25.92 USD
-0.22 (-0.86%)
25.92 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to AMPH. AMPH was compared to 191 industry peers in the Pharmaceuticals industry. While AMPH has a great profitability rating, there are some minor concerns on its financial health. AMPH scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, AMPH could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- AMPH had positive earnings in the past year.
- AMPH had a positive operating cash flow in the past year.
- AMPH had positive earnings in each of the past 5 years.
- AMPH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of AMPH (6.70%) is better than 87.96% of its industry peers.
- Looking at the Return On Equity, with a value of 14.37%, AMPH belongs to the top of the industry, outperforming 88.48% of the companies in the same industry.
- AMPH's Return On Invested Capital of 8.51% is amongst the best of the industry. AMPH outperforms 86.91% of its industry peers.
- AMPH had an Average Return On Invested Capital over the past 3 years of 12.92%. This is in line with the industry average of 12.83%.
- The last Return On Invested Capital (8.51%) for AMPH is well below the 3 year average (12.92%), which needs to be investigated, but indicates that AMPH had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.7% | ||
| ROE | 14.37% | ||
| ROIC | 8.51% |
ROA(3y)10.51%
ROA(5y)8.2%
ROE(3y)20.19%
ROE(5y)14.97%
ROIC(3y)12.92%
ROIC(5y)10.14%
1.3 Margins
- The Profit Margin of AMPH (15.43%) is better than 87.43% of its industry peers.
- In the last couple of years the Profit Margin of AMPH has grown nicely.
- AMPH has a better Operating Margin (20.73%) than 87.96% of its industry peers.
- In the last couple of years the Operating Margin of AMPH has grown nicely.
- Looking at the Gross Margin, with a value of 49.36%, AMPH is in the better half of the industry, outperforming 64.40% of the companies in the same industry.
- AMPH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.73% | ||
| PM (TTM) | 15.43% | ||
| GM | 49.36% |
OM growth 3Y20.68%
OM growth 5YN/A
PM growth 3Y15.39%
PM growth 5Y7.52%
GM growth 3Y3.84%
GM growth 5Y4.54%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AMPH is creating some value.
- Compared to 1 year ago, AMPH has less shares outstanding
- Compared to 5 years ago, AMPH has more shares outstanding
- The debt/assets ratio for AMPH has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.39 indicates that AMPH is not a great score, but indicates only limited risk for bankruptcy at the moment.
- AMPH has a Altman-Z score of 2.39. This is in the better half of the industry: AMPH outperforms 61.78% of its industry peers.
- AMPH has a debt to FCF ratio of 5.49. This is a neutral value as AMPH would need 5.49 years to pay back of all of its debts.
- AMPH has a Debt to FCF ratio of 5.49. This is amongst the best in the industry. AMPH outperforms 82.20% of its industry peers.
- AMPH has a Debt/Equity ratio of 0.78. This is a neutral value indicating AMPH is somewhat dependend on debt financing.
- The Debt to Equity ratio of AMPH (0.78) is worse than 70.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 5.49 | ||
| Altman-Z | 2.39 |
ROIC/WACC0.95
WACC8.92%
2.3 Liquidity
- A Current Ratio of 3.12 indicates that AMPH has no problem at all paying its short term obligations.
- The Current ratio of AMPH (3.12) is comparable to the rest of the industry.
- AMPH has a Quick Ratio of 2.21. This indicates that AMPH is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.21, AMPH is in line with its industry, outperforming 46.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.12 | ||
| Quick Ratio | 2.21 |
3. Growth
3.1 Past
- The earnings per share for AMPH have decreased by -9.95% in the last year.
- Measured over the past years, AMPH shows a very strong growth in Earnings Per Share. The EPS has been growing by 61.62% on average per year.
- Looking at the last year, AMPH shows a decrease in Revenue. The Revenue has decreased by -0.03% in the last year.
- Measured over the past years, AMPH shows a quite strong growth in Revenue. The Revenue has been growing by 17.82% on average per year.
EPS 1Y (TTM)-9.95%
EPS 3Y41.58%
EPS 5Y61.62%
EPS Q2Q%-3.12%
Revenue 1Y (TTM)-0.03%
Revenue growth 3Y18.69%
Revenue growth 5Y17.82%
Sales Q2Q%0.33%
3.2 Future
- The Earnings Per Share is expected to grow by 0.14% on average over the next years.
- The Revenue is expected to grow by 4.14% on average over the next years.
EPS Next Y-8.73%
EPS Next 2Y-1.7%
EPS Next 3Y1.28%
EPS Next 5Y0.14%
Revenue Next Year-0.8%
Revenue Next 2Y1.99%
Revenue Next 3Y2.7%
Revenue Next 5Y4.14%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 7.53, the valuation of AMPH can be described as very cheap.
- 93.19% of the companies in the same industry are more expensive than AMPH, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.21. AMPH is valued rather cheaply when compared to this.
- With a Price/Forward Earnings ratio of 6.95, the valuation of AMPH can be described as very cheap.
- Based on the Price/Forward Earnings ratio, AMPH is valued cheaply inside the industry as 92.67% of the companies are valued more expensively.
- AMPH is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.26, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.53 | ||
| Fwd PE | 6.95 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, AMPH is valued cheaply inside the industry as 91.62% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of AMPH indicates a rather cheap valuation: AMPH is cheaper than 90.58% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.73 | ||
| EV/EBITDA | 7.27 |
4.3 Compensation for Growth
- The excellent profitability rating of AMPH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.12
EPS Next 2Y-1.7%
EPS Next 3Y1.28%
5. Dividend
5.1 Amount
- No dividends for AMPH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
AMPHASTAR PHARMACEUTICALS IN / AMPH FAQ
What is the fundamental rating for AMPH stock?
ChartMill assigns a fundamental rating of 6 / 10 to AMPH.
What is the valuation status of AMPHASTAR PHARMACEUTICALS IN (AMPH) stock?
ChartMill assigns a valuation rating of 8 / 10 to AMPHASTAR PHARMACEUTICALS IN (AMPH). This can be considered as Undervalued.
Can you provide the profitability details for AMPHASTAR PHARMACEUTICALS IN?
AMPHASTAR PHARMACEUTICALS IN (AMPH) has a profitability rating of 9 / 10.
What is the valuation of AMPHASTAR PHARMACEUTICALS IN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AMPHASTAR PHARMACEUTICALS IN (AMPH) is 7.53 and the Price/Book (PB) ratio is 1.53.