Why HALOZYME THERAPEUTICS INC (NASDAQ:HALO) Is a Standout High-Growth Stock in a Consolidation Phase.

For growth-minded investors, high revenue and EPS growth are key criteria. Today, we'll examine whether HALOZYME THERAPEUTICS INC (NASDAQ:HALO) fits the bill for growth investing, particularly as it forms a base and hints at a potential breakout. Remember, due diligence is essential, but HALOZYME THERAPEUTICS INC has caught our attention on our screen for growth with base formation. It may warrant additional investigation.

Growth Analysis for HALO

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 HALO, the assigned 8 reflects its growth potential:

• The Earnings Per Share has grown by an impressive 52.16% over the past year.
• The Earnings Per Share has been growing by 30.12% on average over the past years. This is a very strong growth
• HALO shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.46%.
• The Revenue has been growing by 38.95% on average over the past years. This is a very strong growth!
• HALO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.65% yearly.
• HALO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.45% yearly.

Assessing Health Metrics for HALO

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. HALO scores a 8 out of 10:

• HALO has an Altman-Z score of 4.94. This indicates that HALO is financially healthy and has little risk of bankruptcy at the moment.
• Looking at the Altman-Z score, with a value of 4.94, HALO belongs to the top of the industry, outperforming 81.37% of the companies in the same industry.
• HALO has a debt to FCF ratio of 3.21. This is a good value and a sign of high solvency as HALO would need 3.21 years to pay back of all of its debts.
• The Debt to FCF ratio of HALO (3.21) is better than 93.67% of its industry peers.
• HALO has a Current Ratio of 7.80. This indicates that HALO is financially healthy and has no problem in meeting its short term obligations.
• With a decent Current ratio value of 7.80, HALO is doing good in the industry, outperforming 73.29% of the companies in the same industry.
• A Quick Ratio of 6.78 indicates that HALO has no problem at all paying its short term obligations.
• HALO has a better Quick ratio (6.78) than 67.49% of its industry peers.

What does the Profitability looks like for HALO

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, HALO has achieved a 8:

• HALO's Return On Assets of 21.52% is amongst the best of the industry. HALO outperforms 99.12% of its industry peers.
• With an excellent Return On Equity value of 122.06%, HALO belongs to the best of the industry, outperforming 99.47% of the companies in the same industry.
• HALO's Return On Invested Capital of 23.00% is amongst the best of the industry. HALO outperforms 98.95% of its industry peers.
• Measured over the past 3 years, the Average Return On Invested Capital for HALO is above the industry average of 14.54%.
• The last Return On Invested Capital (23.00%) for HALO is above the 3 year average (17.81%), which is a sign of increasing profitability.
• HALO's Profit Margin of 43.74% is amongst the best of the industry. HALO outperforms 99.30% of its industry peers.
• Looking at the Operating Margin, with a value of 54.32%, HALO belongs to the top of the industry, outperforming 99.82% of the companies in the same industry.
• The Gross Margin of HALO (84.30%) is better than 87.52% of its industry peers.
• HALO's Gross Margin has improved in the last couple of years.

How does the Setup look for HALO

The Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For HALO this score is currently 8:

HALO has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. A pullback is taking place, which may present a nice opportunity for an entry. There is a resistance zone just above the current price starting at 64.42. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 63.81, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

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Check the latest full fundamental report of HALO for a complete fundamental analysis.

Check the latest full technical report of HALO for a complete technical analysis.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.