BAUSCH HEALTH COS INC (BHC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BHC - CA0717341071 - Common Stock
6.98 USD
-0.28 (-3.86%)
6.98 USD
0 (0%)
Taking everything into account, BHC scores 4 out of 10 in our fundamental rating. BHC was compared to 192 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. Profitability
1.1 Basic Checks
- In the past year BHC was profitable.
- BHC had a positive operating cash flow in the past year.
- 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
- Looking at the Return On Assets, with a value of 1.35%, BHC is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
- BHC's Return On Invested Capital of 7.44% is amongst the best of the industry. BHC outperforms 84.74% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BHC is significantly below the industry average of 12.84%.
- The last Return On Invested Capital (7.44%) for BHC is above the 3 year average (5.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | N/A | ||
| ROIC | 7.44% |
ROA(3y)-1.07%
ROA(5y)-1.65%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.98%
ROIC(5y)5.41%
1.3 Margins
- Looking at the Profit Margin, with a value of 3.61%, BHC is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
- BHC's Operating Margin of 20.68% is amongst the best of the industry. BHC outperforms 87.37% of its industry peers.
- In the last couple of years the Operating Margin of BHC has grown nicely.
- The Gross Margin of BHC (70.67%) is better than 77.89% of its industry peers.
- BHC's Gross Margin has been stable in the last couple of years.
| 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BHC is creating some value.
- The number of shares outstanding for BHC has been increased compared to 1 year ago.
- Compared to 5 years ago, BHC has more shares outstanding
- BHC has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 0.25, we must say that BHC is in the distress zone and has some risk of bankruptcy.
- BHC has a Altman-Z score (0.25) which is in line with 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.
- The Debt to FCF ratio of BHC (19.41) is better than 76.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 19.41 | ||
| Altman-Z | 0.25 |
ROIC/WACC1.07
WACC6.93%
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.
- BHC has a worse Current ratio (1.30) than 77.37% of its industry peers.
- 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: 78.95% 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%.
- Measured over the past years, BHC shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.91% on average per year.
- 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
- The Earnings Per Share is expected to decrease by -3.58% on average over the next years.
- Based on estimates for the next years, BHC will show a decrease in Revenue. The Revenue will decrease by -0.40% on average per year.
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
- 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. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 1.83, which indicates a rather cheap valuation of BHC.
- BHC's Price/Earnings ratio is rather cheap when compared to the industry. BHC is cheaper than 98.95% of the companies in the same industry.
- BHC is valuated cheaply when we compare the Price/Earnings ratio to 27.47, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 1.63, which indicates a rather cheap valuation of BHC.
- Based on the Price/Forward Earnings ratio, BHC is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, BHC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.83 | ||
| Fwd PE | 1.63 |
4.2 Price Multiples
- BHC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BHC is cheaper than 93.68% of the companies in the same industry.
- BHC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BHC is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.39 | ||
| EV/EBITDA | 6.8 |
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)0.34
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% |
6.98
-0.28 (-3.86%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)10-29 2025-10-29/amc
Earnings (Next)02-17 2026-02-17/amc
Inst Owners45.78%
Inst Owner Change-1.24%
Ins Owners10.79%
Ins Owner Change0.47%
Market Cap2.59B
Revenue(TTM)10.03B
Net Income(TTM)362.00M
Analysts48.89
Price Target7.35 (5.3%)
Short Float %1.97%
Short Ratio2.34
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)1.38%
PT rev (3m)1.14%
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 | 1.83 | ||
| Fwd PE | 1.63 | ||
| P/S | 0.26 | ||
| P/FCF | 2.39 | ||
| P/OCF | 1.72 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.8 |
EPS(TTM)3.82
EY54.73%
EPS(NY)4.29
Fwd EY61.41%
FCF(TTM)2.92
FCFY41.88%
OCF(TTM)4.06
OCFY58.18%
SpS27.04
BVpS-1.52
TBVpS-44.98
PEG (NY)0.34
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | N/A | ||
| ROCE | 9.41% | ||
| ROIC | 7.44% | ||
| ROICexc | 7.91% | ||
| ROICexgc | 35.57% | ||
| 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)5.98%
ROIC(5y)5.41%
ROICexc(3y)6.26%
ROICexc(5y)5.63%
ROICexgc(3y)44%
ROICexgc(5y)37.54%
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 | 0.25 |
F-Score7
WACC6.93%
ROIC/WACC1.07
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 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 2 / 10.