BAUSCH HEALTH COS INC (BHC) Fundamental Analysis & Valuation
NYSE:BHC • CA0717341071
5.57 USD
-0.06 (-1.07%)
At close: Mar 5, 2026
5.57 USD
0 (0%)
After Hours: 3/5/2026, 7:00:00 PM
This BHC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
We assign a fundamental rating of 4 out of 10 to BHC. BHC was compared to 193 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 is valued quite cheap, but it does not seem to be growing.
1. BHC Profitability Analysis
1.1 Basic Checks
- In the past year BHC was profitable.
- In the past year BHC had a positive cash flow from operations.
- In the past 5 years BHC reported 4 times negative net income.
- Of the past 5 years BHC 4 years had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 0.60%, BHC belongs to the best of the industry, outperforming 80.31% of the companies in the same industry.
- BHC's Return On Invested Capital of 7.78% is amongst the best of the industry. BHC outperforms 87.56% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for BHC is significantly below the industry average of 12.88%.
- The 3 year average ROIC (6.89%) for BHC is below the current ROIC(7.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.6% | ||
| ROE | N/A | ||
| ROIC | 7.78% |
ROA(3y)-0.58%
ROA(5y)-1.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.89%
ROIC(5y)6.18%
1.3 Margins
- The Profit Margin of BHC (1.53%) is better than 80.31% of its industry peers.
- BHC's Operating Margin of 21.28% is amongst the best of the industry. BHC outperforms 88.60% of its industry peers.
- In the last couple of years the Operating Margin of BHC has grown nicely.
- Looking at the Gross Margin, with a value of 70.65%, BHC is in the better half of the industry, outperforming 78.24% 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 | 21.28% | ||
| PM (TTM) | 1.53% | ||
| GM | 70.65% |
OM growth 3Y7.55%
OM growth 5Y5.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.12%
GM growth 5Y-0.37%
2. BHC Health Analysis
2.1 Basic Checks
- BHC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some 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 0.29. This is a bad value and indicates that BHC is not financially healthy and even has some risk of bankruptcy.
- The Altman-Z score of BHC (0.29) is comparable to the rest of the industry.
- The Debt to FCF ratio of BHC is 21.00, which is on the high side as it means it would take BHC, 21.00 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of BHC (21.00) is better than 77.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 21 | ||
| Altman-Z | 0.29 |
ROIC/WACC1.19
WACC6.53%
2.3 Liquidity
- A Current Ratio of 1.47 indicates that BHC should not have too much problems paying its short term obligations.
- The Current ratio of BHC (1.47) is worse than 70.98% of its industry peers.
- A Quick Ratio of 1.08 indicates that BHC should not have too much problems paying its short term obligations.
- BHC has a worse Quick ratio (1.08) than 75.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.08 |
3. BHC Growth Analysis
3.1 Past
- BHC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
- The Earnings Per Share has been decreasing by -1.13% on average over the past years.
- BHC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.66%.
- Measured over the past years, BHC shows a small growth in Revenue. The Revenue has been growing by 5.04% on average per year.
EPS 1Y (TTM)0%
EPS 3Y6.97%
EPS 5Y-1.13%
EPS Q2Q%-4.35%
Revenue 1Y (TTM)6.66%
Revenue growth 3Y8.11%
Revenue growth 5Y5.04%
Sales Q2Q%9.26%
3.2 Future
- Based on estimates for the next years, BHC will show a decrease in Earnings Per Share. The EPS will decrease by -2.02% on average per year.
- BHC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.38% yearly.
EPS Next Y13.77%
EPS Next 2Y-2.55%
EPS Next 3Y-7.27%
EPS Next 5Y-2.02%
Revenue Next Year4.23%
Revenue Next 2Y2%
Revenue Next 3Y-2.31%
Revenue Next 5Y-1.38%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. BHC Valuation Analysis
4.1 Price/Earnings Ratio
- BHC is valuated cheaply with a Price/Earnings ratio of 1.48.
- BHC's Price/Earnings ratio is rather cheap when compared to the industry. BHC is cheaper than 99.48% of the companies in the same industry.
- When comparing the Price/Earnings ratio of BHC to the average of the S&P500 Index (26.74), we can say BHC is valued rather cheaply.
- BHC is valuated cheaply with a Price/Forward Earnings ratio of 1.30.
- BHC's Price/Forward Earnings ratio is rather cheap when compared to the industry. BHC is cheaper than 98.96% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.82, BHC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.48 | ||
| Fwd PE | 1.3 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BHC indicates a rather cheap valuation: BHC is cheaper than 94.82% of the companies listed in the same industry.
- BHC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BHC is cheaper than 99.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.08 | ||
| EV/EBITDA | 6.37 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- BHC has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as BHC's earnings are expected to decrease with -7.27% in the coming years.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y-2.55%
EPS Next 3Y-7.27%
5. BHC Dividend Analysis
5.1 Amount
- BHC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BHC Fundamentals: All Metrics, Ratios and Statistics
5.57
-0.06 (-1.07%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-20 2026-02-20/amc
Earnings (Next)04-28 2026-04-28
Inst Owners45.78%
Inst Owner Change-1.85%
Ins Owners10.79%
Ins Owner Change21.29%
Market Cap2.07B
Revenue(TTM)10.27B
Net Income(TTM)157.00M
Analysts48.89
Price Target7.43 (33.39%)
Short Float %1.72%
Short Ratio2.44
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)-5.64%
Min EPS beat(2)-13.87%
Max EPS beat(2)2.59%
EPS beat(4)1
Avg EPS beat(4)-10.87%
Min EPS beat(4)-25.13%
Max EPS beat(4)2.59%
EPS beat(8)3
Avg EPS beat(8)-7.33%
EPS beat(12)6
Avg EPS beat(12)-4.52%
EPS beat(16)7
Avg EPS beat(16)-7.67%
Revenue beat(2)2
Avg Revenue beat(2)1.43%
Min Revenue beat(2)0.64%
Max Revenue beat(2)2.23%
Revenue beat(4)3
Avg Revenue beat(4)0.41%
Min Revenue beat(4)-1.57%
Max Revenue beat(4)2.23%
Revenue beat(8)6
Avg Revenue beat(8)0.66%
Revenue beat(12)9
Avg Revenue beat(12)1.15%
Revenue beat(16)10
Avg Revenue beat(16)0.16%
PT rev (1m)1.04%
PT rev (3m)2.3%
EPS NQ rev (1m)16.33%
EPS NQ rev (3m)16.33%
EPS NY rev (1m)0%
EPS NY rev (3m)0.65%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)-0.25%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.48 | ||
| Fwd PE | 1.3 | ||
| P/S | 0.2 | ||
| P/FCF | 2.08 | ||
| P/OCF | 1.48 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.37 |
EPS(TTM)3.77
EY67.68%
EPS(NY)4.29
Fwd EY77.01%
FCF(TTM)2.68
FCFY48.07%
OCF(TTM)3.78
OCFY67.78%
SpS27.68
BVpS-1.49
TBVpS-44.41
PEG (NY)0.11
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.6% | ||
| ROE | N/A | ||
| ROCE | 9.85% | ||
| ROIC | 7.78% | ||
| ROICexc | 8.27% | ||
| ROICexgc | 34.78% | ||
| OM | 21.28% | ||
| PM (TTM) | 1.53% | ||
| GM | 70.65% | ||
| FCFM | 9.67% |
ROA(3y)-0.58%
ROA(5y)-1.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.89%
ROIC(5y)6.18%
ROICexc(3y)7.29%
ROICexc(5y)6.47%
ROICexgc(3y)46.04%
ROICexgc(5y)39.55%
ROCE(3y)8.72%
ROCE(5y)7.82%
ROICexgc growth 3Y6.69%
ROICexgc growth 5Y7.05%
ROICexc growth 3Y16.83%
ROICexc growth 5Y15.41%
OM growth 3Y7.55%
OM growth 5Y5.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.12%
GM growth 5Y-0.37%
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 21 | ||
| Debt/EBITDA | 6.08 | ||
| Cap/Depr | 33.69% | ||
| Cap/Sales | 3.96% | ||
| Interest Coverage | 1.42 | ||
| Cash Conversion | 41.26% | ||
| Profit Quality | 632.48% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 0.29 |
F-Score6
WACC6.53%
ROIC/WACC1.19
Cap/Depr(3y)27.35%
Cap/Depr(5y)23.9%
Cap/Sales(3y)3.53%
Cap/Sales(5y)3.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y6.97%
EPS 5Y-1.13%
EPS Q2Q%-4.35%
EPS Next Y13.77%
EPS Next 2Y-2.55%
EPS Next 3Y-7.27%
EPS Next 5Y-2.02%
Revenue 1Y (TTM)6.66%
Revenue growth 3Y8.11%
Revenue growth 5Y5.04%
Sales Q2Q%9.26%
Revenue Next Year4.23%
Revenue Next 2Y2%
Revenue Next 3Y-2.31%
Revenue Next 5Y-1.38%
EBIT growth 1Y17.85%
EBIT growth 3Y16.27%
EBIT growth 5Y10.72%
EBIT Next Year33.3%
EBIT Next 3Y-2.01%
EBIT Next 5Y1.07%
FCF growth 1Y-21%
FCF growth 3YN/A
FCF growth 5Y4.37%
OCF growth 1Y-12.34%
OCF growth 3YN/A
OCF growth 5Y4.73%
BAUSCH HEALTH COS INC / BHC FAQ
What is the ChartMill fundamental rating of BAUSCH HEALTH COS INC (BHC) stock?
ChartMill assigns a fundamental rating of 4 / 10 to BHC.
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). This can be considered as Undervalued.
Can you provide the profitability details for BAUSCH HEALTH COS INC?
BAUSCH HEALTH COS INC (BHC) 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) is 3 / 10.