PACIRA BIOSCIENCES INC (PCRX) Stock Fundamental Analysis
NASDAQ:PCRX - Nasdaq - US6951271005 - Common Stock - Currency: USD
Overall PCRX gets a fundamental rating of 6 out of 10. We evaluated PCRX against 193 industry peers in the Pharmaceuticals industry. While PCRX belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. PCRX may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make PCRX suitable for value investing!
1. Profitability
1.1 Basic Checks
PCRX had positive earnings in the past year.
PCRX had a positive operating cash flow in the past year.
PCRX had positive earnings in 4 of the past 5 years.
In the past 5 years PCRX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of PCRX (-5.97%) is better than 72.02% of its industry peers.
With a decent Return On Equity value of -11.87%, PCRX is doing good in the industry, outperforming 76.17% of the companies in the same industry.
PCRX's Return On Invested Capital of 5.65% is amongst the best of the industry. PCRX outperforms 83.42% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PCRX is significantly below the industry average of 14.87%.
The 3 year average ROIC (4.17%) for PCRX is below the current ROIC(5.65%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.97% | ||
| ROE | -11.87% | ||
| ROIC | 5.65% |
ROA(3y)-0.93%
ROA(5y)2.13%
ROE(3y)-1.97%
ROE(5y)4.66%
ROIC(3y)4.17%
ROIC(5y)4.47%
1.3 Margins
PCRX's Operating Margin of 12.16% is amongst the best of the industry. PCRX outperforms 82.90% of its industry peers.
In the last couple of years the Operating Margin of PCRX has grown nicely.
Looking at the Gross Margin, with a value of 76.46%, PCRX belongs to the top of the industry, outperforming 84.97% of the companies in the same industry.
In the last couple of years the Gross Margin of PCRX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.16% | ||
| PM (TTM) | N/A | ||
| GM | 76.46% |
OM growth 3Y-17.2%
OM growth 5Y10.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.27%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PCRX is destroying value.
Compared to 1 year ago, PCRX has less shares outstanding
PCRX has more shares outstanding than it did 5 years ago.
PCRX has a worse debt/assets ratio than last year.
2.2 Solvency
PCRX has an Altman-Z score of 1.75. This is a bad value and indicates that PCRX is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of PCRX (1.75) is better than 63.21% of its industry peers.
PCRX has a debt to FCF ratio of 3.66. This is a good value and a sign of high solvency as PCRX would need 3.66 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.66, PCRX belongs to the best of the industry, outperforming 88.60% of the companies in the same industry.
PCRX has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
PCRX has a worse Debt to Equity ratio (0.48) than 60.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.66 | ||
| Altman-Z | 1.75 |
ROIC/WACC0.67
WACC8.44%
2.3 Liquidity
PCRX has a Current Ratio of 2.41. This indicates that PCRX is financially healthy and has no problem in meeting its short term obligations.
PCRX has a Current ratio (2.41) which is comparable to the rest of the industry.
PCRX has a Quick Ratio of 1.99. This is a normal value and indicates that PCRX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.99, PCRX is in line with its industry, outperforming 43.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
PCRX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.64%.
The Earnings Per Share has been growing by 13.96% on average over the past years. This is quite good.
Looking at the last year, PCRX shows a very strong growth in Revenue. The Revenue has grown by 27.59%.
The Revenue has been growing by 10.73% on average over the past years. This is quite good.
EPS 1Y (TTM)6.64%
EPS 3Y2.39%
EPS 5Y13.96%
EPS Q2Q%0%
Revenue 1Y (TTM)27.59%
Revenue growth 3Y8.98%
Revenue growth 5Y10.73%
Sales Q2Q%1.08%
3.2 Future
Based on estimates for the next years, PCRX will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.26% on average per year.
Based on estimates for the next years, PCRX will show a small growth in Revenue. The Revenue will grow by 7.00% on average per year.
EPS Next Y-7.79%
EPS Next 2Y2.91%
EPS Next 3Y9.01%
EPS Next 5Y9.26%
Revenue Next Year6.01%
Revenue Next 2Y8.48%
Revenue Next 3Y8.66%
Revenue Next 5Y7%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
The Price/Earnings ratio is 7.08, which indicates a rather cheap valuation of PCRX.
Based on the Price/Earnings ratio, PCRX is valued cheaper than 93.78% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.51, PCRX is valued rather cheaply.
The Price/Forward Earnings ratio is 6.69, which indicates a rather cheap valuation of PCRX.
PCRX's Price/Forward Earnings ratio is rather cheap when compared to the industry. PCRX is cheaper than 91.19% of the companies in the same industry.
PCRX is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.58, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.08 | ||
| Fwd PE | 6.69 |
4.2 Price Multiples
97.41% of the companies in the same industry are more expensive than PCRX, based on the Enterprise Value to EBITDA ratio.
95.34% of the companies in the same industry are more expensive than PCRX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.6 | ||
| EV/EBITDA | 5.12 |
4.3 Compensation for Growth
The decent profitability rating of PCRX may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.51
EPS Next 2Y2.91%
EPS Next 3Y9.01%
5. Dividend
5.1 Amount
No dividends for PCRX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
22.73
-0.58 (-2.49%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners111.44%
Inst Owner Change0%
Ins Owners0.69%
Ins Owner Change33.22%
Market Cap1.05B
Analysts75.38
Price Target39.37 (73.21%)
Short Float %12.32%
Short Ratio8.2
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)2
Avg EPS beat(2)4.4%
Min EPS beat(2)1.99%
Max EPS beat(2)6.81%
EPS beat(4)4
Avg EPS beat(4)10.88%
Min EPS beat(4)1.99%
Max EPS beat(4)24.81%
EPS beat(8)5
Avg EPS beat(8)3.83%
EPS beat(12)5
Avg EPS beat(12)-4.15%
EPS beat(16)8
Avg EPS beat(16)-3.65%
Revenue beat(2)0
Avg Revenue beat(2)-3.17%
Min Revenue beat(2)-5.92%
Max Revenue beat(2)-0.42%
Revenue beat(4)1
Avg Revenue beat(4)-1.94%
Min Revenue beat(4)-5.92%
Max Revenue beat(4)1.18%
Revenue beat(8)1
Avg Revenue beat(8)-2.72%
Revenue beat(12)1
Avg Revenue beat(12)-2.57%
Revenue beat(16)2
Avg Revenue beat(16)-2.32%
PT rev (1m)0%
PT rev (3m)12.87%
EPS NQ rev (1m)5.18%
EPS NQ rev (3m)-5.49%
EPS NY rev (1m)2.92%
EPS NY rev (3m)2.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.02%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)-1.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.08 | ||
| Fwd PE | 6.69 | ||
| P/S | 1.21 | ||
| P/FCF | 6.6 | ||
| P/OCF | 5.99 | ||
| P/B | 1.32 | ||
| P/tB | 3.08 | ||
| EV/EBITDA | 5.12 |
EPS(TTM)3.21
EY14.12%
EPS(NY)3.4
Fwd EY14.96%
FCF(TTM)3.44
FCFY15.15%
OCF(TTM)3.8
OCFY16.7%
SpS18.79
BVpS17.25
TBVpS7.39
PEG (NY)N/A
PEG (5Y)0.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.97% | ||
| ROE | -11.87% | ||
| ROCE | 8.31% | ||
| ROIC | 5.65% | ||
| ROICexc | 9.24% | ||
| ROICexgc | 22.34% | ||
| OM | 12.16% | ||
| PM (TTM) | N/A | ||
| GM | 76.46% | ||
| FCFM | 18.32% |
ROA(3y)-0.93%
ROA(5y)2.13%
ROE(3y)-1.97%
ROE(5y)4.66%
ROIC(3y)4.17%
ROIC(5y)4.47%
ROICexc(3y)5.86%
ROICexc(5y)7.17%
ROICexgc(3y)13.2%
ROICexgc(5y)24.66%
ROCE(3y)6.13%
ROCE(5y)6.57%
ROICexcg growth 3Y-34.27%
ROICexcg growth 5Y13.31%
ROICexc growth 3Y-4.56%
ROICexc growth 5Y9.22%
OM growth 3Y-17.2%
OM growth 5Y10.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.27%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.66 | ||
| Debt/EBITDA | 2.04 | ||
| Cap/Depr | 20.05% | ||
| Cap/Sales | 1.88% | ||
| Interest Coverage | 7.47 | ||
| Cash Conversion | 93.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 1.75 |
F-Score5
WACC8.44%
ROIC/WACC0.67
Cap/Depr(3y)22.15%
Cap/Depr(5y)83.49%
Cap/Sales(3y)2.76%
Cap/Sales(5y)5.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.64%
EPS 3Y2.39%
EPS 5Y13.96%
EPS Q2Q%0%
EPS Next Y-7.79%
EPS Next 2Y2.91%
EPS Next 3Y9.01%
EPS Next 5Y9.26%
Revenue 1Y (TTM)27.59%
Revenue growth 3Y8.98%
Revenue growth 5Y10.73%
Sales Q2Q%1.08%
Revenue Next Year6.01%
Revenue Next 2Y8.48%
Revenue Next 3Y8.66%
Revenue Next 5Y7%
EBIT growth 1Y13.13%
EBIT growth 3Y-9.76%
EBIT growth 5Y22.27%
EBIT Next Year6.58%
EBIT Next 3Y12.56%
EBIT Next 5Y7.28%
FCF growth 1Y52.39%
FCF growth 3Y30.84%
FCF growth 5Y24.28%
OCF growth 1Y31.55%
OCF growth 3Y14.64%
OCF growth 5Y21.85%