Aurinia Pharmaceuticals Inc (NASDAQ:AUPH) stands out as a compelling pick for investors following Louis Navellier’s growth-focused strategy. The company meets several key criteria outlined in The Little Book That Makes You Rich, demonstrating strong fundamentals and growth potential.
Key Strengths Based on Navellier’s Criteria
Positive Earnings Revisions & Surprises: Analysts have raised EPS estimates for the next quarter by 21.67% over the past three months. AUPH has also exceeded earnings expectations in all of the last four quarters, with an average surprise of 197.36%.
Strong Sales & Earnings Growth: Revenue grew 29.20% year-over-year, while quarterly sales increased 24.18%. EPS surged 171.79% over the past year, with a remarkable 633.33% jump in the most recent quarter.
Robust Cash Flow: Free cash flow grew 198.21% in the past year, indicating financial flexibility and the ability to fund future growth.
High Return on Equity (ROE): At 11.38%, AUPH’s ROE outperforms 94.28% of its biotechnology peers.
Valuation & Financial Health
Aurinia’s valuation appears reasonable, with a forward P/E of 10.26, well below industry averages. The company also maintains a solid balance sheet, with a healthy current ratio of 5.93 and manageable debt levels.