Invitae (NYSE: NVTA) announced its 2022 Q1 financial results on May 3, 2022. According to the announcement, total revenue was up 19.4% (YoY, 3 months). Meanwhile, Invitae continued to record loss from operation and net loss. The loss from operation and net loss recorded 213 million USD and 182 million USD, respectively.
In the past, the company’s repeated M&As have caused large amounts of cash to outflow. According to the company, they will continue its efforts to reduce such outflow of the cash so as to record positive operating cash flow at the end of 2025. In 2022 Q1, the decline in total cash, cash equivalents, restricted cash and marketable securities has decreased by as much as 26.3 million USD. This is estimated to be over 100 million USD on an annual basis.
As many people know, Invitae’s stock price peaked in December 2020 and has fallen by more than 95%. As a result, the PBR is currently 0.21. Although Invitae is still recording a net loss, its stock price is under extremely underpriced value considering its high revenue growth potential. Watanabe & Brother’s Investment think that significant stock price growth might be expected in the future.
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