HARMONY BIOSCIENCES HOLDINGS (HRMY) Stock Fundamental Analysis
USA - NASDAQ:HRMY - US4131971040 - Common Stock
25.95 USD
-0.68 (-2.55%)
25.95 USD
0 (0%)
We assign a fundamental rating of 8 out of 10 to HRMY. HRMY was compared to 195 industry peers in the Pharmaceuticals industry. HRMY scores excellent points on both the profitability and health parts. This is a solid base for a good stock. HRMY is growing strongly while it also seems undervalued. This is an interesting combination This makes HRMY very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
HRMY had positive earnings in the past year.
In the past year HRMY had a positive cash flow from operations.
Of the past 5 years HRMY 4 years were profitable.
Of the past 5 years HRMY 4 years had a positive operating cash flow.
1.2 Ratios
HRMY has a Return On Assets of 16.33%. This is amongst the best in the industry. HRMY outperforms 95.90% of its industry peers.
HRMY has a Return On Equity of 23.40%. This is amongst the best in the industry. HRMY outperforms 94.36% of its industry peers.
HRMY has a better Return On Invested Capital (17.95%) than 95.90% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for HRMY is above the industry average of 15.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.33% | ||
| ROE | 23.4% | ||
| ROIC | 17.95% |
ROA(3y)19.12%
ROA(5y)10.08%
ROE(3y)31.57%
ROE(5y)9.53%
ROIC(3y)18.27%
ROIC(5y)15.29%
1.3 Margins
HRMY has a better Profit Margin (23.42%) than 94.36% of its industry peers.
In the last couple of years the Profit Margin of HRMY has grown nicely.
HRMY's Operating Margin of 28.72% is amongst the best of the industry. HRMY outperforms 93.85% of its industry peers.
In the last couple of years the Operating Margin of HRMY has declined.
HRMY has a better Gross Margin (78.34%) than 84.62% of its industry peers.
In the last couple of years the Gross Margin of HRMY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.72% | ||
| PM (TTM) | 23.42% | ||
| GM | 78.34% |
OM growth 3Y-2.32%
OM growth 5YN/A
PM growth 3Y21.57%
PM growth 5YN/A
GM growth 3Y-1.56%
GM growth 5Y1.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), HRMY is creating value.
The number of shares outstanding for HRMY has been increased compared to 1 year ago.
Compared to 5 years ago, HRMY has less shares outstanding
HRMY has a better debt/assets ratio than last year.
2.2 Solvency
HRMY has an Altman-Z score of 4.70. This indicates that HRMY is financially healthy and has little risk of bankruptcy at the moment.
HRMY has a better Altman-Z score (4.70) than 78.97% of its industry peers.
HRMY has a debt to FCF ratio of 0.67. This is a very positive value and a sign of high solvency as it would only need 0.67 years to pay back of all of its debts.
HRMY's Debt to FCF ratio of 0.67 is amongst the best of the industry. HRMY outperforms 95.90% of its industry peers.
HRMY has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
HRMY has a Debt to Equity ratio (0.20) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.67 | ||
| Altman-Z | 4.7 |
ROIC/WACC2.04
WACC8.82%
2.3 Liquidity
A Current Ratio of 3.84 indicates that HRMY has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.84, HRMY is doing good in the industry, outperforming 61.54% of the companies in the same industry.
A Quick Ratio of 3.80 indicates that HRMY has no problem at all paying its short term obligations.
HRMY's Quick ratio of 3.80 is fine compared to the rest of the industry. HRMY outperforms 63.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.84 | ||
| Quick Ratio | 3.8 |
3. Growth
3.1 Past
HRMY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 49.76%, which is quite impressive.
HRMY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 44.61% yearly.
Looking at the last year, HRMY shows a quite strong growth in Revenue. The Revenue has grown by 17.74% in the last year.
HRMY shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 160.13% yearly.
EPS 1Y (TTM)49.76%
EPS 3Y44.61%
EPS 5YN/A
EPS Q2Q%240%
Revenue 1Y (TTM)17.74%
Revenue growth 3Y32.77%
Revenue growth 5Y160.13%
Sales Q2Q%16.01%
3.2 Future
The Earnings Per Share is expected to grow by 30.22% on average over the next years. This is a very strong growth
Based on estimates for the next years, HRMY will show a quite strong growth in Revenue. The Revenue will grow by 14.36% on average per year.
EPS Next Y27.25%
EPS Next 2Y27.46%
EPS Next 3Y24.96%
EPS Next 5Y30.22%
Revenue Next Year17.69%
Revenue Next 2Y17.17%
Revenue Next 3Y15.97%
Revenue Next 5Y14.36%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.37, which indicates a very decent valuation of HRMY.
Compared to the rest of the industry, the Price/Earnings ratio of HRMY indicates a rather cheap valuation: HRMY is cheaper than 91.79% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.31. HRMY is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 6.36, the valuation of HRMY can be described as very cheap.
HRMY's Price/Forward Earnings ratio is rather cheap when compared to the industry. HRMY is cheaper than 93.33% of the companies in the same industry.
HRMY is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.85, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.37 | ||
| Fwd PE | 6.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HRMY is valued cheaper than 98.46% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HRMY indicates a rather cheap valuation: HRMY is cheaper than 94.87% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.78 | ||
| EV/EBITDA | 4.4 |
4.3 Compensation for Growth
HRMY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
HRMY has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as HRMY's earnings are expected to grow with 24.96% in the coming years.
PEG (NY)0.31
PEG (5Y)N/A
EPS Next 2Y27.46%
EPS Next 3Y24.96%
5. Dividend
5.1 Amount
HRMY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.95
-0.68 (-2.55%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners82.62%
Inst Owner Change0.05%
Ins Owners0.52%
Ins Owner Change-61.56%
Market Cap1.49B
Analysts78.82
Price Target45.44 (75.11%)
Short Float %8.38%
Short Ratio5.72
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)1
Avg EPS beat(2)9.92%
Min EPS beat(2)-11.17%
Max EPS beat(2)31%
EPS beat(4)3
Avg EPS beat(4)12.28%
Min EPS beat(4)-11.17%
Max EPS beat(4)31%
EPS beat(8)6
Avg EPS beat(8)59.09%
EPS beat(12)9
Avg EPS beat(12)123.49%
EPS beat(16)11
Avg EPS beat(16)86.61%
Revenue beat(2)0
Avg Revenue beat(2)-2.22%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-0.98%
Revenue beat(4)0
Avg Revenue beat(4)-1.79%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-0.91%
Revenue beat(8)1
Avg Revenue beat(8)-0.9%
Revenue beat(12)3
Avg Revenue beat(12)-1.17%
Revenue beat(16)4
Avg Revenue beat(16)-1.05%
PT rev (1m)-11.87%
PT rev (3m)-12.66%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)-6.56%
EPS NY rev (1m)-0.38%
EPS NY rev (3m)-5.18%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)0.56%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)-0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.37 | ||
| Fwd PE | 6.36 | ||
| P/S | 1.93 | ||
| P/FCF | 5.78 | ||
| P/OCF | 5.76 | ||
| P/B | 1.93 | ||
| P/tB | 2.22 | ||
| EV/EBITDA | 4.4 |
EPS(TTM)3.1
EY11.95%
EPS(NY)4.08
Fwd EY15.71%
FCF(TTM)4.49
FCFY17.31%
OCF(TTM)4.5
OCFY17.36%
SpS13.43
BVpS13.44
TBVpS11.68
PEG (NY)0.31
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.33% | ||
| ROE | 23.4% | ||
| ROCE | 23.91% | ||
| ROIC | 17.95% | ||
| ROICexc | 45.94% | ||
| ROICexgc | 63.76% | ||
| OM | 28.72% | ||
| PM (TTM) | 23.42% | ||
| GM | 78.34% | ||
| FCFM | 33.46% |
ROA(3y)19.12%
ROA(5y)10.08%
ROE(3y)31.57%
ROE(5y)9.53%
ROIC(3y)18.27%
ROIC(5y)15.29%
ROICexc(3y)40.78%
ROICexc(5y)37.48%
ROICexgc(3y)77.32%
ROICexgc(5y)N/A
ROCE(3y)24.34%
ROCE(5y)20.37%
ROICexcg growth 3Y-76.77%
ROICexcg growth 5YN/A
ROICexc growth 3Y-3.89%
ROICexc growth 5YN/A
OM growth 3Y-2.32%
OM growth 5YN/A
PM growth 3Y21.57%
PM growth 5YN/A
GM growth 3Y-1.56%
GM growth 5Y1.26%
F-Score6
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.67 | ||
| Debt/EBITDA | 0.62 | ||
| Cap/Depr | 2.7% | ||
| Cap/Sales | 0.08% | ||
| Interest Coverage | 13.83 | ||
| Cash Conversion | 105.45% | ||
| Profit Quality | 142.89% | ||
| Current Ratio | 3.84 | ||
| Quick Ratio | 3.8 | ||
| Altman-Z | 4.7 |
F-Score6
WACC8.82%
ROIC/WACC2.04
Cap/Depr(3y)59.29%
Cap/Depr(5y)142.27%
Cap/Sales(3y)3.13%
Cap/Sales(5y)8.45%
Profit Quality(3y)125.93%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)49.76%
EPS 3Y44.61%
EPS 5YN/A
EPS Q2Q%240%
EPS Next Y27.25%
EPS Next 2Y27.46%
EPS Next 3Y24.96%
EPS Next 5Y30.22%
Revenue 1Y (TTM)17.74%
Revenue growth 3Y32.77%
Revenue growth 5Y160.13%
Sales Q2Q%16.01%
Revenue Next Year17.69%
Revenue Next 2Y17.17%
Revenue Next 3Y15.97%
Revenue Next 5Y14.36%
EBIT growth 1Y13.95%
EBIT growth 3Y29.68%
EBIT growth 5YN/A
EBIT Next Year36.94%
EBIT Next 3Y27.36%
EBIT Next 5Y22.63%
FCF growth 1Y60.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y60.46%
OCF growth 3Y30.64%
OCF growth 5YN/A