BAUSCH HEALTH COS INC (BHC.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:BHC - CA0717341071 - Common Stock
10.33 CAD
-0.47 (-4.35%)
We assign a fundamental rating of 4 out of 10 to BHC. BHC was compared to 35 industry peers in the Pharmaceuticals industry. While BHC is still in line with the averages on profitability rating, there are concerns on its financial health. BHC has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
BHC had positive earnings in the past year.
In the past year BHC had a positive cash flow from operations.
In the past 5 years BHC always reported negative net income.
BHC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
BHC has a Return On Assets of 1.35%. This is in the better half of the industry: BHC outperforms 72.73% of its industry peers.
BHC has a better Return On Invested Capital (6.78%) than 84.85% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BHC is below the industry average of 8.45%.
The 3 year average ROIC (5.45%) for BHC is below the current ROIC(6.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | N/A | ||
| ROIC | 6.78% |
ROA(3y)-1.07%
ROA(5y)-1.65%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.45%
ROIC(5y)4.93%
1.3 Margins
Looking at the Profit Margin, with a value of 3.61%, BHC is in the better half of the industry, outperforming 75.76% of the companies in the same industry.
With an excellent Operating Margin value of 20.68%, BHC belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
BHC's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 70.67%, BHC belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
In the last couple of years the Gross Margin of BHC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.68% | ||
| PM (TTM) | 3.61% | ||
| GM | 70.67% |
OM growth 3Y1.02%
OM growth 5Y4.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.24%
GM growth 5Y-0.44%
2. Health
2.1 Basic Checks
BHC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
BHC has more shares outstanding than it did 1 year ago.
BHC has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BHC has been reduced compared to a year ago.
2.2 Solvency
BHC has an Altman-Z score of 0.26. This is a bad value and indicates that BHC is not financially healthy and even has some risk of bankruptcy.
BHC's Altman-Z score of 0.26 is fine compared to the rest of the industry. BHC outperforms 60.61% of its industry peers.
BHC has a debt to FCF ratio of 19.41. This is a negative value and a sign of low solvency as BHC would need 19.41 years to pay back of all of its debts.
BHC has a Debt to FCF ratio of 19.41. This is in the better half of the industry: BHC outperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 19.41 | ||
| Altman-Z | 0.26 |
ROIC/WACC0.99
WACC6.86%
2.3 Liquidity
BHC has a Current Ratio of 1.30. This is a normal value and indicates that BHC is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.30, BHC is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
BHC has a Quick Ratio of 1.30. This is a bad value and indicates that BHC is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.97, BHC is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
BHC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.33%.
BHC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.91% yearly.
The Revenue has been growing slightly by 5.86% in the past year.
Measured over the past years, BHC shows a small growth in Revenue. The Revenue has been growing by 2.28% on average per year.
EPS 1Y (TTM)1.33%
EPS 3Y-5.37%
EPS 5Y-2.91%
EPS Q2Q%2.65%
Revenue 1Y (TTM)5.86%
Revenue growth 3Y4.5%
Revenue growth 5Y2.28%
Sales Q2Q%6.81%
3.2 Future
BHC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -3.58% yearly.
BHC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.40% yearly.
EPS Next Y5.32%
EPS Next 2Y6.63%
EPS Next 3Y-1.71%
EPS Next 5Y-3.58%
Revenue Next Year6.13%
Revenue Next 2Y5.11%
Revenue Next 3Y3.03%
Revenue Next 5Y-0.4%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 1.95, the valuation of BHC can be described as very cheap.
BHC's Price/Earnings ratio is rather cheap when compared to the industry. BHC is cheaper than 96.97% of the companies in the same industry.
BHC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.19.
With a Price/Forward Earnings ratio of 1.74, the valuation of BHC can be described as very cheap.
Based on the Price/Forward Earnings ratio, BHC is valued cheaply inside the industry as 96.97% of the companies are valued more expensively.
BHC is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.95 | ||
| Fwd PE | 1.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BHC is valued a bit cheaper than the industry average as 78.79% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BHC is valued cheaply inside the industry as 96.97% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.55 | ||
| EV/EBITDA | 6.82 |
4.3 Compensation for Growth
BHC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of BHC may justify a higher PE ratio.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y6.63%
EPS Next 3Y-1.71%
5. Dividend
5.1 Amount
BHC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX:BHC (1/9/2026, 7:00:00 PM)
10.33
-0.47 (-4.35%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners45.78%
Inst Owner ChangeN/A
Ins Owners10.79%
Ins Owner ChangeN/A
Market Cap3.83B
Revenue(TTM)10.03B
Net Income(TTM)362.00M
Analysts48.89
Price Target10.2 (-1.26%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)1
Avg EPS beat(2)-2.24%
Min EPS beat(2)-7.07%
Max EPS beat(2)2.59%
EPS beat(4)1
Avg EPS beat(4)-8.49%
Min EPS beat(4)-25.13%
Max EPS beat(4)2.59%
EPS beat(8)4
Avg EPS beat(8)-3.92%
EPS beat(12)7
Avg EPS beat(12)-2.32%
EPS beat(16)8
Avg EPS beat(16)-5.93%
Revenue beat(2)2
Avg Revenue beat(2)0.5%
Min Revenue beat(2)0.36%
Max Revenue beat(2)0.64%
Revenue beat(4)3
Avg Revenue beat(4)-0.05%
Min Revenue beat(4)-1.57%
Max Revenue beat(4)0.64%
Revenue beat(8)6
Avg Revenue beat(8)0.85%
Revenue beat(12)9
Avg Revenue beat(12)1.1%
Revenue beat(16)9
Avg Revenue beat(16)-0.08%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)0%
EPS NY rev (3m)0.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.95 | ||
| Fwd PE | 1.74 | ||
| P/S | 0.28 | ||
| P/FCF | 2.55 | ||
| P/OCF | 1.83 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.82 |
EPS(TTM)5.3
EY51.31%
EPS(NY)5.95
Fwd EY57.61%
FCF(TTM)4.06
FCFY39.28%
OCF(TTM)5.64
OCFY54.58%
SpS37.55
BVpS-2.12
TBVpS-62.45
PEG (NY)0.37
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | N/A | ||
| ROCE | 9.41% | ||
| ROIC | 6.78% | ||
| ROICexc | 7.21% | ||
| ROICexgc | 32.42% | ||
| OM | 20.68% | ||
| PM (TTM) | 3.61% | ||
| GM | 70.67% | ||
| FCFM | 10.81% |
ROA(3y)-1.07%
ROA(5y)-1.65%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.45%
ROIC(5y)4.93%
ROICexc(3y)5.7%
ROICexc(5y)5.13%
ROICexgc(3y)40.1%
ROICexgc(5y)34.22%
ROCE(3y)7.57%
ROCE(5y)6.85%
ROICexgc growth 3Y34.27%
ROICexgc growth 5Y-5.74%
ROICexc growth 3Y14.02%
ROICexc growth 5Y12.75%
OM growth 3Y1.02%
OM growth 5Y4.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.24%
GM growth 5Y-0.44%
F-Score7
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 19.41 | ||
| Debt/EBITDA | 6.2 | ||
| Cap/Depr | 34.45% | ||
| Cap/Sales | 4.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.65% | ||
| Profit Quality | 299.45% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 0.26 |
F-Score7
WACC6.86%
ROIC/WACC0.99
Cap/Depr(3y)22.53%
Cap/Depr(5y)20.55%
Cap/Sales(3y)3.31%
Cap/Sales(5y)3.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.33%
EPS 3Y-5.37%
EPS 5Y-2.91%
EPS Q2Q%2.65%
EPS Next Y5.32%
EPS Next 2Y6.63%
EPS Next 3Y-1.71%
EPS Next 5Y-3.58%
Revenue 1Y (TTM)5.86%
Revenue growth 3Y4.5%
Revenue growth 5Y2.28%
Sales Q2Q%6.81%
Revenue Next Year6.13%
Revenue Next 2Y5.11%
Revenue Next 3Y3.03%
Revenue Next 5Y-0.4%
EBIT growth 1Y18.58%
EBIT growth 3Y5.56%
EBIT growth 5Y6.8%
EBIT Next Year16.54%
EBIT Next 3Y4.34%
EBIT Next 5Y-1.3%
FCF growth 1Y21.39%
FCF growth 3Y3.22%
FCF growth 5Y0.55%
OCF growth 1Y34.83%
OCF growth 3Y3.85%
OCF growth 5Y1.25%
BAUSCH HEALTH COS INC / BHC.CA FAQ
What is the ChartMill fundamental rating of BAUSCH HEALTH COS INC (BHC.CA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to BHC.CA.
Can you provide the valuation status for BAUSCH HEALTH COS INC?
ChartMill assigns a valuation rating of 9 / 10 to BAUSCH HEALTH COS INC (BHC.CA). This can be considered as Undervalued.
Can you provide the profitability details for BAUSCH HEALTH COS INC?
BAUSCH HEALTH COS INC (BHC.CA) has a profitability rating of 6 / 10.
Can you provide the financial health for BHC stock?
The financial health rating of BAUSCH HEALTH COS INC (BHC.CA) is 2 / 10.