Investors seeking growth at a reasonable cost should explore NASDAQ:PCRX.

PACIRA BIOSCIENCES INC (NASDAQ:PCRX) has caught the eye of our stock screener as an affordable growth stock. NASDAQ:PCRX is displaying robust growth metrics and also excels in terms of profitability, solvency, and liquidity. Additionally, it appears to be reasonably priced. Let's delve into the details.

Deciphering NASDAQ:PCRX's Growth Rating

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NASDAQ:PCRX has received a 7 out of 10:

• The Earnings Per Share has grown by an nice 12.72% over the past year.
• PCRX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.93% yearly.
• Looking at the last year, PCRX shows a very strong growth in Revenue. The Revenue has grown by 29.50%.
• Measured over the past years, PCRX shows a quite strong growth in Revenue. The Revenue has been growing by 14.88% on average per year.
• The Earnings Per Share is expected to grow by 15.29% on average over the next years. This is quite good.
• Based on estimates for the next years, PCRX will show a quite strong growth in Revenue. The Revenue will grow by 8.72% on average per year.

Exploring NASDAQ:PCRX's Valuation

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NASDAQ:PCRX boasts a 9 out of 10:

• PCRX is valuated cheaply with a Price/Earnings ratio of 6.37.
• Based on the Price/Earnings ratio, PCRX is valued cheaper than 93.72% of the companies in the same industry.
• PCRX is valuated cheaply when we compare the Price/Earnings ratio to 29.25, which is the current average of the S&P500 Index.
• PCRX is valuated cheaply with a Price/Forward Earnings ratio of 6.17.
• Based on the Price/Forward Earnings ratio, PCRX is valued cheaper than 93.72% of the companies in the same industry.
• The average S&P500 Price/Forward Earnings ratio is at 23.78. PCRX is valued rather cheaply when compared to this.
• 95.81% of the companies in the same industry are more expensive than PCRX, based on the Enterprise Value to EBITDA ratio.
• Based on the Price/Free Cash Flow ratio, PCRX is valued cheaply inside the industry as 97.38% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• PCRX has a very decent profitability rating, which may justify a higher PE ratio.

Deciphering NASDAQ:PCRX's Health Rating

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NASDAQ:PCRX has received a 5 out of 10:

• PCRX's Altman-Z score of 1.65 is fine compared to the rest of the industry. PCRX outperforms 64.92% of its industry peers.
• PCRX has a debt to FCF ratio of 3.04. This is a good value and a sign of high solvency as PCRX would need 3.04 years to pay back of all of its debts.
• PCRX has a better Debt to FCF ratio (3.04) than 91.62% of its industry peers.
• A Current Ratio of 2.25 indicates that PCRX has no problem at all paying its short term obligations.

Profitability Assessment of NASDAQ:PCRX

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:PCRX, the assigned 7 is noteworthy for profitability:

• With a decent Return On Assets value of -5.37%, PCRX is doing good in the industry, outperforming 76.96% of the companies in the same industry.
• With a decent Return On Equity value of -10.91%, PCRX is doing good in the industry, outperforming 76.44% of the companies in the same industry.
• With an excellent Return On Invested Capital value of 6.55%, PCRX belongs to the best of the industry, outperforming 84.82% of the companies in the same industry.
• The 3 year average ROIC (4.32%) for PCRX is below the current ROIC(6.55%), indicating increased profibility in the last year.
• Looking at the Operating Margin, with a value of 13.59%, PCRX belongs to the top of the industry, outperforming 84.82% of the companies in the same industry.
• In the last couple of years the Operating Margin of PCRX has grown nicely.
• PCRX has a better Gross Margin (73.82%) than 80.63% of its industry peers.

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

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.