EAGLE PHARMACEUTICALS INC (EGRX)
US2697961082 - Common Stock
We assign a fundamental rating of 4 out of 10 to EGRX. EGRX was compared to 564 industry peers in the Biotechnology industry. While EGRX has a great profitability rating, there are quite some concerns on its financial health. EGRX is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
EGRX had positive earnings in the past year.
EGRX had a negative operating cash flow in the past year.
Of the past 5 years EGRX 4 years were profitable.
Each year in the past 5 years EGRX had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 2.99%, EGRX belongs to the best of the industry, outperforming 94.01% of the companies in the same industry.
The Return On Equity of EGRX (4.80%) is better than 94.54% of its industry peers.
With an excellent Return On Invested Capital value of 10.53%, EGRX belongs to the best of the industry, outperforming 95.77% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for EGRX is in line with the industry average of 15.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.99% | ||
| ROE | 4.8% | ||
| ROIC | 10.53% |
ROA(3y)3.37%
ROA(5y)5.82%
ROE(3y)5.61%
ROE(5y)8.93%
ROIC(3y)13.59%
ROIC(5y)13.5%
1.3 Margins
EGRX has a better Profit Margin (4.70%) than 94.19% of its industry peers.
EGRX's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 16.47%, EGRX belongs to the best of the industry, outperforming 95.77% of the companies in the same industry.
EGRX's Operating Margin has declined in the last couple of years.
The Gross Margin of EGRX (69.86%) is better than 84.33% of its industry peers.
In the last couple of years the Gross Margin of EGRX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.47% | ||
| PM (TTM) | 4.7% | ||
| GM | 69.86% |
OM growth 3Y42.71%
OM growth 5Y-1.58%
PM growth 3Y15.49%
PM growth 5Y-12.5%
GM growth 3Y0.54%
GM growth 5Y-1.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EGRX is still creating some value.
EGRX has more shares outstanding than it did 1 year ago.
The number of shares outstanding for EGRX has been reduced compared to 5 years ago.
Compared to 1 year ago, EGRX has a worse debt to assets ratio.
2.2 Solvency
EGRX has an Altman-Z score of 1.81. This is not the best score and indicates that EGRX is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of EGRX (1.81) is better than 70.07% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that EGRX is not too dependend on debt financing.
EGRX's Debt to Equity ratio of 0.25 is on the low side compared to the rest of the industry. EGRX is outperformed by 68.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.81 |
ROIC/WACC1.32
WACC7.97%
2.3 Liquidity
A Current Ratio of 2.16 indicates that EGRX has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.16, EGRX is doing worse than 75.35% of the companies in the same industry.
A Quick Ratio of 1.67 indicates that EGRX should not have too much problems paying its short term obligations.
EGRX has a worse Quick ratio (1.67) than 79.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
The earnings per share for EGRX have decreased strongly by -33.52% in the last year.
Measured over the past years, EGRX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.81% on average per year.
Looking at the last year, EGRX shows a decrease in Revenue. The Revenue has decreased by -5.40% in the last year.
EGRX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.99% yearly.
EPS 1Y (TTM)-33.52%
EPS 3Y44.53%
EPS 5Y14.81%
EPS Q2Q%-24.36%
Revenue 1Y (TTM)-5.4%
Revenue growth 3Y17.35%
Revenue growth 5Y5.99%
Sales Q2Q%-12.76%
3.2 Future
The Earnings Per Share is expected to decrease by -11.47% on average over the next years. This is quite bad
Based on estimates for the next years, EGRX will show a small growth in Revenue. The Revenue will grow by 0.24% on average per year.
EPS Next Y-40.26%
EPS Next 2Y-34.69%
EPS Next 3Y-26.94%
EPS Next 5Y-11.47%
Revenue Next Year-19.31%
Revenue Next 2Y-18.72%
Revenue Next 3Y-11.22%
Revenue Next 5Y0.24%
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
EGRX is valuated cheaply with a Price/Earnings ratio of 0.46.
Based on the Price/Earnings ratio, EGRX is valued cheaply inside the industry as 99.82% of the companies are valued more expensively.
EGRX is valuated cheaply when we compare the Price/Earnings ratio to 30.20, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 0.64, the valuation of EGRX can be described as very cheap.
EGRX's Price/Forward Earnings ratio is rather cheap when compared to the industry. EGRX is cheaper than 99.65% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.28, EGRX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.46 | ||
| Fwd PE | 0.64 |
4.2 Price Multiples
EGRX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EGRX is cheaper than 99.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 1.31 |
4.3 Compensation for Growth
The decent profitability rating of EGRX may justify a higher PE ratio.
EGRX's earnings are expected to decrease with -26.94% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.03
EPS Next 2Y-34.69%
EPS Next 3Y-26.94%
5. Dividend
5.1 Amount
EGRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EAGLE PHARMACEUTICALS INC
NASDAQ:EGRX (10/2/2024, 8:06:00 PM)
After market: 2.28 +0.14 (+6.54%)2.14
-1.42 (-39.89%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap27.80M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.46 | ||
| Fwd PE | 0.64 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.99% | ||
| ROE | 4.8% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 16.47% | ||
| PM (TTM) | 4.7% | ||
| GM | 69.86% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-33.52%
EPS 3Y44.53%
EPS 5Y
EPS Q2Q%
EPS Next Y-40.26%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.4%
Revenue growth 3Y17.35%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y