AMPHASTAR PHARMACEUTICALS IN (AMPH) Stock Fundamental Analysis
NASDAQ:AMPH - Nasdaq - US03209R1032 - Common Stock - Currency: USD
Overall AMPH gets a fundamental rating of 6 out of 10. We evaluated AMPH against 197 industry peers in the Pharmaceuticals industry. While AMPH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. AMPH may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make AMPH suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year AMPH was profitable.
AMPH had a positive operating cash flow in the past year.
AMPH had positive earnings in each of the past 5 years.
In the past 5 years AMPH always reported a positive cash flow from operatings.
1.2 Ratios
AMPH's Return On Assets of 10.11% is amongst the best of the industry. AMPH outperforms 93.91% of its industry peers.
With an excellent Return On Equity value of 21.78%, AMPH belongs to the best of the industry, outperforming 93.91% of the companies in the same industry.
AMPH's Return On Invested Capital of 12.13% is amongst the best of the industry. AMPH outperforms 88.83% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMPH is significantly below the industry average of 40.40%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.11% | ||
| ROE | 21.78% | ||
| ROIC | 12.13% |
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
With an excellent Profit Margin value of 21.79%, AMPH belongs to the best of the industry, outperforming 94.42% of the companies in the same industry.
AMPH's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 28.06%, AMPH belongs to the best of the industry, outperforming 93.40% of the companies in the same industry.
AMPH's Operating Margin has improved in the last couple of years.
AMPH has a better Gross Margin (51.08%) than 62.94% of its industry peers.
In the last couple of years the Gross Margin of AMPH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.06% | ||
| PM (TTM) | 21.79% | ||
| GM | 51.08% |
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
AMPH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for AMPH has been reduced compared to 1 year ago.
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 2.46 indicates that AMPH is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of AMPH (2.46) is better than 74.62% of its industry peers.
The Debt to FCF ratio of AMPH is 3.49, which is a good value as it means it would take AMPH, 3.49 years of fcf income to pay off all of its debts.
AMPH's Debt to FCF ratio of 3.49 is amongst the best of the industry. AMPH outperforms 89.34% of its industry peers.
A Debt/Equity ratio of 0.82 indicates that AMPH is somewhat dependend on debt financing.
AMPH's Debt to Equity ratio of 0.82 is on the low side compared to the rest of the industry. AMPH is outperformed by 70.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 2.46 |
ROIC/WACC1.33
WACC9.15%
2.3 Liquidity
AMPH has a Current Ratio of 3.07. This indicates that AMPH is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.07, AMPH is in line with its industry, outperforming 53.81% of the companies in the same industry.
AMPH has a Quick Ratio of 2.19. This indicates that AMPH is financially healthy and has no problem in meeting its short term obligations.
With a Quick ratio value of 2.19, AMPH perfoms like the industry average, outperforming 48.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.07 | ||
| Quick Ratio | 2.19 |
3. Growth
3.1 Past
AMPH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.97%, which is quite good.
AMPH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 61.62% yearly.
AMPH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.59%.
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)16.97%
EPS 3Y41.58%
EPS 5Y61.62%
EPS Q2Q%4.55%
Revenue 1Y (TTM)13.59%
Revenue growth 3Y18.69%
Revenue growth 5Y17.82%
Sales Q2Q%4.73%
3.2 Future
Based on estimates for the next years, AMPH will show a decrease in Earnings Per Share. The EPS will decrease by -0.40% on average per year.
The Revenue is expected to grow by 3.43% on average over the next years.
EPS Next Y-17.6%
EPS Next 2Y-1.34%
EPS Next 3Y1.61%
EPS Next 5Y-0.4%
Revenue Next Year-0.02%
Revenue Next 2Y3.25%
Revenue Next 3Y3.42%
Revenue Next 5Y3.43%
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
AMPH is valuated cheaply with a Price/Earnings ratio of 6.05.
AMPH's Price/Earnings ratio is rather cheap when compared to the industry. AMPH is cheaper than 94.42% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.29. AMPH is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.34, the valuation of AMPH can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMPH indicates a rather cheap valuation: AMPH is cheaper than 93.40% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of AMPH to the average of the S&P500 Index (21.08), we can say AMPH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.05 | ||
| Fwd PE | 7.34 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMPH indicates a rather cheap valuation: AMPH is cheaper than 93.40% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AMPH is valued cheaply inside the industry as 92.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.46 | ||
| EV/EBITDA | 5.42 |
4.3 Compensation for Growth
The excellent profitability rating of AMPH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.1
EPS Next 2Y-1.34%
EPS Next 3Y1.61%
5. Dividend
5.1 Amount
AMPH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.35
+0.36 (+1.57%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners74.42%
Inst Owner Change0%
Ins Owners8.05%
Ins Owner Change1.24%
Market Cap1.11B
Analysts78.33
Price Target37.23 (59.44%)
Short Float %11.21%
Short Ratio7.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.65%
Min EPS beat(2)-4.74%
Max EPS beat(2)-4.55%
EPS beat(4)2
Avg EPS beat(4)4.1%
Min EPS beat(4)-4.74%
Max EPS beat(4)19.17%
EPS beat(8)5
Avg EPS beat(8)14.19%
EPS beat(12)8
Avg EPS beat(12)18.5%
EPS beat(16)11
Avg EPS beat(16)22.73%
Revenue beat(2)0
Avg Revenue beat(2)-3.29%
Min Revenue beat(2)-3.71%
Max Revenue beat(2)-2.87%
Revenue beat(4)1
Avg Revenue beat(4)-1.29%
Min Revenue beat(4)-3.71%
Max Revenue beat(4)4.61%
Revenue beat(8)4
Avg Revenue beat(8)0.25%
Revenue beat(12)7
Avg Revenue beat(12)0.48%
Revenue beat(16)10
Avg Revenue beat(16)1.29%
PT rev (1m)-17.51%
PT rev (3m)-36.8%
EPS NQ rev (1m)-3.38%
EPS NQ rev (3m)-28.03%
EPS NY rev (1m)-14.99%
EPS NY rev (3m)-26.53%
Revenue NQ rev (1m)-0.54%
Revenue NQ rev (3m)-7.5%
Revenue NY rev (1m)-0.44%
Revenue NY rev (3m)-7.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.05 | ||
| Fwd PE | 7.34 | ||
| P/S | 1.52 | ||
| P/FCF | 6.46 | ||
| P/OCF | 5.21 | ||
| P/B | 1.52 | ||
| P/tB | 7.86 | ||
| EV/EBITDA | 5.42 |
EPS(TTM)3.86
EY16.53%
EPS(NY)3.18
Fwd EY13.62%
FCF(TTM)3.62
FCFY15.49%
OCF(TTM)4.48
OCFY19.18%
SpS15.36
BVpS15.37
TBVpS2.97
PEG (NY)N/A
PEG (5Y)0.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.11% | ||
| ROE | 21.78% | ||
| ROCE | 14.63% | ||
| ROIC | 12.13% | ||
| ROICexc | 14.41% | ||
| ROICexgc | 28.79% | ||
| OM | 28.06% | ||
| PM (TTM) | 21.79% | ||
| GM | 51.08% | ||
| FCFM | 23.55% |
ROA(3y)10.51%
ROA(5y)8.2%
ROE(3y)20.19%
ROE(5y)14.97%
ROIC(3y)12.92%
ROIC(5y)10.14%
ROICexc(3y)16.46%
ROICexc(5y)13%
ROICexgc(3y)29.66%
ROICexgc(5y)21.24%
ROCE(3y)15.59%
ROCE(5y)12.24%
ROICexcg growth 3Y24.9%
ROICexcg growth 5YN/A
ROICexc growth 3Y2.33%
ROICexc growth 5YN/A
OM growth 3Y20.68%
OM growth 5YN/A
PM growth 3Y15.39%
PM growth 5Y7.52%
GM growth 3Y3.84%
GM growth 5Y4.54%
F-Score8
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 3.49 | ||
| Debt/EBITDA | 2.29 | ||
| Cap/Depr | 71.74% | ||
| Cap/Sales | 5.61% | ||
| Interest Coverage | 7.66 | ||
| Cash Conversion | 81.25% | ||
| Profit Quality | 108.04% | ||
| Current Ratio | 3.07 | ||
| Quick Ratio | 2.19 | ||
| Altman-Z | 2.46 |
F-Score8
WACC9.15%
ROIC/WACC1.33
Cap/Depr(3y)86.1%
Cap/Depr(5y)106.5%
Cap/Sales(3y)5.45%
Cap/Sales(5y)6.46%
Profit Quality(3y)95%
Profit Quality(5y)414.14%
High Growth Momentum
Growth
EPS 1Y (TTM)16.97%
EPS 3Y41.58%
EPS 5Y61.62%
EPS Q2Q%4.55%
EPS Next Y-17.6%
EPS Next 2Y-1.34%
EPS Next 3Y1.61%
EPS Next 5Y-0.4%
Revenue 1Y (TTM)13.59%
Revenue growth 3Y18.69%
Revenue growth 5Y17.82%
Sales Q2Q%4.73%
Revenue Next Year-0.02%
Revenue Next 2Y3.25%
Revenue Next 3Y3.42%
Revenue Next 5Y3.43%
EBIT growth 1Y4.28%
EBIT growth 3Y43.24%
EBIT growth 5YN/A
EBIT Next Year-2.55%
EBIT Next 3Y6.97%
EBIT Next 5Y5.95%
FCF growth 1Y18.58%
FCF growth 3Y34.69%
FCF growth 5Y286.43%
OCF growth 1Y16.28%
OCF growth 3Y29.62%
OCF growth 5Y38.57%