NASDAQ:IART, an undervalued stock with good fundamentals.

Last update: Mar 4, 2024

Uncover the potential of INTEGRA LIFESCIENCES HOLDING (NASDAQ:IART) as our stock screener's choice for an undervalued stock. NASDAQ:IART maintains a strong financial position and offers an appealing valuation. We'll delve into the specifics below.

Unpacking NASDAQ:IART's Valuation Rating

ChartMill assigns a Valuation Rating to every stock. This score ranges from 0 to 10 and evaluates the different valuation aspects and compares the price to earnings and cash flows, while taking into account profitability and growth. NASDAQ:IART scores a 8 out of 10:

A Price/Earnings ratio of 11.61 indicates a reasonable valuation of IART.
IART's Price/Earnings ratio is rather cheap when compared to the industry. IART is cheaper than 96.43% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.86, IART is valued rather cheaply.
A Price/Forward Earnings ratio of 10.25 indicates a reasonable valuation of IART.
Based on the Price/Forward Earnings ratio, IART is valued cheaper than 96.43% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.87. IART is valued rather cheaply when compared to this.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IART indicates a rather cheap valuation: IART is cheaper than 93.88% of the companies listed in the same industry.
85.20% of the companies in the same industry are more expensive than IART, based on the Price/Free Cash Flow ratio.
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of IART may justify a higher PE ratio.
A more expensive valuation may be justified as IART's earnings are expected to grow with 12.83% in the coming years.

Profitability Insights: NASDAQ:IART

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:IART scores a 7 out of 10:

Looking at the Return On Assets, with a value of 1.79%, IART is in the better half of the industry, outperforming 73.98% of the companies in the same industry.
IART has a Return On Equity of 4.27%. This is in the better half of the industry: IART outperforms 75.51% of its industry peers.
With an excellent Return On Invested Capital value of 6.42%, IART belongs to the best of the industry, outperforming 81.63% of the companies in the same industry.
The 3 year average ROIC (5.93%) for IART is below the current ROIC(6.42%), indicating increased profibility in the last year.
IART has a Profit Margin of 4.39%. This is in the better half of the industry: IART outperforms 75.51% of its industry peers.
IART's Operating Margin of 17.22% is amongst the best of the industry. IART outperforms 91.33% of its industry peers.
IART has a Gross Margin of 62.73%. This is in the better half of the industry: IART outperforms 62.24% of its industry peers.

How do we evaluate the Health for NASDAQ:IART?

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NASDAQ:IART has received a 5 out of 10:

With a decent Altman-Z score value of 2.00, IART is doing good in the industry, outperforming 60.71% of the companies in the same industry.
With a decent Debt to FCF ratio value of 20.52, IART is doing good in the industry, outperforming 73.47% of the companies in the same industry.
IART has a Current Ratio of 3.45. This indicates that IART is financially healthy and has no problem in meeting its short term obligations.
A Quick Ratio of 2.18 indicates that IART has no problem at all paying its short term obligations.

A Closer Look at Growth for NASDAQ:IART

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NASDAQ:IART has earned a 4 for growth:

The Earnings Per Share is expected to grow by 13.76% on average over the next years. This is quite good.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

More Decent Value stocks can be found in our Decent Value screener.

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

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.