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

Last update: Feb 14, 2024

CORCEPT THERAPEUTICS INC (NASDAQ:CORT) was identified as an affordable growth stock by our stock screener. NASDAQ:CORT is showing great growth, but also scores well on profitability, solvency and liquidity. At the same time it seems to be priced reasonably. We'll explore this a bit deeper below.

Growth Analysis for NASDAQ:CORT

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NASDAQ:CORT boasts a 7 out of 10:

CORT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.94% yearly.
CORT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.20%.
The Revenue has been growing by 20.35% on average over the past years. This is a very strong growth!
The Earnings Per Share is expected to grow by 23.26% on average over the next years. This is a very strong growth
CORT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.64% yearly.
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Deciphering NASDAQ:CORT's Valuation Rating

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NASDAQ:CORT has earned a 6 for valuation:

Based on the Price/Earnings ratio, CORT is valued cheaper than 82.67% of the companies in the same industry.
79.70% of the companies in the same industry are more expensive than CORT, based on the Price/Forward Earnings ratio.
Based on the Enterprise Value to EBITDA ratio, CORT is valued cheaper than 80.69% of the companies in the same industry.
CORT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CORT is cheaper than 85.64% of the companies in the same industry.
CORT has an outstanding profitability rating, which may justify a higher PE ratio.
CORT's earnings are expected to grow with 26.05% in the coming years. This may justify a more expensive valuation.

Analyzing Health Metrics

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:CORT has earned a 8 out of 10:

An Altman-Z score of 13.58 indicates that CORT is not in any danger for bankruptcy at the moment.
The Altman-Z score of CORT (13.58) is better than 91.09% of its industry peers.
CORT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
CORT has a Current Ratio of 3.54. This indicates that CORT is financially healthy and has no problem in meeting its short term obligations.
A Quick Ratio of 3.48 indicates that CORT has no problem at all paying its short term obligations.

Profitability Insights: NASDAQ:CORT

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:CORT has earned a 8 out of 10:

CORT's Return On Assets of 15.39% is amongst the best of the industry. CORT outperforms 95.54% of its industry peers.
CORT has a Return On Equity of 19.80%. This is amongst the best in the industry. CORT outperforms 92.57% of its industry peers.
The Return On Invested Capital of CORT (18.44%) is better than 94.06% of its industry peers.
CORT had an Average Return On Invested Capital over the past 3 years of 23.51%. This is significantly above the industry average of 17.04%.
The 3 year average ROIC (23.51%) for CORT is well above the current ROIC(18.44%). The reason for the recent decline needs to be investigated.
With an excellent Profit Margin value of 20.31%, CORT belongs to the best of the industry, outperforming 95.05% of the companies in the same industry.
CORT has a Operating Margin of 21.82%. This is amongst the best in the industry. CORT outperforms 89.60% of its industry peers.
CORT has a Gross Margin of 98.64%. This is amongst the best in the industry. CORT outperforms 97.03% of its industry peers.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of CORT

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.