CORCEPT THERAPEUTICS INC (NASDAQ:CORT) stands out as an affordable growth candidate, according to our stock screener. The company combines strong growth prospects with solid profitability and financial health, all while trading at a reasonable valuation.
Growth Prospects
CORT demonstrates impressive growth metrics:
Revenue grew by 30.93% over the past year, with a 5-year average annual growth rate of 17.11%.
Earnings per share (EPS) increased by 9.43% in the last year, with expectations for future EPS growth at 56% annually.
The company’s growth trajectory is accelerating, with both revenue and earnings projected to expand faster than in previous years.
Valuation Considerations
While CORT’s P/E ratio of 58.76 appears high, it trades at a discount compared to 79.49% of its pharmaceutical industry peers. Key valuation points include:
A forward P/E of 25.12, closer to the S&P 500 average.
Strong free cash flow generation, with a Price/FCF ratio lower than 79.49% of industry competitors.
Analysts expect high earnings growth, which could justify the current valuation.
Profitability & Financial Health
CORT scores well in profitability and financial stability:
Profitability Rating: 8/10 – The company boasts a 19.55% profit margin, outperforming 93.33% of peers.
Health Rating: 8/10 – No debt, a strong Altman-Z score (29.17), and healthy liquidity ratios highlight financial strength.