NEOGEN CORP (NEOG)
US6404911066 - Common Stock
NEOG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 187 industry peers in the Health Care Equipment & Supplies industry. NEOG has an average financial health and profitability rating. While showing a medium growth rate, NEOG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year NEOG was profitable.
NEOG had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: NEOG reported negative net income in multiple years.
Each year in the past 5 years NEOG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.52%, NEOG is in the better half of the industry, outperforming 68.98% of the companies in the same industry.
NEOG's Return On Equity of -0.75% is fine compared to the rest of the industry. NEOG outperforms 70.05% of its industry peers.
With a decent Return On Invested Capital value of 0.75%, NEOG is doing good in the industry, outperforming 66.84% of the companies in the same industry.
NEOG had an Average Return On Invested Capital over the past 3 years of 2.71%. This is significantly below the industry average of 8.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.52% | ||
| ROE | -0.75% | ||
| ROIC | 0.75% |
ROA(3y)1.38%
ROA(5y)3.65%
ROE(3y)1.47%
ROE(5y)3.97%
ROIC(3y)2.71%
ROIC(5y)4.4%
1.3 Margins
The Operating Margin of NEOG (4.58%) is better than 71.66% of its industry peers.
NEOG's Operating Margin has declined in the last couple of years.
NEOG has a Gross Margin (49.56%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of NEOG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.58% | ||
| PM (TTM) | N/A | ||
| GM | 49.56% |
OM growth 3Y-20.27%
OM growth 5Y-13.36%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.02%
GM growth 5Y1.61%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NEOG is destroying value.
NEOG has about the same amout of shares outstanding than it did 1 year ago.
NEOG has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NEOG has a worse debt to assets ratio.
2.2 Solvency
NEOG has an Altman-Z score of 1.66. This is a bad value and indicates that NEOG is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.66, NEOG perfoms like the industry average, outperforming 56.68% of the companies in the same industry.
A Debt/Equity ratio of 0.28 indicates that NEOG is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.28, NEOG perfoms like the industry average, outperforming 49.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.66 |
ROIC/WACC0.08
WACC9.11%
2.3 Liquidity
NEOG has a Current Ratio of 4.41. This indicates that NEOG is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.41, NEOG is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
NEOG has a Quick Ratio of 2.79. This indicates that NEOG is financially healthy and has no problem in meeting its short term obligations.
NEOG has a Quick ratio (2.79) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.41 | ||
| Quick Ratio | 2.79 |
3. Growth
3.1 Past
NEOG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 122.22%, which is quite impressive.
NEOG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.21% yearly.
Looking at the last year, NEOG shows a decrease in Revenue. The Revenue has decreased by -0.75% in the last year.
NEOG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.41% yearly.
EPS 1Y (TTM)122.22%
EPS 3Y-8.53%
EPS 5Y-5.21%
EPS Q2Q%-36.36%
Revenue 1Y (TTM)-0.75%
Revenue growth 3Y25.42%
Revenue growth 5Y17.41%
Sales Q2Q%-5.25%
3.2 Future
Based on estimates for the next years, NEOG will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.35% on average per year.
The Revenue is expected to grow by 4.07% on average over the next years.
EPS Next Y6.64%
EPS Next 2Y15.95%
EPS Next 3Y18.35%
EPS Next 5YN/A
Revenue Next Year4.28%
Revenue Next 2Y4.54%
Revenue Next 3Y4.07%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NEOG is valuated quite expensively with a Price/Earnings ratio of 29.95.
Based on the Price/Earnings ratio, NEOG is valued a bit cheaper than the industry average as 74.87% of the companies are valued more expensively.
NEOG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.20, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 20.25, NEOG is valued on the expensive side.
Based on the Price/Forward Earnings ratio, NEOG is valued cheaply inside the industry as 83.42% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.73, NEOG is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.95 | ||
| Fwd PE | 20.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NEOG is valued a bit cheaper than the industry average as 77.54% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 21.18 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NEOG's earnings are expected to grow with 18.35% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.51
PEG (5Y)N/A
EPS Next 2Y15.95%
EPS Next 3Y18.35%
5. Dividend
5.1 Amount
NEOG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NEOGEN CORP
NASDAQ:NEOG (12/23/2024, 12:03:08 PM)
11.98
-0.06 (-0.5%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners118.35%
Inst Owner Change1.25%
Ins Owners0.18%
Ins Owner Change53.36%
Market Cap2.60B
Analysts82.22
Price Target16.49 (37.65%)
Short Float %10.15%
Short Ratio12.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/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)-17.01%
Min EPS beat(2)-19.26%
Max EPS beat(2)-14.75%
EPS beat(4)0
Avg EPS beat(4)-18.24%
Min EPS beat(4)-22.97%
Max EPS beat(4)-14.75%
EPS beat(8)2
Avg EPS beat(8)71.11%
EPS beat(12)3
Avg EPS beat(12)34.47%
EPS beat(16)3
Avg EPS beat(16)24.38%
Revenue beat(2)1
Avg Revenue beat(2)0.85%
Min Revenue beat(2)-1.09%
Max Revenue beat(2)2.8%
Revenue beat(4)1
Avg Revenue beat(4)-1.02%
Min Revenue beat(4)-3.33%
Max Revenue beat(4)2.8%
Revenue beat(8)2
Avg Revenue beat(8)-0.78%
Revenue beat(12)2
Avg Revenue beat(12)-1.3%
Revenue beat(16)5
Avg Revenue beat(16)-0.29%
PT rev (1m)0%
PT rev (3m)-7.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-44.12%
EPS NY rev (1m)-2.13%
EPS NY rev (3m)-15.6%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.07%
Revenue NY rev (1m)1.67%
Revenue NY rev (3m)1.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.95 | ||
| Fwd PE | 20.25 | ||
| P/S | 2.85 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.18 |
EPS(TTM)0.4
EY3.34%
EPS(NY)0.59
Fwd EY4.94%
FCF(TTM)-0.58
FCFYN/A
OCF(TTM)-0.03
OCFYN/A
SpS4.21
BVpS14.47
TBVpS-2.27
PEG (NY)4.51
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.52% | ||
| ROE | -0.75% | ||
| ROCE | 0.95% | ||
| ROIC | 0.75% | ||
| ROICexc | 0.77% | ||
| ROICexgc | 5.22% | ||
| OM | 4.58% | ||
| PM (TTM) | N/A | ||
| GM | 49.56% | ||
| FCFM | N/A |
ROA(3y)1.38%
ROA(5y)3.65%
ROE(3y)1.47%
ROE(5y)3.97%
ROIC(3y)2.71%
ROIC(5y)4.4%
ROICexc(3y)3.97%
ROICexc(5y)7.43%
ROICexgc(3y)14.92%
ROICexgc(5y)18.11%
ROCE(3y)3.43%
ROCE(5y)5.58%
ROICexcg growth 3Y-23.14%
ROICexcg growth 5Y-16.2%
ROICexc growth 3Y-51.38%
ROICexc growth 5Y-36.83%
OM growth 3Y-20.27%
OM growth 5Y-13.36%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.02%
GM growth 5Y1.61%
F-Score4
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.57 | ||
| Cap/Depr | 101.22% | ||
| Cap/Sales | 13.07% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.41 | ||
| Quick Ratio | 2.79 | ||
| Altman-Z | 1.66 |
F-Score4
WACC9.11%
ROIC/WACC0.08
Cap/Depr(3y)91%
Cap/Depr(5y)106.13%
Cap/Sales(3y)8.23%
Cap/Sales(5y)7.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)122.22%
EPS 3Y-8.53%
EPS 5Y-5.21%
EPS Q2Q%-36.36%
EPS Next Y6.64%
EPS Next 2Y15.95%
EPS Next 3Y18.35%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.75%
Revenue growth 3Y25.42%
Revenue growth 5Y17.41%
Sales Q2Q%-5.25%
Revenue Next Year4.28%
Revenue Next 2Y4.54%
Revenue Next 3Y4.07%
Revenue Next 5YN/A
EBIT growth 1Y-57.75%
EBIT growth 3Y-0.01%
EBIT growth 5Y1.73%
EBIT Next Year73.89%
EBIT Next 3Y28.51%
EBIT Next 5YN/A
FCF growth 1Y-2195.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-118.44%
OCF growth 3Y-24.24%
OCF growth 5Y-11.19%