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While growth is established for NASDAQ:ADMA, the stock's valuation remains reasonable.

By Mill Chart

Last update: Nov 12, 2024

Our stock screening tool has pinpointed ADMA BIOLOGICS INC (NASDAQ:ADMA) as a growth stock that isn't overvalued. NASDAQ:ADMA is excelling in various growth indicators while maintaining a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.


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Growth Assessment of NASDAQ:ADMA

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NASDAQ:ADMA scores a 7 out of 10:

  • ADMA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 354.55%, which is quite impressive.
  • Looking at the last year, ADMA shows a very strong growth in Revenue. The Revenue has grown by 67.56%.
  • The Revenue has been growing by 72.31% on average over the past years. This is a very strong growth!
  • ADMA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.00% yearly.
  • Based on estimates for the next years, ADMA will show a quite strong growth in Revenue. The Revenue will grow by 16.23% on average per year.

A Closer Look at Valuation for NASDAQ:ADMA

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NASDAQ:ADMA was assigned a score of 6 for valuation:

  • Compared to the rest of the industry, the Price/Earnings ratio of ADMA indicates a rather cheap valuation: ADMA is cheaper than 94.65% of the companies listed in the same industry.
  • Based on the Price/Forward Earnings ratio, ADMA is valued cheaper than 93.40% of the companies in the same industry.
  • Based on the Enterprise Value to EBITDA ratio, ADMA is valued cheaper than 94.12% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, ADMA is valued cheaply inside the industry as 94.12% of the companies are valued more expensively.
  • ADMA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • ADMA's earnings are expected to grow with 98.21% in the coming years. This may justify a more expensive valuation.

Analyzing Health Metrics

ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NASDAQ:ADMA, the assigned 7 for health provides valuable insights:

  • ADMA has an Altman-Z score of 17.80. This indicates that ADMA is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of ADMA (17.80) is better than 90.55% of its industry peers.
  • ADMA has a debt to FCF ratio of 1.98. This is a very positive value and a sign of high solvency as it would only need 1.98 years to pay back of all of its debts.
  • The Debt to FCF ratio of ADMA (1.98) is better than 95.19% of its industry peers.
  • Even though the debt/equity ratio score it not favorable for ADMA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
  • ADMA has a Current Ratio of 6.87. This indicates that ADMA is financially healthy and has no problem in meeting its short term obligations.
  • The Current ratio of ADMA (6.87) is better than 66.84% of its industry peers.
  • A Quick Ratio of 2.80 indicates that ADMA has no problem at all paying its short term obligations.

Looking at the Profitability

ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NASDAQ:ADMA, the assigned 5 is noteworthy for profitability:

  • ADMA has a Return On Assets of 9.24%. This is amongst the best in the industry. ADMA outperforms 96.08% of its industry peers.
  • ADMA's Return On Equity of 18.48% is amongst the best of the industry. ADMA outperforms 96.97% of its industry peers.
  • ADMA has a Return On Invested Capital of 19.96%. This is amongst the best in the industry. ADMA outperforms 97.86% of its industry peers.
  • With an excellent Profit Margin value of 10.54%, ADMA belongs to the best of the industry, outperforming 95.19% of the companies in the same industry.
  • Looking at the Operating Margin, with a value of 25.42%, ADMA belongs to the top of the industry, outperforming 96.61% of the companies in the same industry.
  • ADMA's Gross Margin of 46.12% is fine compared to the rest of the industry. ADMA outperforms 78.25% of its industry peers.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

Our latest full fundamental report of ADMA contains the most current fundamental analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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ADMA BIOLOGICS INC

NASDAQ:ADMA (12/23/2024, 8:00:00 PM)

After market: 17.67 -0.05 (-0.28%)

17.72

+0.32 (+1.84%)

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