ELANCO ANIMAL HEALTH INC (ELAN) Stock Fundamental Analysis

NYSE:ELAN • US28414H1032

26.4 USD
+0.21 (+0.8%)
At close: Feb 27, 2026
26.46 USD
+0.06 (+0.23%)
After Hours: 2/27/2026, 8:04:00 PM
Fundamental Rating

4

ELAN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 193 industry peers in the Pharmaceuticals industry. ELAN has only an average score on both its financial health and profitability. ELAN is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • ELAN had positive earnings in the past year.
  • ELAN had a positive operating cash flow in the past year.
  • In the past 5 years ELAN reported 4 times negative net income.
  • Of the past 5 years ELAN 4 years had a positive operating cash flow.
ELAN Yearly Net Income VS EBIT VS OCF VS FCFELAN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M -1B

1.2 Ratios

  • ELAN has a better Return On Assets (0.27%) than 78.76% of its industry peers.
  • Looking at the Return On Equity, with a value of 0.53%, ELAN belongs to the top of the industry, outperforming 80.31% of the companies in the same industry.
  • ELAN has a better Return On Invested Capital (1.38%) than 78.76% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ELAN is significantly below the industry average of 12.93%.
Industry RankSector Rank
ROA 0.27%
ROE 0.53%
ROIC 1.38%
ROA(3y)-2.13%
ROA(5y)-2.51%
ROE(3y)-5.1%
ROE(5y)-5.7%
ROIC(3y)1.73%
ROIC(5y)N/A
ELAN Yearly ROA, ROE, ROICELAN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 -10 -15

1.3 Margins

  • ELAN's Profit Margin of 0.78% is fine compared to the rest of the industry. ELAN outperforms 78.76% of its industry peers.
  • In the last couple of years the Profit Margin of ELAN has grown nicely.
  • The Operating Margin of ELAN (5.25%) is better than 79.79% of its industry peers.
  • ELAN's Operating Margin has declined in the last couple of years.
  • ELAN's Gross Margin of 54.96% is fine compared to the rest of the industry. ELAN outperforms 68.39% of its industry peers.
  • ELAN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 5.25%
PM (TTM) 0.78%
GM 54.96%
OM growth 3Y-3.95%
OM growth 5Y-14.04%
PM growth 3YN/A
PM growth 5Y28.06%
GM growth 3Y-0.22%
GM growth 5Y1.04%
ELAN Yearly Profit, Operating, Gross MarginsELAN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40

4

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ELAN is destroying value.
  • ELAN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
ELAN Yearly Shares OutstandingELAN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
ELAN Yearly Total Debt VS Total AssetsELAN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.2 Solvency

  • ELAN has an Altman-Z score of 1.54. This is a bad value and indicates that ELAN is not financially healthy and even has some risk of bankruptcy.
  • The Altman-Z score of ELAN (1.54) is better than 60.10% of its industry peers.
  • The Debt to FCF ratio of ELAN is 11.12, which is on the high side as it means it would take ELAN, 11.12 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of ELAN (11.12) is better than 80.83% of its industry peers.
  • ELAN has a Debt/Equity ratio of 0.59. This is a neutral value indicating ELAN is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.59, ELAN is not doing good in the industry: 65.28% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 11.12
Altman-Z 1.54
ROIC/WACC0.16
WACC8.58%
ELAN Yearly LT Debt VS Equity VS FCFELAN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 2.40 indicates that ELAN has no problem at all paying its short term obligations.
  • ELAN has a Current ratio of 2.40. This is comparable to the rest of the industry: ELAN outperforms 44.04% of its industry peers.
  • ELAN has a Quick Ratio of 1.23. This is a normal value and indicates that ELAN is financially healthy and should not expect problems in meeting its short term obligations.
  • ELAN has a Quick ratio of 1.23. This is in the lower half of the industry: ELAN underperforms 70.98% of its industry peers.
Industry RankSector Rank
Current Ratio 2.4
Quick Ratio 1.23
ELAN Yearly Current Assets VS Current LiabilitesELAN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

3

3. Growth

3.1 Past

  • ELAN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.40%.
  • The Earnings Per Share has been growing by 15.11% on average over the past years. This is quite good.
  • ELAN shows a small growth in Revenue. In the last year, the Revenue has grown by 6.22%.
EPS 1Y (TTM)4.4%
EPS 3Y-5.06%
EPS 5Y15.11%
EPS Q2Q%-7.14%
Revenue 1Y (TTM)6.22%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%12.16%

3.2 Future

  • Based on estimates for the next years, ELAN will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.51% on average per year.
  • The Revenue is expected to grow by 4.39% on average over the next years.
EPS Next Y10.05%
EPS Next 2Y11.47%
EPS Next 3Y13.05%
EPS Next 5Y10.51%
Revenue Next Year5.8%
Revenue Next 2Y5.53%
Revenue Next 3Y5.12%
Revenue Next 5Y4.39%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
ELAN Yearly Revenue VS EstimatesELAN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2B 4B 6B
ELAN Yearly EPS VS EstimatesELAN Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0.5 1 1.5 2

4

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 27.79, ELAN can be considered very expensive at the moment.
  • Based on the Price/Earnings ratio, ELAN is valued a bit cheaper than the industry average as 79.27% of the companies are valued more expensively.
  • When comparing the Price/Earnings ratio of ELAN to the average of the S&P500 Index (27.07), we can say ELAN is valued inline with the index average.
  • With a Price/Forward Earnings ratio of 25.25, ELAN can be considered very expensive at the moment.
  • 75.65% of the companies in the same industry are more expensive than ELAN, based on the Price/Forward Earnings ratio.
  • ELAN is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 28.05, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 27.79
Fwd PE 25.25
ELAN Price Earnings VS Forward Price EarningsELAN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, ELAN is valued cheaply inside the industry as 81.35% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, ELAN is valued cheaply inside the industry as 80.31% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 36.24
EV/EBITDA 18.26
ELAN Per share dataELAN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ELAN does not grow enough to justify the current Price/Earnings ratio.
  • ELAN's earnings are expected to grow with 13.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.76
PEG (5Y)1.84
EPS Next 2Y11.47%
EPS Next 3Y13.05%

0

5. Dividend

5.1 Amount

  • ELAN does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

ELANCO ANIMAL HEALTH INC

NYSE:ELAN (2/27/2026, 8:04:00 PM)

After market: 26.46 +0.06 (+0.23%)

26.4

+0.21 (+0.8%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)02-24
Earnings (Next)05-05
Inst Owners116.54%
Inst Owner Change-10.47%
Ins Owners0.99%
Ins Owner Change4.72%
Market Cap13.12B
Revenue(TTM)4.71B
Net Income(TTM)36.00M
Analysts85.45
Price Target27.2 (3.03%)
Short Float %4.73%
Short Ratio4.49
Dividend
Industry RankSector 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)2
Avg EPS beat(2)36.7%
Min EPS beat(2)30.48%
Max EPS beat(2)42.93%
EPS beat(4)3
Avg EPS beat(4)20.43%
Min EPS beat(4)-8.7%
Max EPS beat(4)42.93%
EPS beat(8)6
Avg EPS beat(8)14.04%
EPS beat(12)10
Avg EPS beat(12)44.02%
EPS beat(16)13
Avg EPS beat(16)38.17%
Revenue beat(2)2
Avg Revenue beat(2)2.27%
Min Revenue beat(2)2.06%
Max Revenue beat(2)2.48%
Revenue beat(4)3
Avg Revenue beat(4)0.91%
Min Revenue beat(4)-0.97%
Max Revenue beat(4)2.48%
Revenue beat(8)6
Avg Revenue beat(8)0.5%
Revenue beat(12)9
Avg Revenue beat(12)0.62%
Revenue beat(16)9
Avg Revenue beat(16)-0.02%
PT rev (1m)4.42%
PT rev (3m)11.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.19%
EPS NY rev (1m)0%
EPS NY rev (3m)3.77%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.41%
Valuation
Industry RankSector Rank
PE 27.79
Fwd PE 25.25
P/S 2.86
P/FCF 36.24
P/OCF 20.85
P/B 1.94
P/tB N/A
EV/EBITDA 18.26
EPS(TTM)0.95
EY3.6%
EPS(NY)1.05
Fwd EY3.96%
FCF(TTM)0.73
FCFY2.76%
OCF(TTM)1.27
OCFY4.8%
SpS9.24
BVpS13.58
TBVpS-3.24
PEG (NY)2.76
PEG (5Y)1.84
Graham Number17.04
Profitability
Industry RankSector Rank
ROA 0.27%
ROE 0.53%
ROCE 1.99%
ROIC 1.38%
ROICexc 1.44%
ROICexgc 5.17%
OM 5.25%
PM (TTM) 0.78%
GM 54.96%
FCFM 7.88%
ROA(3y)-2.13%
ROA(5y)-2.51%
ROE(3y)-5.1%
ROE(5y)-5.7%
ROIC(3y)1.73%
ROIC(5y)N/A
ROICexc(3y)1.78%
ROICexc(5y)N/A
ROICexgc(3y)7.88%
ROICexgc(5y)N/A
ROCE(3y)2.5%
ROCE(5y)N/A
ROICexgc growth 3Y-9.66%
ROICexgc growth 5Y-10.16%
ROICexc growth 3Y2.68%
ROICexc growth 5Y-13.27%
OM growth 3Y-3.95%
OM growth 5Y-14.04%
PM growth 3YN/A
PM growth 5Y28.06%
GM growth 3Y-0.22%
GM growth 5Y1.04%
F-Score6
Asset Turnover0.34
Health
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 11.12
Debt/EBITDA 4.35
Cap/Depr 39.85%
Cap/Sales 5.82%
Interest Coverage 250
Cash Conversion 69.05%
Profit Quality 1005.56%
Current Ratio 2.4
Quick Ratio 1.23
Altman-Z 1.54
F-Score6
WACC8.58%
ROIC/WACC0.16
Cap/Depr(3y)24.5%
Cap/Depr(5y)32.23%
Cap/Sales(3y)3.76%
Cap/Sales(5y)4.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.4%
EPS 3Y-5.06%
EPS 5Y15.11%
EPS Q2Q%-7.14%
EPS Next Y10.05%
EPS Next 2Y11.47%
EPS Next 3Y13.05%
EPS Next 5Y10.51%
Revenue 1Y (TTM)6.22%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%12.16%
Revenue Next Year5.8%
Revenue Next 2Y5.53%
Revenue Next 3Y5.12%
Revenue Next 5Y4.39%
EBIT growth 1Y-4.74%
EBIT growth 3Y-6.19%
EBIT growth 5Y-7.47%
EBIT Next Year19.46%
EBIT Next 3Y12.44%
EBIT Next 5Y9.88%
FCF growth 1Y656.92%
FCF growth 3Y9.94%
FCF growth 5Y70.08%
OCF growth 1Y395.28%
OCF growth 3Y3.85%
OCF growth 5Y19.28%

ELANCO ANIMAL HEALTH INC / ELAN FAQ

What is the ChartMill fundamental rating of ELANCO ANIMAL HEALTH INC (ELAN) stock?

ChartMill assigns a fundamental rating of 4 / 10 to ELAN.


Can you provide the valuation status for ELANCO ANIMAL HEALTH INC?

ChartMill assigns a valuation rating of 4 / 10 to ELANCO ANIMAL HEALTH INC (ELAN). This can be considered as Fairly Valued.


Can you provide the profitability details for ELANCO ANIMAL HEALTH INC?

ELANCO ANIMAL HEALTH INC (ELAN) has a profitability rating of 5 / 10.


Can you provide the financial health for ELAN stock?

The financial health rating of ELANCO ANIMAL HEALTH INC (ELAN) is 4 / 10.


Can you provide the expected EPS growth for ELAN stock?

The Earnings per Share (EPS) of ELANCO ANIMAL HEALTH INC (ELAN) is expected to grow by 10.05% in the next year.