NASDAQ:LNTH: a strong growth stock preparing for the next leg up?.

Last update: Apr 17, 2024

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

Assessing Growth Metrics for NASDAQ:LNTH

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:LNTH, the assigned 8 reflects its growth potential:

LNTH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 47.63%, which is quite impressive.
LNTH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 45.36% yearly.
Looking at the last year, LNTH shows a very strong growth in Revenue. The Revenue has grown by 38.64%.
Measured over the past years, LNTH shows a very strong growth in Revenue. The Revenue has been growing by 30.43% on average per year.
LNTH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.43% yearly.
LNTH is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.10% yearly.

Health Analysis for NASDAQ:LNTH

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:LNTH was assigned a score of 8 for health:

LNTH has an Altman-Z score of 5.58. This indicates that LNTH is financially healthy and has little risk of bankruptcy at the moment.
LNTH has a Altman-Z score of 5.58. This is amongst the best in the industry. LNTH outperforms 81.63% of its industry peers.
The Debt to FCF ratio of LNTH is 2.64, which is a good value as it means it would take LNTH, 2.64 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.64, LNTH belongs to the best of the industry, outperforming 88.78% of the companies in the same industry.
LNTH has a Current Ratio of 5.80. This indicates that LNTH is financially healthy and has no problem in meeting its short term obligations.
LNTH has a Current ratio of 5.80. This is in the better half of the industry: LNTH outperforms 78.06% of its industry peers.
A Quick Ratio of 5.45 indicates that LNTH has no problem at all paying its short term obligations.
The Quick ratio of LNTH (5.45) is better than 79.59% of its industry peers.

How do we evaluate the Profitability for NASDAQ:LNTH?

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:LNTH, the assigned 7 is noteworthy for profitability:

LNTH has a better Return On Assets (19.79%) than 98.47% of its industry peers.
LNTH has a Return On Equity of 40.04%. This is amongst the best in the industry. LNTH outperforms 99.49% of its industry peers.
LNTH's Return On Invested Capital of 26.97% is amongst the best of the industry. LNTH outperforms 99.49% of its industry peers.
Looking at the Profit Margin, with a value of 25.20%, LNTH belongs to the top of the industry, outperforming 96.94% of the companies in the same industry.
In the last couple of years the Profit Margin of LNTH has grown nicely.
LNTH's Operating Margin of 38.31% is amongst the best of the industry. LNTH outperforms 99.49% of its industry peers.
LNTH's Operating Margin has improved in the last couple of years.
LNTH has a better Gross Margin (63.71%) than 63.27% of its industry peers.

Looking at the Setup

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NASDAQ:LNTH currently has a 7 as setup rating:

Although the technical rating is bad, LNTH does present a nice setup opportunity. Prices have been consolidating lately. There is very little resistance above the current price. There is a support zone below the current price at 61.58, a Stop Loss order could be placed below this zone.

Our Strong Growth screener lists more Strong Growth stocks and is updated daily.

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

For an up to date full technical analysis you can check the technical report of LNTH

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.