NASDAQ:CORT is not too expensive for the growth it is showing.

Last update: May 31, 2024

Uncover the potential of CORCEPT THERAPEUTICS INC (NASDAQ:CORT), a growth stock that our stock screener found to be reasonably priced. NASDAQ:CORT is excelling in growth aspects, maintaining a healthy financial position, and still offers an attractive valuation. We'll examine each aspect in detail.

Analyzing Growth Metrics

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NASDAQ:CORT, the assigned 8 reflects its growth potential:

The Earnings Per Share has grown by an impressive 29.27% over the past year.
CORT shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.48%.
Measured over the past years, CORT shows a quite strong growth in Revenue. The Revenue has been growing by 13.94% on average per year.
CORT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.00% yearly.
CORT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.69% yearly.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

Unpacking NASDAQ:CORT's Valuation Rating

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:CORT was assigned a score of 6 for valuation:

Based on the Price/Earnings ratio, CORT is valued cheaper than 82.47% of the companies in the same industry.
77.84% 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 a bit cheaper than the industry average as 78.87% of the companies are valued more expensively.
82.47% of the companies in the same industry are more expensive than CORT, based on the Price/Free Cash Flow ratio.
CORT has an outstanding profitability rating, which may justify a higher PE ratio.
CORT's earnings are expected to grow with 41.92% in the coming years. This may justify a more expensive valuation.

Health Insights: NASDAQ:CORT

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NASDAQ:CORT, the assigned 9 reflects its health status:

CORT has an Altman-Z score of 21.11. This indicates that CORT is financially healthy and has little risk of bankruptcy at the moment.
CORT's Altman-Z score of 21.11 is amongst the best of the industry. CORT outperforms 91.75% 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.
A Current Ratio of 5.18 indicates that CORT has no problem at all paying its short term obligations.
CORT has a better Current ratio (5.18) than 65.98% of its industry peers.
A Quick Ratio of 5.10 indicates that CORT has no problem at all paying its short term obligations.
The Quick ratio of CORT (5.10) is better than 67.53% of its industry peers.

Profitability Examination for NASDAQ:CORT

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NASDAQ:CORT was assigned a score of 8 for profitability:

CORT has a better Return On Assets (17.99%) than 96.91% of its industry peers.
Looking at the Return On Equity, with a value of 21.54%, CORT belongs to the top of the industry, outperforming 91.75% of the companies in the same industry.
CORT has a better Return On Invested Capital (18.83%) than 95.36% of its industry peers.
CORT had an Average Return On Invested Capital over the past 3 years of 21.81%. This is above the industry average of 17.66%.
Looking at the Profit Margin, with a value of 22.54%, CORT belongs to the top of the industry, outperforming 93.81% of the companies in the same industry.
The Operating Margin of CORT (23.30%) is better than 91.24% of its industry peers.
CORT has a Gross Margin of 98.55%. This is amongst the best in the industry. CORT outperforms 99.48% of its industry peers.

More Affordable Growth stocks can be found in our Affordable Growth screener.

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

Disclaimer

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.