CATALYST PHARMACEUTICALS INC (CPRX) Stock Fundamental Analysis
NASDAQ:CPRX - Nasdaq - US14888U1016 - Common Stock - Currency: USD
Overall CPRX gets a fundamental rating of 8 out of 10. We evaluated CPRX against 557 industry peers in the Biotechnology industry. CPRX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CPRX has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! This makes CPRX very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year CPRX was profitable.
CPRX had a positive operating cash flow in the past year.
Each year in the past 5 years CPRX has been profitable.
CPRX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 21.71%, CPRX belongs to the best of the industry, outperforming 97.85% of the companies in the same industry.
With an excellent Return On Equity value of 24.85%, CPRX belongs to the best of the industry, outperforming 97.13% of the companies in the same industry.
CPRX has a Return On Invested Capital of 21.96%. This is amongst the best in the industry. CPRX outperforms 97.85% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CPRX is significantly above the industry average of 14.78%.
The last Return On Invested Capital (21.96%) for CPRX is above the 3 year average (20.37%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.71% | ||
| ROE | 24.85% | ||
| ROIC | 21.96% |
ROA(3y)18.85%
ROA(5y)22.43%
ROE(3y)22.87%
ROE(5y)26.38%
ROIC(3y)20.37%
ROIC(5y)19.67%
1.3 Margins
CPRX has a better Profit Margin (36.91%) than 97.67% of its industry peers.
CPRX's Profit Margin has been stable in the last couple of years.
The Operating Margin of CPRX (43.27%) is better than 99.46% of its industry peers.
CPRX's Operating Margin has improved in the last couple of years.
The Gross Margin of CPRX (86.11%) is better than 89.41% of its industry peers.
CPRX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.27% | ||
| PM (TTM) | 36.91% | ||
| GM | 86.11% |
OM growth 3Y2.16%
OM growth 5Y5%
PM growth 3Y5.91%
PM growth 5Y1.34%
GM growth 3Y0.61%
GM growth 5Y0.11%
2. Health
2.1 Basic Checks
CPRX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, CPRX has more shares outstanding
CPRX has more shares outstanding than it did 5 years ago.
CPRX 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
CPRX has an Altman-Z score of 16.67. This indicates that CPRX is financially healthy and has little risk of bankruptcy at the moment.
CPRX has a Altman-Z score of 16.67. This is amongst the best in the industry. CPRX outperforms 91.92% of its industry peers.
There is no outstanding debt for CPRX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.67 |
ROIC/WACC2.26
WACC9.71%
2.3 Liquidity
A Current Ratio of 6.14 indicates that CPRX has no problem at all paying its short term obligations.
CPRX has a better Current ratio (6.14) than 62.12% of its industry peers.
CPRX has a Quick Ratio of 5.96. This indicates that CPRX is financially healthy and has no problem in meeting its short term obligations.
CPRX has a Quick ratio of 5.96. This is in the better half of the industry: CPRX outperforms 62.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.14 | ||
| Quick Ratio | 5.96 |
3. Growth
3.1 Past
CPRX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 112.16%, which is quite impressive.
CPRX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 34.29% yearly.
The Revenue has grown by 29.96% in the past year. This is a very strong growth!
CPRX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 36.89% yearly.
EPS 1Y (TTM)112.16%
EPS 3Y52.41%
EPS 5Y34.29%
EPS Q2Q%136.84%
Revenue 1Y (TTM)29.96%
Revenue growth 3Y51.72%
Revenue growth 5Y36.89%
Sales Q2Q%43.56%
3.2 Future
CPRX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 29.40% yearly.
CPRX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.18% yearly.
EPS Next Y13.68%
EPS Next 2Y14.77%
EPS Next 3Y13.44%
EPS Next 5Y29.4%
Revenue Next Year15.89%
Revenue Next 2Y12.29%
Revenue Next 3Y12.18%
Revenue Next 5Y12.18%
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 stable.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.89, the valuation of CPRX can be described as correct.
Based on the Price/Earnings ratio, CPRX is valued cheaply inside the industry as 96.05% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.30, CPRX is valued a bit cheaper.
The Price/Forward Earnings ratio is 12.64, which indicates a correct valuation of CPRX.
CPRX's Price/Forward Earnings ratio is rather cheap when compared to the industry. CPRX is cheaper than 95.51% of the companies in the same industry.
CPRX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 12.64 |
4.2 Price Multiples
98.20% of the companies in the same industry are more expensive than CPRX, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CPRX is valued cheaply inside the industry as 97.13% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.94 | ||
| EV/EBITDA | 7.74 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of CPRX may justify a higher PE ratio.
CPRX's earnings are expected to grow with 13.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.02
PEG (5Y)0.41
EPS Next 2Y14.77%
EPS Next 3Y13.44%
5. Dividend
5.1 Amount
CPRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
21.81
-0.04 (-0.18%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners82.81%
Inst Owner Change0.61%
Ins Owners5.57%
Ins Owner Change-0.55%
Market Cap2.66B
Analysts88.57
Price Target34.68 (59.01%)
Short Float %6.76%
Short Ratio6.59
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)2
Avg EPS beat(2)28.58%
Min EPS beat(2)27.41%
Max EPS beat(2)29.76%
EPS beat(4)4
Avg EPS beat(4)23.15%
Min EPS beat(4)12.87%
Max EPS beat(4)29.76%
EPS beat(8)8
Avg EPS beat(8)20.71%
EPS beat(12)11
Avg EPS beat(12)13.76%
EPS beat(16)12
Avg EPS beat(16)8.39%
Revenue beat(2)2
Avg Revenue beat(2)4.52%
Min Revenue beat(2)3.61%
Max Revenue beat(2)5.44%
Revenue beat(4)4
Avg Revenue beat(4)4.7%
Min Revenue beat(4)2.23%
Max Revenue beat(4)7.55%
Revenue beat(8)7
Avg Revenue beat(8)3.29%
Revenue beat(12)11
Avg Revenue beat(12)3.49%
Revenue beat(16)13
Avg Revenue beat(16)3.39%
PT rev (1m)0%
PT rev (3m)0.37%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.21%
EPS NY rev (1m)0%
EPS NY rev (3m)3.34%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 12.64 | ||
| P/S | 4.98 | ||
| P/FCF | 9.94 | ||
| P/OCF | 9.93 | ||
| P/B | 3.35 | ||
| P/tB | 4.11 | ||
| EV/EBITDA | 7.74 |
EPS(TTM)1.57
EY7.2%
EPS(NY)1.73
Fwd EY7.91%
FCF(TTM)2.19
FCFY10.06%
OCF(TTM)2.2
OCFY10.07%
SpS4.38
BVpS6.51
TBVpS5.3
PEG (NY)1.02
PEG (5Y)0.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.71% | ||
| ROE | 24.85% | ||
| ROCE | 29.02% | ||
| ROIC | 21.96% | ||
| ROICexc | 80.84% | ||
| ROICexgc | 252.85% | ||
| OM | 43.27% | ||
| PM (TTM) | 36.91% | ||
| GM | 86.11% | ||
| FCFM | 50.05% |
ROA(3y)18.85%
ROA(5y)22.43%
ROE(3y)22.87%
ROE(5y)26.38%
ROIC(3y)20.37%
ROIC(5y)19.67%
ROICexc(3y)162.63%
ROICexc(5y)159.51%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)26.92%
ROCE(5y)25.99%
ROICexcg growth 3Y8.72%
ROICexcg growth 5YN/A
ROICexc growth 3Y-30.16%
ROICexc growth 5YN/A
OM growth 3Y2.16%
OM growth 5Y5%
PM growth 3Y5.91%
PM growth 5Y1.34%
GM growth 3Y0.61%
GM growth 5Y0.11%
F-Score6
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 0.94% | ||
| Cap/Sales | 0.07% | ||
| Interest Coverage | 161.46 | ||
| Cash Conversion | 99.54% | ||
| Profit Quality | 135.58% | ||
| Current Ratio | 6.14 | ||
| Quick Ratio | 5.96 | ||
| Altman-Z | 16.67 |
F-Score6
WACC9.71%
ROIC/WACC2.26
Cap/Depr(3y)0.72%
Cap/Depr(5y)100.44%
Cap/Sales(3y)0.06%
Cap/Sales(5y)0.18%
Profit Quality(3y)162.12%
Profit Quality(5y)139.35%
High Growth Momentum
Growth
EPS 1Y (TTM)112.16%
EPS 3Y52.41%
EPS 5Y34.29%
EPS Q2Q%136.84%
EPS Next Y13.68%
EPS Next 2Y14.77%
EPS Next 3Y13.44%
EPS Next 5Y29.4%
Revenue 1Y (TTM)29.96%
Revenue growth 3Y51.72%
Revenue growth 5Y36.89%
Sales Q2Q%43.56%
Revenue Next Year15.89%
Revenue Next 2Y12.29%
Revenue Next 3Y12.18%
Revenue Next 5Y12.18%
EBIT growth 1Y195.42%
EBIT growth 3Y55%
EBIT growth 5Y43.74%
EBIT Next Year19.29%
EBIT Next 3Y19.23%
EBIT Next 5YN/A
FCF growth 1Y123.91%
FCF growth 3Y59.11%
FCF growth 5Y47.22%
OCF growth 1Y124.02%
OCF growth 3Y58.35%
OCF growth 5Y47.28%