaps due to growth expectations) but still sees its cash‑flow generation as relatively cheap compared to peers—potentially a valuation “sweet spot” for investors who believe the partner expansion will translate into stronger EBITDA in the coming quarters.

9. Bottom Line

  • The press release itself does not disclose valuation multiples, so a precise, data‑driven comparison cannot be generated from the information you provided.
  • To evaluate OmniAb’s valuation relative to peers, you’ll need to:
    1. Pull the latest financial statements (10‑Q/10‑K) for OmniAb.
    2. Obtain the current market price and share count to compute P/E.
    3. Gather debt, cash, and EBITDA to compute EV/EBITDA.
    4. Identify a reasonable peer set (biotech/diagnostics platform companies of similar size).
    5. Extract the same multiples for those peers from a financial data platform.
    6. Compare OmniAb’s ratios to the peer median and range, then interpret the result in light of the company’s recent partner‑addition momentum and any earnings surprises.

If you can access OmniAb’s SEC filing for Q2 2025 (or a reliable financial‑data source) and a valuation screen for the chosen peers, the steps above will let you produce a robust, quantitative comparison. Feel free to let me know if you have the specific financial numbers or a list of potential peers, and I can walk you through the exact calculations.

Other Questions About This News

What potential catalysts or risks could affect the stock price in the short term (e.g., upcoming data releases, regulatory milestones)? What are the long‑term implications for growth and profitability if the company continues to add partners at this rate? What is the average revenue per partner and how does it trend over time? How does the achievement of 100 active partners compare to prior quarters and to competitors in the biotech/partner platform space? Did the company provide guidance for Q3 2025 and the full fiscal year, and what are the key assumptions behind that guidance? Are there any changes in the company's debt, share repurchase, or dividend policies following these results? Which new partners were added in Q2, and what is the expected revenue contribution from these new partnerships? What is the company's current cash position, burn rate, and runway after the reported results? What were the revenue, earnings, and cash flow figures for Q2 2025 and how did they compare to analyst expectations?