AMNEAL PHARMACEUTICALS INC (AMRX) Stock Fundamental Analysis
NASDAQ:AMRX - Nasdaq - US03168L1052 - Common Stock - Currency: USD
Taking everything into account, AMRX scores 4 out of 10 in our fundamental rating. AMRX was compared to 195 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of AMRX while its profitability can be described as average. AMRX is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
AMRX had positive earnings in the past year.
AMRX had a positive operating cash flow in the past year.
In multiple years AMRX reported negative net income over the last 5 years.
Of the past 5 years AMRX 4 years had a positive operating cash flow.
1.2 Ratios
AMRX's Return On Assets of -2.42% is amongst the best of the industry. AMRX outperforms 80.11% of its industry peers.
Looking at the Return On Equity, with a value of -424.61%, AMRX is doing worse than 80.65% of the companies in the same industry.
With an excellent Return On Invested Capital value of 6.72%, AMRX belongs to the best of the industry, outperforming 85.48% of the companies in the same industry.
AMRX had an Average Return On Invested Capital over the past 3 years of 6.02%. This is significantly below the industry average of 44.00%.
The last Return On Invested Capital (6.72%) for AMRX is above the 3 year average (6.02%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.42% | ||
| ROE | -424.61% | ||
| ROIC | 6.72% |
ROA(3y)-1.86%
ROA(5y)-2.63%
ROE(3y)-155.07%
ROE(5y)-118.24%
ROIC(3y)6.02%
ROIC(5y)N/A
1.3 Margins
AMRX has a Operating Margin of 9.97%. This is amongst the best in the industry. AMRX outperforms 82.26% of its industry peers.
AMRX's Operating Margin has declined in the last couple of years.
AMRX's Gross Margin of 34.28% is in line compared to the rest of the industry. AMRX outperforms 56.45% of its industry peers.
In the last couple of years the Gross Margin of AMRX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.97% | ||
| PM (TTM) | N/A | ||
| GM | 34.28% |
OM growth 3Y16.23%
OM growth 5Y-7.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-3.88%
2. Health
2.1 Basic Checks
AMRX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
AMRX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
AMRX has an Altman-Z score of 1.34. This is a bad value and indicates that AMRX is not financially healthy and even has some risk of bankruptcy.
AMRX has a better Altman-Z score (1.34) than 61.29% of its industry peers.
AMRX has a debt to FCF ratio of 9.77. This is a negative value and a sign of low solvency as AMRX would need 9.77 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 9.77, AMRX belongs to the top of the industry, outperforming 82.26% of the companies in the same industry.
AMRX has a Debt/Equity ratio of 134.73. This is a high value indicating a heavy dependency on external financing.
AMRX has a worse Debt to Equity ratio (134.73) than 87.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 134.73 | ||
| Debt/FCF | 9.77 | ||
| Altman-Z | 1.34 |
ROIC/WACC0.7
WACC9.55%
2.3 Liquidity
A Current Ratio of 1.63 indicates that AMRX should not have too much problems paying its short term obligations.
AMRX's Current ratio of 1.63 is on the low side compared to the rest of the industry. AMRX is outperformed by 67.74% of its industry peers.
A Quick Ratio of 0.94 indicates that AMRX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.94, AMRX is doing worse than 82.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
The earnings per share for AMRX have decreased strongly by -17.81% in the last year.
The Earnings Per Share has been growing by 11.38% on average over the past years. This is quite good.
EPS 1Y (TTM)-17.81%
EPS 3Y-10.61%
EPS 5Y11.38%
EPS Q2Q%-15.79%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%13.29%
3.2 Future
Based on estimates for the next years, AMRX will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.20% on average per year.
AMRX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.59% yearly.
EPS Next Y23.55%
EPS Next 2Y17.1%
EPS Next 3Y12.16%
EPS Next 5Y11.2%
Revenue Next Year3.89%
Revenue Next 2Y3.44%
Revenue Next 3Y-1.01%
Revenue Next 5Y0.59%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.32 indicates a correct valuation of AMRX.
AMRX's Price/Earnings ratio is rather cheap when compared to the industry. AMRX is cheaper than 90.32% of the companies in the same industry.
AMRX is valuated cheaply when we compare the Price/Earnings ratio to 28.47, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.78, the valuation of AMRX can be described as reasonable.
Based on the Price/Forward Earnings ratio, AMRX is valued cheaper than 87.63% of the companies in the same industry.
AMRX is valuated cheaply when we compare the Price/Forward Earnings ratio to 92.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.32 | ||
| Fwd PE | 10.78 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AMRX is valued cheaper than 85.48% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AMRX is valued cheaply inside the industry as 93.01% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.95 | ||
| EV/EBITDA | 10.6 |
4.3 Compensation for Growth
AMRX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AMRX's earnings are expected to grow with 12.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.57
PEG (5Y)1.17
EPS Next 2Y17.1%
EPS Next 3Y12.16%
5. Dividend
5.1 Amount
No dividends for AMRX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
AMNEAL PHARMACEUTICALS INC
NASDAQ:AMRX (2/4/2025, 8:26:31 PM)
After market: 7.99 0 (0%)7.99
-0.19 (-2.32%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners39.89%
Inst Owner Change-0.13%
Ins Owners52.72%
Ins Owner Change-1.31%
Market Cap2.47B
Analysts80
Price Target11.22 (40.43%)
Short Float %2.17%
Short Ratio2.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.54%
Min EPS beat(2)46.9%
Max EPS beat(2)52.17%
EPS beat(4)4
Avg EPS beat(4)49.34%
Min EPS beat(4)22.55%
Max EPS beat(4)75.73%
EPS beat(8)5
Avg EPS beat(8)21.2%
EPS beat(12)8
Avg EPS beat(12)16.97%
EPS beat(16)12
Avg EPS beat(16)24.15%
Revenue beat(2)1
Avg Revenue beat(2)-1.25%
Min Revenue beat(2)-4.63%
Max Revenue beat(2)2.12%
Revenue beat(4)3
Avg Revenue beat(4)0.77%
Min Revenue beat(4)-4.63%
Max Revenue beat(4)3.87%
Revenue beat(8)5
Avg Revenue beat(8)0.05%
Revenue beat(12)6
Avg Revenue beat(12)-1.01%
Revenue beat(16)8
Avg Revenue beat(16)0.08%
PT rev (1m)0%
PT rev (3m)6.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0.41%
EPS NY rev (3m)2.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.32 | ||
| Fwd PE | 10.78 | ||
| P/S | 1.03 | ||
| P/FCF | 8.95 | ||
| P/OCF | 7.16 | ||
| P/B | 125.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.6 |
EPS(TTM)0.6
EY7.51%
EPS(NY)0.74
Fwd EY9.28%
FCF(TTM)0.89
FCFY11.18%
OCF(TTM)1.12
OCFY13.97%
SpS7.73
BVpS0.06
TBVpS-4.75
PEG (NY)0.57
PEG (5Y)1.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.42% | ||
| ROE | -424.61% | ||
| ROCE | 9.09% | ||
| ROIC | 6.72% | ||
| ROICexc | 6.95% | ||
| ROICexgc | 15.4% | ||
| OM | 9.97% | ||
| PM (TTM) | N/A | ||
| GM | 34.28% | ||
| FCFM | 11.55% |
ROA(3y)-1.86%
ROA(5y)-2.63%
ROE(3y)-155.07%
ROE(5y)-118.24%
ROIC(3y)6.02%
ROIC(5y)N/A
ROICexc(3y)6.26%
ROICexc(5y)N/A
ROICexgc(3y)14.24%
ROICexgc(5y)N/A
ROCE(3y)7.88%
ROCE(5y)N/A
ROICexcg growth 3Y21.37%
ROICexcg growth 5Y3.49%
ROICexc growth 3Y27.59%
ROICexc growth 5Y5%
OM growth 3Y16.23%
OM growth 5Y-7.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-3.88%
F-Score4
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 134.73 | ||
| Debt/FCF | 9.77 | ||
| Debt/EBITDA | 5.69 | ||
| Cap/Depr | 30.16% | ||
| Cap/Sales | 2.89% | ||
| Interest Coverage | 1.24 | ||
| Cash Conversion | 73.82% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 1.34 |
F-Score4
WACC9.55%
ROIC/WACC0.7
Cap/Depr(3y)30.14%
Cap/Depr(5y)33.11%
Cap/Sales(3y)3.17%
Cap/Sales(5y)3.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.81%
EPS 3Y-10.61%
EPS 5Y11.38%
EPS Q2Q%-15.79%
EPS Next Y23.55%
EPS Next 2Y17.1%
EPS Next 3Y12.16%
EPS Next 5Y11.2%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%13.29%
Revenue Next Year3.89%
Revenue Next 2Y3.44%
Revenue Next 3Y-1.01%
Revenue Next 5Y0.59%
EBIT growth 1Y19.79%
EBIT growth 3Y23.56%
EBIT growth 5Y-0.69%
EBIT Next Year23.1%
EBIT Next 3Y10.28%
EBIT Next 5Y6.36%
FCF growth 1Y1184.09%
FCF growth 3Y-4.04%
FCF growth 5Y12.54%
OCF growth 1Y430.84%
OCF growth 3Y-3.03%
OCF growth 5Y6.67%