163.408 USD
-2 (-1.21%)
Overall JAZZ gets a fundamental rating of 4 out of 10. We evaluated JAZZ against 190 industry peers in the Pharmaceuticals industry. While JAZZ is still in line with the averages on profitability rating, there are concerns on its financial health. JAZZ is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- JAZZ had positive earnings in the past year.
- JAZZ had a positive operating cash flow in the past year.
- In multiple years JAZZ reported negative net income over the last 5 years.
- JAZZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of JAZZ (-3.24%) is better than 74.21% of its industry peers.
- The Return On Equity of JAZZ (-9.31%) is better than 74.74% of its industry peers.
- JAZZ has a better Return On Invested Capital (3.95%) than 82.11% of its industry peers.
- JAZZ had an Average Return On Invested Capital over the past 3 years of 3.85%. This is significantly below the industry average of 12.83%.
- The last Return On Invested Capital (3.95%) for JAZZ is above the 3 year average (3.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.24% | ||
| ROE | -9.31% | ||
| ROIC | 3.95% |
ROA(3y)2.08%
ROA(5y)1.44%
ROE(3y)5.84%
ROE(5y)3.15%
ROIC(3y)3.85%
ROIC(5y)4.24%
1.3 Margins
- JAZZ's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 10.92%, JAZZ belongs to the top of the industry, outperforming 83.16% of the companies in the same industry.
- JAZZ's Operating Margin has declined in the last couple of years.
- The Gross Margin of JAZZ (88.49%) is better than 90.00% of its industry peers.
- In the last couple of years the Gross Margin of JAZZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.92% | ||
| PM (TTM) | N/A | ||
| GM | 88.49% |
OM growth 3Y11.44%
OM growth 5Y-6.23%
PM growth 3YN/A
PM growth 5Y-10.68%
GM growth 3Y1.26%
GM growth 5Y-1.09%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so JAZZ is destroying value.
- The number of shares outstanding for JAZZ has been reduced compared to 1 year ago.
- Compared to 5 years ago, JAZZ has more shares outstanding
- The debt/assets ratio for JAZZ is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.52, we must say that JAZZ is in the distress zone and has some risk of bankruptcy.
- JAZZ's Altman-Z score of 1.52 is in line compared to the rest of the industry. JAZZ outperforms 57.37% of its industry peers.
- JAZZ has a debt to FCF ratio of 4.33. This is a neutral value as JAZZ would need 4.33 years to pay back of all of its debts.
- JAZZ has a Debt to FCF ratio of 4.33. This is amongst the best in the industry. JAZZ outperforms 83.68% of its industry peers.
- A Debt/Equity ratio of 1.09 is on the high side and indicates that JAZZ has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.09, JAZZ is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 4.33 | ||
| Altman-Z | 1.52 |
ROIC/WACC0.54
WACC7.32%
2.3 Liquidity
- JAZZ has a Current Ratio of 1.65. This is a normal value and indicates that JAZZ is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.65, JAZZ is doing worse than 68.42% of the companies in the same industry.
- A Quick Ratio of 1.44 indicates that JAZZ should not have too much problems paying its short term obligations.
- JAZZ has a worse Quick ratio (1.44) than 63.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
- JAZZ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -58.39%.
- The Earnings Per Share has been growing slightly by 5.47% on average over the past years.
- The Revenue has been growing slightly by 4.14% in the past year.
- Measured over the past years, JAZZ shows a quite strong growth in Revenue. The Revenue has been growing by 13.48% on average per year.
EPS 1Y (TTM)-58.39%
EPS 3Y9.3%
EPS 5Y5.47%
EPS Q2Q%23%
Revenue 1Y (TTM)4.14%
Revenue growth 3Y9.56%
Revenue growth 5Y13.48%
Sales Q2Q%6.74%
3.2 Future
- JAZZ is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.67% yearly.
- Based on estimates for the next years, JAZZ will show a small growth in Revenue. The Revenue will grow by 7.06% on average per year.
EPS Next Y-61.2%
EPS Next 2Y4.09%
EPS Next 3Y6.32%
EPS Next 5Y7.67%
Revenue Next Year4.66%
Revenue Next 2Y5.44%
Revenue Next 3Y6.29%
Revenue Next 5Y7.06%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 20.03 indicates a rather expensive valuation of JAZZ.
- Based on the Price/Earnings ratio, JAZZ is valued a bit cheaper than 80.00% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.60. JAZZ is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 7.12 indicates a rather cheap valuation of JAZZ.
- 92.11% of the companies in the same industry are more expensive than JAZZ, based on the Price/Forward Earnings ratio.
- JAZZ is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 7.12 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 85.79% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 93.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.01 | ||
| EV/EBITDA | 11.1 |
4.3 Compensation for Growth
- JAZZ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.66
EPS Next 2Y4.09%
EPS Next 3Y6.32%
5. Dividend
5.1 Amount
- JAZZ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
JAZZ PHARMACEUTICALS PLC / JAZZ FAQ
Can you provide the ChartMill fundamental rating for JAZZ PHARMACEUTICALS PLC?
ChartMill assigns a fundamental rating of 4 / 10 to JAZZ.
Can you provide the valuation status for JAZZ PHARMACEUTICALS PLC?
ChartMill assigns a valuation rating of 7 / 10 to JAZZ PHARMACEUTICALS PLC (JAZZ). This can be considered as Undervalued.
Can you provide the profitability details for JAZZ PHARMACEUTICALS PLC?
JAZZ PHARMACEUTICALS PLC (JAZZ) has a profitability rating of 6 / 10.
Can you provide the financial health for JAZZ stock?
The financial health rating of JAZZ PHARMACEUTICALS PLC (JAZZ) is 3 / 10.
What is the expected EPS growth for JAZZ PHARMACEUTICALS PLC (JAZZ) stock?
The Earnings per Share (EPS) of JAZZ PHARMACEUTICALS PLC (JAZZ) is expected to decline by -61.2% in the next year.