Our stock screener has singled out LANTHEUS HOLDINGS INC (NASDAQ:LNTH) as an attractive growth opportunity. NASDAQ:LNTH is demonstrating remarkable growth potential while maintaining strong financial indicators, making it a reasonably priced option. We'll explore this further.
Deciphering NASDAQ:LNTH's Growth Rating
To evaluate a stock's growth potential, ChartMill utilizes a Growth Rating on a scale of 0 to 10. This comprehensive assessment considers various growth aspects, including historical and estimated EPS and revenue growth. NASDAQ:LNTH has achieved a 8 out of 10:
- LNTH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.63%, which is quite good.
- Measured over the past years, LNTH shows a very strong growth in Earnings Per Share. The EPS has been growing by 45.36% on average per year.
- The Revenue has grown by 24.15% in the past year. This is a very strong growth!
- The Revenue has been growing by 30.43% on average over the past years. This is a very strong growth!
- LNTH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.58% yearly.
- The Revenue is expected to grow by 11.83% on average over the next years. This is quite good.
A Closer Look at Valuation for NASDAQ:LNTH
To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NASDAQ:LNTH has achieved a 7 out of 10:
- LNTH's Price/Earnings ratio is rather cheap when compared to the industry. LNTH is cheaper than 94.65% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.43, LNTH is valued rather cheaply.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of LNTH indicates a rather cheap valuation: LNTH is cheaper than 91.44% of the companies listed in the same industry.
- LNTH is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.57, which is the current average of the S&P500 Index.
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LNTH indicates a rather cheap valuation: LNTH is cheaper than 90.91% of the companies listed in the same industry.
- LNTH's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LNTH is cheaper than 93.58% of the companies in the same industry.
- LNTH has an outstanding profitability rating, which may justify a higher PE ratio.
Health Assessment of NASDAQ:LNTH
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. NASDAQ:LNTH scores a 8 out of 10:
- An Altman-Z score of 6.52 indicates that LNTH is not in any danger for bankruptcy at the moment.
- LNTH has a Altman-Z score of 6.52. This is amongst the best in the industry. LNTH outperforms 83.42% of its industry peers.
- LNTH has a debt to FCF ratio of 1.49. This is a very positive value and a sign of high solvency as it would only need 1.49 years to pay back of all of its debts.
- The Debt to FCF ratio of LNTH (1.49) is better than 89.30% of its industry peers.
- LNTH has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
- LNTH's Debt to Equity ratio of 0.00 is fine compared to the rest of the industry. LNTH outperforms 67.38% of its industry peers.
- The current and quick ratio evaluation for LNTH is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Analyzing Profitability Metrics
ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:LNTH has earned a 8 out of 10:
- Looking at the Return On Assets, with a value of 20.86%, LNTH belongs to the top of the industry, outperforming 98.40% of the companies in the same industry.
- With an excellent Return On Equity value of 36.25%, LNTH belongs to the best of the industry, outperforming 98.40% of the companies in the same industry.
- LNTH has a better Return On Invested Capital (29.79%) than 99.47% of its industry peers.
- The Profit Margin of LNTH (28.57%) is better than 97.33% of its industry peers.
- In the last couple of years the Profit Margin of LNTH has grown nicely.
- LNTH has a better Operating Margin (31.69%) than 98.40% of its industry peers.
- LNTH's Operating Margin has improved in the last couple of years.
- The Gross Margin of LNTH (64.78%) is better than 66.84% of its industry peers.
- LNTH's Gross Margin has improved in the last couple of years.
More Affordable Growth stocks can be found in our Affordable Growth screener.
Check the latest full fundamental report of LNTH for a complete fundamental analysis.
Disclaimer
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.