36.82 USD
+0.06 (+0.16%)
36.83 USD
+0.01 (+0.03%)
Overall HRMY gets a fundamental rating of 8 out of 10. We evaluated HRMY against 191 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.
- HRMY had a positive operating cash flow in the past year.
- 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
- The Return On Assets of HRMY (15.37%) is better than 95.29% of its industry peers.
- The Return On Equity of HRMY (22.23%) is better than 92.67% of its industry peers.
- HRMY has a better Return On Invested Capital (17.20%) than 94.76% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for HRMY is significantly above the industry average of 12.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.37% | ||
| ROE | 22.23% | ||
| ROIC | 17.2% |
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
- Looking at the Profit Margin, with a value of 22.48%, HRMY belongs to the top of the industry, outperforming 91.62% of the companies in the same industry.
- HRMY's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 27.32%, HRMY belongs to the top of the industry, outperforming 93.19% of the companies in the same industry.
- HRMY's Operating Margin has declined in the last couple of years.
- The Gross Margin of HRMY (77.70%) is better than 83.25% of its industry peers.
- HRMY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.32% | ||
| PM (TTM) | 22.48% | ||
| GM | 77.7% |
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
- HRMY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- HRMY has more shares outstanding than it did 1 year ago.
- HRMY has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, HRMY has an improved debt to assets ratio.
2.2 Solvency
- HRMY has an Altman-Z score of 5.48. This indicates that HRMY is financially healthy and has little risk of bankruptcy at the moment.
- HRMY's Altman-Z score of 5.48 is fine compared to the rest of the industry. HRMY outperforms 74.87% of its industry peers.
- The Debt to FCF ratio of HRMY is 0.57, which is an excellent value as it means it would take HRMY, only 0.57 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of HRMY (0.57) is better than 96.86% of its industry peers.
- A Debt/Equity ratio of 0.18 indicates that HRMY is not too dependend on debt financing.
- The Debt to Equity ratio of HRMY (0.18) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 0.57 | ||
| Altman-Z | 5.48 |
ROIC/WACC1.81
WACC9.5%
2.3 Liquidity
- A Current Ratio of 3.75 indicates that HRMY has no problem at all paying its short term obligations.
- The Current ratio of HRMY (3.75) is comparable to the rest of the industry.
- HRMY has a Quick Ratio of 3.72. This indicates that HRMY is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of HRMY (3.72) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.75 | ||
| Quick Ratio | 3.72 |
3. Growth
3.1 Past
- HRMY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 50.71%, which is quite impressive.
- Measured over the past years, HRMY shows a very strong growth in Earnings Per Share. The EPS has been growing by 44.61% on average per year.
- The Revenue has grown by 21.13% in the past year. This is a very strong growth!
- HRMY shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 160.13% yearly.
EPS 1Y (TTM)50.71%
EPS 3Y44.61%
EPS 5YN/A
EPS Q2Q%10.13%
Revenue 1Y (TTM)21.13%
Revenue growth 3Y32.77%
Revenue growth 5Y160.13%
Sales Q2Q%28.71%
3.2 Future
- Based on estimates for the next years, HRMY will show a very strong growth in Earnings Per Share. The EPS will grow by 35.10% on average per year.
- The Revenue is expected to grow by 14.79% on average over the next years. This is quite good.
EPS Next Y30.39%
EPS Next 2Y29.73%
EPS Next 3Y25%
EPS Next 5Y35.1%
Revenue Next Year20.97%
Revenue Next 2Y18.45%
Revenue Next 3Y16.54%
Revenue Next 5Y14.79%
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.
- 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 11.58, the valuation of HRMY can be described as reasonable.
- Based on the Price/Earnings ratio, HRMY is valued cheaply inside the industry as 89.53% of the companies are valued more expensively.
- HRMY is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 8.72, the valuation of HRMY can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of HRMY indicates a rather cheap valuation: HRMY is cheaper than 90.58% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. HRMY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 8.72 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HRMY indicates a rather cheap valuation: HRMY is cheaper than 94.24% of the companies listed in the same industry.
- 96.34% of the companies in the same industry are more expensive than HRMY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.14 | ||
| EV/EBITDA | 6.36 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of HRMY may justify a higher PE ratio.
- A more expensive valuation may be justified as HRMY's earnings are expected to grow with 25.00% in the coming years.
PEG (NY)0.38
PEG (5Y)N/A
EPS Next 2Y29.73%
EPS Next 3Y25%
5. Dividend
5.1 Amount
- HRMY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
HARMONY BIOSCIENCES HOLDINGS / HRMY FAQ
Can you provide the ChartMill fundamental rating for HARMONY BIOSCIENCES HOLDINGS?
ChartMill assigns a fundamental rating of 8 / 10 to HRMY.
What is the valuation status of HARMONY BIOSCIENCES HOLDINGS (HRMY) stock?
ChartMill assigns a valuation rating of 9 / 10 to HARMONY BIOSCIENCES HOLDINGS (HRMY). This can be considered as Undervalued.
Can you provide the profitability details for HARMONY BIOSCIENCES HOLDINGS?
HARMONY BIOSCIENCES HOLDINGS (HRMY) has a profitability rating of 8 / 10.
What are the PE and PB ratios of HARMONY BIOSCIENCES HOLDINGS (HRMY) stock?
The Price/Earnings (PE) ratio for HARMONY BIOSCIENCES HOLDINGS (HRMY) is 11.58 and the Price/Book (PB) ratio is 2.54.
What is the earnings growth outlook for HARMONY BIOSCIENCES HOLDINGS?
The Earnings per Share (EPS) of HARMONY BIOSCIENCES HOLDINGS (HRMY) is expected to grow by 30.39% in the next year.