JAZZ PHARMACEUTICALS PLC (JAZZ) Stock Fundamental Analysis
USA - NASDAQ:JAZZ - IE00B4Q5ZN47 - Common Stock
136.06 USD
+1.81 (+1.35%)
136.06 USD
0 (0%)
Overall JAZZ gets a fundamental rating of 4 out of 10. We evaluated JAZZ against 195 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. A decent growth rate in combination with a cheap valuation! Better keep an eye on JAZZ.
1. Profitability
1.1 Basic Checks
In the past year JAZZ was profitable.
JAZZ had a positive operating cash flow in the past year.
In multiple years JAZZ reported negative net income over the last 5 years.
Each year in the past 5 years JAZZ had a positive operating cash flow.
1.2 Ratios
The Return On Assets of JAZZ (-3.70%) is better than 73.85% of its industry peers.
JAZZ has a better Return On Equity (-10.92%) than 73.33% of its industry peers.
The Return On Invested Capital of JAZZ (5.47%) is better than 82.56% of its industry peers.
The Average Return On Invested Capital over the past 3 years for JAZZ is significantly below the industry average of 15.30%.
The last Return On Invested Capital (5.47%) for JAZZ is above the 3 year average (3.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.7% | ||
| ROE | -10.92% | ||
| ROIC | 5.47% |
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.
The Operating Margin of JAZZ (15.03%) is better than 85.64% of its industry peers.
In the last couple of years the Operating Margin of JAZZ has declined.
JAZZ has a Gross Margin of 88.71%. This is amongst the best in the industry. JAZZ outperforms 91.28% 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 | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 88.71% |
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
JAZZ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for JAZZ has been reduced compared to 1 year ago.
JAZZ has more shares outstanding than it did 5 years ago.
The debt/assets ratio for JAZZ is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that JAZZ is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of JAZZ (1.41) is better than 61.03% of its industry peers.
The Debt to FCF ratio of JAZZ is 4.33, which is a neutral value as it means it would take JAZZ, 4.33 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 4.33, JAZZ belongs to the best of the industry, outperforming 85.13% of the companies in the same industry.
JAZZ has a Debt/Equity ratio of 1.17. This is a high value indicating a heavy dependency on external financing.
JAZZ's Debt to Equity ratio of 1.17 is on the low side compared to the rest of the industry. JAZZ is outperformed by 75.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 4.33 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.75
WACC7.25%
2.3 Liquidity
A Current Ratio of 1.62 indicates that JAZZ should not have too much problems paying its short term obligations.
JAZZ has a worse Current ratio (1.62) than 66.15% of its industry peers.
A Quick Ratio of 1.37 indicates that JAZZ should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.37, JAZZ is not doing good in the industry: 64.62% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
JAZZ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -62.78%.
The Earnings Per Share has been growing slightly by 5.47% on average over the past years.
JAZZ shows a small growth in Revenue. In the last year, the Revenue has grown by 4.52%.
The Revenue has been growing by 13.48% on average over the past years. This is quite good.
EPS 1Y (TTM)-62.78%
EPS 3Y9.3%
EPS 5Y5.47%
EPS Q2Q%-255.66%
Revenue 1Y (TTM)4.52%
Revenue growth 3Y9.56%
Revenue growth 5Y13.48%
Sales Q2Q%2.14%
3.2 Future
Based on estimates for the next years, JAZZ will show a small growth in Earnings Per Share. The EPS will grow by 6.88% on average per year.
Based on estimates for the next years, JAZZ will show a small growth in Revenue. The Revenue will grow by 6.33% on average per year.
EPS Next Y-74.63%
EPS Next 2Y2.39%
EPS Next 3Y5.29%
EPS Next 5Y6.88%
Revenue Next Year4.32%
Revenue Next 2Y5.24%
Revenue Next 3Y5.87%
Revenue Next 5Y6.33%
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
JAZZ is valuated rather expensively with a Price/Earnings ratio of 20.49.
82.56% of the companies in the same industry are more expensive than JAZZ, based on the Price/Earnings ratio.
JAZZ is valuated rather cheaply when we compare the Price/Earnings ratio to 27.40, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 6.12 indicates a rather cheap valuation of JAZZ.
Compared to the rest of the industry, the Price/Forward Earnings ratio of JAZZ indicates a rather cheap valuation: JAZZ is cheaper than 94.87% of the companies listed in the same industry.
JAZZ's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.49 | ||
| Fwd PE | 6.12 |
4.2 Price Multiples
89.74% of the companies in the same industry are more expensive than JAZZ, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, JAZZ is valued cheaply inside the industry as 93.85% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.66 | ||
| EV/EBITDA | 8.91 |
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)3.75
EPS Next 2Y2.39%
EPS Next 3Y5.29%
5. Dividend
5.1 Amount
No dividends for JAZZ!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
136.06
+1.81 (+1.35%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners106.51%
Inst Owner Change-0.12%
Ins Owners2.49%
Ins Owner Change0.27%
Market Cap8.25B
Analysts84.8
Price Target190.69 (40.15%)
Short Float %9.02%
Short Ratio7.01
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)0
Avg EPS beat(2)-35.5%
Min EPS beat(2)-64.64%
Max EPS beat(2)-6.35%
EPS beat(4)2
Avg EPS beat(4)-10.46%
Min EPS beat(4)-64.64%
Max EPS beat(4)17.85%
EPS beat(8)3
Avg EPS beat(8)-9.87%
EPS beat(12)4
Avg EPS beat(12)-16.71%
EPS beat(16)7
Avg EPS beat(16)-10.46%
Revenue beat(2)0
Avg Revenue beat(2)-6.37%
Min Revenue beat(2)-10.66%
Max Revenue beat(2)-2.09%
Revenue beat(4)1
Avg Revenue beat(4)-3.07%
Min Revenue beat(4)-10.66%
Max Revenue beat(4)0.66%
Revenue beat(8)1
Avg Revenue beat(8)-2.73%
Revenue beat(12)1
Avg Revenue beat(12)-2.38%
Revenue beat(16)3
Avg Revenue beat(16)-2.09%
PT rev (1m)0.13%
PT rev (3m)-1.22%
EPS NQ rev (1m)-0.34%
EPS NQ rev (3m)19.44%
EPS NY rev (1m)0.47%
EPS NY rev (3m)10.65%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)0.89%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.49 | ||
| Fwd PE | 6.12 | ||
| P/S | 2.02 | ||
| P/FCF | 6.66 | ||
| P/OCF | 6.27 | ||
| P/B | 2.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.91 |
EPS(TTM)6.64
EY4.88%
EPS(NY)22.22
Fwd EY16.33%
FCF(TTM)20.44
FCFY15.02%
OCF(TTM)21.69
OCFY15.94%
SpS67.37
BVpS61.1
TBVpS-47.92
PEG (NY)N/A
PEG (5Y)3.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.7% | ||
| ROE | -10.92% | ||
| ROCE | 6.92% | ||
| ROIC | 5.47% | ||
| ROICexc | 6.73% | ||
| ROICexgc | 82.21% | ||
| OM | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 88.71% | ||
| FCFM | 30.34% |
ROA(3y)2.08%
ROA(5y)1.44%
ROE(3y)5.84%
ROE(5y)3.15%
ROIC(3y)3.85%
ROIC(5y)4.24%
ROICexc(3y)4.89%
ROICexc(5y)5.68%
ROICexgc(3y)31.42%
ROICexgc(5y)35.77%
ROCE(3y)4.87%
ROCE(5y)5.36%
ROICexcg growth 3Y32.25%
ROICexcg growth 5Y-7.79%
ROICexc growth 3Y35.45%
ROICexc growth 5Y-6.86%
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%
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 4.33 | ||
| Debt/EBITDA | 3.37 | ||
| Cap/Depr | 11.29% | ||
| Cap/Sales | 1.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 102.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 1.41 |
F-Score5
WACC7.25%
ROIC/WACC0.75
Cap/Depr(3y)31.05%
Cap/Depr(5y)47.54%
Cap/Sales(3y)5.31%
Cap/Sales(5y)6.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-62.78%
EPS 3Y9.3%
EPS 5Y5.47%
EPS Q2Q%-255.66%
EPS Next Y-74.63%
EPS Next 2Y2.39%
EPS Next 3Y5.29%
EPS Next 5Y6.88%
Revenue 1Y (TTM)4.52%
Revenue growth 3Y9.56%
Revenue growth 5Y13.48%
Sales Q2Q%2.14%
Revenue Next Year4.32%
Revenue Next 2Y5.24%
Revenue Next 3Y5.87%
Revenue Next 5Y6.33%
EBIT growth 1Y-0.29%
EBIT growth 3Y22.09%
EBIT growth 5Y6.42%
EBIT Next Year-54.85%
EBIT Next 3Y4.81%
EBIT Next 5Y7.57%
FCF growth 1Y25.59%
FCF growth 3Y22.51%
FCF growth 5Y17.8%
OCF growth 1Y-4.47%
OCF growth 3Y21.49%
OCF growth 5Y12.45%