OPTION CARE HEALTH INC (OPCH)
US68404L2016 - Common Stock
OPCH gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 113 industry peers in the Health Care Providers & Services industry. OPCH has an excellent profitability rating, but there are some minor concerns on its financial health. OPCH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
OPCH had positive earnings in the past year.
In the past year OPCH had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: OPCH reported negative net income in multiple years.
OPCH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.09%, OPCH belongs to the top of the industry, outperforming 85.84% of the companies in the same industry.
With an excellent Return On Equity value of 14.64%, OPCH belongs to the best of the industry, outperforming 85.84% of the companies in the same industry.
OPCH's Return On Invested Capital of 8.85% is amongst the best of the industry. OPCH outperforms 84.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OPCH is in line with the industry average of 8.10%.
The last Return On Invested Capital (8.85%) for OPCH is above the 3 year average (7.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 14.64% | ||
| ROIC | 8.85% |
ROA(3y)6.05%
ROA(5y)2.98%
ROE(3y)13.85%
ROE(5y)6.48%
ROIC(3y)7.31%
ROIC(5y)5.29%
1.3 Margins
Looking at the Profit Margin, with a value of 4.37%, OPCH belongs to the top of the industry, outperforming 81.42% of the companies in the same industry.
With a decent Operating Margin value of 6.69%, OPCH is doing good in the industry, outperforming 73.45% of the companies in the same industry.
OPCH's Operating Margin has improved in the last couple of years.
OPCH's Gross Margin of 20.76% is in line compared to the rest of the industry. OPCH outperforms 42.48% of its industry peers.
OPCH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.69% | ||
| PM (TTM) | 4.37% | ||
| GM | 20.76% |
OM growth 3Y26.02%
OM growth 5Y32.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.45%
GM growth 5Y-7.83%
2. Health
2.1 Basic Checks
OPCH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
OPCH has less shares outstanding than it did 1 year ago.
OPCH has more shares outstanding than it did 5 years ago.
The debt/assets ratio for OPCH has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.29 indicates that OPCH is not in any danger for bankruptcy at the moment.
OPCH has a Altman-Z score of 3.29. This is in the better half of the industry: OPCH outperforms 75.22% of its industry peers.
OPCH has a debt to FCF ratio of 3.79. This is a good value and a sign of high solvency as OPCH would need 3.79 years to pay back of all of its debts.
OPCH has a better Debt to FCF ratio (3.79) than 81.42% of its industry peers.
OPCH has a Debt/Equity ratio of 0.77. This is a neutral value indicating OPCH is somewhat dependend on debt financing.
The Debt to Equity ratio of OPCH (0.77) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.79 | ||
| Altman-Z | 3.29 |
ROIC/WACC1.09
WACC8.14%
2.3 Liquidity
OPCH has a Current Ratio of 1.73. This is a normal value and indicates that OPCH is financially healthy and should not expect problems in meeting its short term obligations.
OPCH's Current ratio of 1.73 is fine compared to the rest of the industry. OPCH outperforms 63.72% of its industry peers.
A Quick Ratio of 1.32 indicates that OPCH should not have too much problems paying its short term obligations.
OPCH has a Quick ratio of 1.32. This is comparable to the rest of the industry: OPCH outperforms 49.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for OPCH have decreased strongly by -13.14% in the last year.
The Revenue has grown by 13.58% in the past year. This is quite good.
The Revenue has been growing by 43.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-13.14%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)13.58%
Revenue growth 3Y12.36%
Revenue growth 5Y43.42%
Sales Q2Q%16.97%
3.2 Future
The Earnings Per Share is expected to grow by 0.07% on average over the next years.
The Revenue is expected to grow by 9.87% on average over the next years. This is quite good.
EPS Next Y-15.84%
EPS Next 2Y-6.45%
EPS Next 3Y0.07%
EPS Next 5YN/A
Revenue Next Year15.3%
Revenue Next 2Y10.78%
Revenue Next 3Y9.87%
Revenue Next 5YN/A
3.3 Evolution
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
Based on the Price/Earnings ratio of 18.90, the valuation of OPCH can be described as rather expensive.
73.45% of the companies in the same industry are more expensive than OPCH, based on the Price/Earnings ratio.
OPCH is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 17.48, which indicates a rather expensive current valuation of OPCH.
OPCH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. OPCH is cheaper than 69.91% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of OPCH to the average of the S&P500 Index (23.82), we can say OPCH is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.9 | ||
| Fwd PE | 17.48 |
4.2 Price Multiples
71.68% of the companies in the same industry are more expensive than OPCH, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, OPCH is valued cheaply inside the industry as 88.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.06 | ||
| EV/EBITDA | 11.69 |
4.3 Compensation for Growth
The decent profitability rating of OPCH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-6.45%
EPS Next 3Y0.07%
5. Dividend
5.1 Amount
OPCH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
OPTION CARE HEALTH INC
NASDAQ:OPCH (11/21/2024, 8:00:02 PM)
After market: 22.54 +0.05 (+0.22%)22.49
+0.61 (+2.79%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.83B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.9 | ||
| Fwd PE | 17.48 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 14.64% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 6.69% | ||
| PM (TTM) | 4.37% | ||
| GM | 20.76% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-13.14%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-15.84%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)13.58%
Revenue growth 3Y12.36%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y