NASDAQ:LNTH is showing decent growth, but is still valued reasonably.

Last update: Jan 10, 2025

Our stock screener has spotted LANTHEUS HOLDINGS INC (NASDAQ:LNTH) as a growth stock which is not overvalued. NASDAQ:LNTH is scoring great on several growth aspects while it also shows decent health and profitability. At the same time it remains remains attractively priced. We'll dive into each aspect below.

Understanding NASDAQ:LNTH's Growth

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:LNTH has earned a 8 for growth:

The Earnings Per Share has grown by an nice 18.63% over the past year.
LNTH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 45.36% yearly.
LNTH shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.15%.
The Revenue has been growing by 30.43% on average over the past years. This is a very strong growth!
The Earnings Per Share is expected to grow by 11.58% on average over the next years. This is quite good.
The Revenue is expected to grow by 11.83% on average over the next years. This is quite good.

ChartMill's Evaluation of Valuation

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:

Compared to the rest of the industry, the Price/Earnings ratio of LNTH indicates a rather cheap valuation: LNTH is cheaper than 93.55% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of LNTH to the average of the S&P500 Index (27.34), we can say LNTH is valued rather cheaply.
Based on the Price/Forward Earnings ratio, LNTH is valued cheaper than 92.47% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.61. LNTH is valued slightly cheaper when compared to this.
LNTH's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LNTH is cheaper than 90.86% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LNTH indicates a rather cheap valuation: LNTH is cheaper than 92.47% of the companies listed in the same industry.
The excellent profitability rating of LNTH may justify a higher PE ratio.

Evaluating Health: NASDAQ:LNTH

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NASDAQ:LNTH, the assigned 8 reflects its health status:

An Altman-Z score of 6.61 indicates that LNTH is not in any danger for bankruptcy at the moment.
LNTH has a Altman-Z score of 6.61. This is amongst the best in the industry. LNTH outperforms 82.80% of its industry peers.
The Debt to FCF ratio of LNTH is 1.49, which is an excellent value as it means it would take LNTH, only 1.49 years of fcf income to pay off all of its debts.
LNTH's Debt to FCF ratio of 1.49 is amongst the best of the industry. LNTH outperforms 89.25% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that LNTH is not too dependend on debt financing.
The Debt to Equity ratio of LNTH (0.00) is better than 68.28% of its industry peers.
LNTH does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.

Evaluating Profitability: NASDAQ:LNTH

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:LNTH scores a 8 out of 10:

With an excellent Return On Assets value of 20.86%, LNTH belongs to the best of the industry, outperforming 98.39% of the companies in the same industry.
LNTH has a better Return On Equity (36.25%) than 98.39% of its industry peers.
LNTH's Return On Invested Capital of 29.79% is amongst the best of the industry. LNTH outperforms 99.46% of its industry peers.
LNTH's Profit Margin of 28.57% is amongst the best of the industry. LNTH outperforms 97.31% of its industry peers.
LNTH's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 31.69%, LNTH belongs to the top of the industry, outperforming 98.39% of the companies in the same industry.
In the last couple of years the Operating Margin of LNTH has grown nicely.
With a decent Gross Margin value of 64.78%, LNTH is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of LNTH has grown nicely.

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

For an up to date full fundamental analysis you can check the fundamental 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.