Pacific Biosciences of California, Inc.
$1.58
+6.0%Pacific Biosciences of California, Inc. designs, develops, and manufactures sequencing systems to resolve genetically complex problems. The company provides PacBio's Systems, which conduct, monitor, and analyse biochemical sequencing reactions; consumable products, including single molecule real-time (SMRT) cells; and various reagent kits designed for specific workflow, such as template preparation kit to convert DNA into SMRTbell double-stranded DNA library formats, including molecular biology reagents, such as ligase, buffers, and exonucleases. It also offers binding kits, such as modified DNA polymerase used to bind SMRTbell libraries to the polymerase in preparation for sequencing; and sequencing kits comprise reagents required for on-instrument, real-time sequencing, including the phospholinked nucleotides. The company serves research institutions; commercial laboratories; genome centers; public health labs, hospitals and clinical research institutes, contract research organizations, and academic institutions; pharmaceutical companies; and agricultural companies. It markets its products through a direct sales force in North America and Europe, as well as through distribution partners in Asia, Europe, the Middle East, Africa, and Latin America. Pacific Biosciences of California, Inc. has a development and commercialization agreement with Invitae Corporation. The company was formerly known as Nanofluidics, Inc. and changed its name to Pacific Biosciences of California, Inc. in 2005. Pacific Biosciences of California, Inc. was incorporated in 2000 and is headquartered in Menlo Park, California.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -0.9).
Valuation inputs: P/E -0.9, earnings yield N/A, momentum +6.0%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -102.1%, ROIC -76.3%).
Profitability stack: net margin -3.4%, ROE -102.1%, ROIC -76.3%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +99.3%, momentum +6.0%, net margin -3.4%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Pacific Biosciences of California, Inc. Market vs Earnings Trajectory
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Pacific Biosciences of California, Inc. Fair Value Envelope
Pacific Biosciences of California, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Moderate margins typical of competitive industries. Monitor for pricing pressure or rising costs.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
Pacific Biosciences of California, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Weak cash conversion. Significant portion of earnings not converting to cash—review working capital trends and capital intensity.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Pacific Biosciences of California, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Debt-to-Equity Ratio
High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Balanced asset mix between current and non-current assets, typical of many stable businesses.
Financial Health Insight
Mixed signals: Strong short-term liquidity provides comfort, but high overall leverage requires careful monitoring of debt servicing capabilities and refinancing risk.
Pacific Biosciences of California, Inc. Street Expectations Map
Wall Street analysts project that PACB stock may decline over the coming 12 months. The consensus 1-year price target stands at 1.00, with estimates ranging from a low of 1.00 to a high of 1.00.
The consensus 1-year price target stands at 1.00, with estimates ranging from a low of 1.00 to a high of 1.00.
Analyst Consensus Analysis
Upside Potential
Significant downside risk. Stock trading well above analyst consensus suggests elevated valuation concerns and potential correction.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Risk-Reward Profile
Balanced risk-reward. Upside and downside potential relatively symmetric. Suitable for moderate risk tolerance with conviction in thesis.
Analyst Conviction
Bearish or uncertain outlook. Limited upside or poor consensus suggests challenges ahead or fundamental concerns.
Market Sentiment Insight
Consensus overvaluation: Analysts agree the stock is richly valued with limited upside. Consider booking profits or defensive positioning unless you have contrarian conviction in unrecognized catalysts.
Pacific Biosciences of California, Inc. Insider Positioning
During the last 12 months, insiders have purchased $502K and sold $1.32M worth of PACB shares, resulting in $814K of net selling activity.
3 Months
0
0.00
88.2K
120.81K
-121K
-$121K
3-6 Months
0
0.00
729.7K
1.16M
-1.2M
-$1.16M
6-9 Months
0
0.00
0
0.00
+0
+$0
9-12 Months
487.5K
502.12K
26.8K
35.18K
+467K
+$467K
Top Buyers
Mohr Marshall
Director
$67K
Ordonez Kathy
Director
$67K
Livingston Randall S
Director
$67K
Valantine Hannah
Director
$67K
Milligan John F
Director
$67K
Top Sellers
Henry Christian O
Officer: See Remarks
$771K
Van Oene Mark
Officer: See Remarks
$339K
Gibson James R Ii
Officer: See Remarks
$121K
Farmer Michele
Officer: See Remarks
$84K
Insider Activity Analysis
Net Insider Sentiment
Negative insider sentiment with $814K net selling. Selling notably exceeds buying, warranting closer scrutiny of company fundamentals.
Buy/Sell Ratio
Weak buy/sell ratio. Selling significantly exceeds buying—monitor for potential fundamental concerns.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider buyers vs. 4 sellers. More insiders buying than selling indicates positive sentiment.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
No Dividend Yield Data
PACB has not reported any dividend yield values in the available annual periods.
pacb Dividend History
Learning Layer
Related Guides
Build conviction on PACB by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.