In a market where value is scarce, NASDAQ:JAZZ offers a refreshing opportunity with its solid fundamentals.

Our stock screener has singled out JAZZ PHARMACEUTICALS PLC (NASDAQ:JAZZ) as a stellar value proposition. NASDAQ:JAZZ not only scores well in profitability, solvency, and liquidity but also maintains a very reasonable price point. We'll explore this further.

Unpacking NASDAQ:JAZZ'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:JAZZ has earned a 8 for valuation:

• Based on the Price/Earnings ratio of 6.29, the valuation of JAZZ can be described as very cheap.
• Based on the Price/Earnings ratio, JAZZ is valued cheaply inside the industry as 96.37% of the companies are valued more expensively.
• JAZZ's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.36.
• The Price/Forward Earnings ratio is 5.31, which indicates a rather cheap valuation of JAZZ.
• Compared to the rest of the industry, the Price/Forward Earnings ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 96.37% of the companies listed in the same industry.
• Compared to an average S&P500 Price/Forward Earnings ratio of 20.01, JAZZ is valued rather cheaply.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 90.16% of the companies listed in the same industry.
• Compared to the rest of the industry, the Price/Free Cash Flow ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 94.82% of the companies listed in the same industry.
• JAZZ has a very decent profitability rating, which may justify a higher PE ratio.

Evaluating Profitability: NASDAQ:JAZZ

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:JAZZ scores a 7 out of 10:

• The Return On Assets of JAZZ (3.48%) is better than 86.01% of its industry peers.
• Looking at the Return On Equity, with a value of 10.50%, JAZZ belongs to the top of the industry, outperforming 87.56% of the companies in the same industry.
• The Return On Invested Capital of JAZZ (4.81%) is better than 82.90% of its industry peers.
• The last Return On Invested Capital (4.81%) for JAZZ is above the 3 year average (3.02%), which is a sign of increasing profitability.
• JAZZ's Profit Margin of 10.10% is amongst the best of the industry. JAZZ outperforms 87.05% of its industry peers.
• JAZZ has a Operating Margin of 15.26%. This is amongst the best in the industry. JAZZ outperforms 85.49% of its industry peers.
• JAZZ has a Gross Margin of 89.39%. This is amongst the best in the industry. JAZZ outperforms 92.23% of its industry peers.

Exploring NASDAQ:JAZZ's Health

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:JAZZ was assigned a score of 5 for health:

• The Altman-Z score of JAZZ (1.40) is better than 62.69% of its industry peers.
• With an excellent Debt to FCF ratio value of 5.61, JAZZ belongs to the best of the industry, outperforming 84.97% of the companies in the same industry.
• JAZZ has a Current Ratio of 2.37. This indicates that JAZZ is financially healthy and has no problem in meeting its short term obligations.
• JAZZ has a Quick Ratio of 2.02. This indicates that JAZZ is financially healthy and has no problem in meeting its short term obligations.

Analyzing Growth Metrics

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:JAZZ boasts a 5 out of 10:

• The Earnings Per Share has grown by an impressive 31.56% over the past year.
• JAZZ shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.19% yearly.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

Our latest full fundamental report of JAZZ contains the most current fundamental analsysis.

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.