In this article, let's take a look at Dermira, Inc. (DERM), a $360.4 million market cap company, which is a biopharmaceutical company focused on bringing differentiated medical dermatology products to dermatologists and their patients.

Revenues, EPS and Stock Performance

Revenue for the fourth quarter was $7.3 million and it has reported a net loss of $6.7 million. Now, considering the entire year, revenue was $7.3 million (no records for the previous fiscal year) and a net loss of $31.9 million compared to a net loss of $22.4 for 2013.

• Warren Buffett Recent Buys

• Warren Buffett's Current Portfolio

• This Powerful Chart Made Peter Lynch 29% A Year For 13 Years

In October 2014, the firm announced the pricing of its initial public offering (IPO) of 7,812,500 shares of common stock at a price to the public of $16.00 per share. Since then, shares lost about 0.45%.

Peer Group Ratios

In the following table we can appreciate some key ratios for the company and its peers.

From the table, we can highlight the strong revenue growth reported by Coherus Biosciences (CHRS), as well as the extremely good EPS growth of Bellicum Pharmaceuticals (BLCM).

Turning our attention to the return on equity, in general, analysts consider ROE ratios in the 15-20% range as representing attractive levels for investment. For investors looking those levels or more, Vivus Inc (VVUS), Pfizer (PFE) and Cellceutix (CTIX), Immunomedics (IMMU) and Synergy Pharmaceuticals (SGYP) are all very good options.

Dermatologic Improvement

Tom Wiggans, chairman and chief executive officer of Dermira considered that capital position will be strengthened. Also, the fact that having added key management positions is crucial to focus on developing the pipeline of late-stage, as well as in innovative and differentiated dermatology products. He said he was delighted "with the progress we are making, particularly the positive Phase 2b results for DRM04 announced in February and the advancement of our CIMZIA program, in which all three of our Phase 3 clinical trials are underway. Looking forward, we eagerly anticipate the start of the Phase 2b trial in acne for DRM01 in April and intend to commence our Phase 3 program in hyperhidrosis for DRM04 in the second half of the year, subject to an end-of-phase 2 meeting with the FDA."

Final Comment

The Company faces competition from pharmaceutical and biotechnology companies, including specialty pharmaceutical companies, and generic drug companies, academic institutions, government agencies and research institutions.

Disclosure: As of this writing, Omar Venerio did not hold a position in any of the aforementioned stocks.

This article first appeared on GuruFocus.

• How To Construct Peter Lynch's Valuation Charts with Two Clicks

• What Is in the GuruFocus Premium Membership?

• How to calculate the intrinsic value of a stock?