NASDAQ:IART is an undervalued gem with solid fundamentals.

Last update: Jul 25, 2024

INTEGRA LIFESCIENCES HOLDING (NASDAQ:IART) has caught the attention of our stock screener as a great value stock. NASDAQ:IART excels in profitability, solvency, and liquidity, all while being very reasonably priced. Let's delve into the details.

ChartMill's Evaluation of Valuation

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:IART has earned a 7 for valuation:

With a Price/Earnings ratio of 10.80, the valuation of IART can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of IART indicates a rather cheap valuation: IART is cheaper than 96.86% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 24.43, IART is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.28, the valuation of IART can be described as very reasonable.
98.43% of the companies in the same industry are more expensive than IART, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.38, IART is valued rather cheaply.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IART indicates a rather cheap valuation: IART is cheaper than 93.19% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IART indicates a rather cheap valuation: IART is cheaper than 82.20% of the companies listed in the same industry.
IART has a very decent profitability rating, which may justify a higher PE ratio.

Profitability Assessment of NASDAQ:IART

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:IART, the assigned 7 is noteworthy for profitability:

IART has a better Return On Assets (0.99%) than 72.77% of its industry peers.
The Return On Equity of IART (2.52%) is better than 73.82% of its industry peers.
IART has a Return On Invested Capital of 5.15%. This is in the better half of the industry: IART outperforms 76.96% of its industry peers.
IART has a Profit Margin of 2.63%. This is in the better half of the industry: IART outperforms 72.77% of its industry peers.
With an excellent Operating Margin value of 15.14%, IART belongs to the best of the industry, outperforming 84.82% of the companies in the same industry.
In the last couple of years the Operating Margin of IART has grown nicely.

Analyzing Health Metrics

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NASDAQ:IART was assigned a score of 5 for health:

The Debt to FCF ratio of IART (30.49) is better than 68.06% of its industry peers.
A Current Ratio of 4.68 indicates that IART has no problem at all paying its short term obligations.
With a decent Current ratio value of 4.68, IART is doing good in the industry, outperforming 67.02% of the companies in the same industry.
IART has a Quick Ratio of 3.35. This indicates that IART is financially healthy and has no problem in meeting its short term obligations.
IART's Quick ratio of 3.35 is fine compared to the rest of the industry. IART outperforms 63.35% of its industry peers.

Growth Assessment of 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:

Based on estimates for the next years, IART will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.76% on average per year.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Our Decent Value screener lists more Decent Value stocks and is updated daily.

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

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.