CATALYST PHARMACEUTICALS INC (NASDAQ:CPRX) – A Strong Contender in Affordable Growth Stocks

CATALYST PHARMACEUTICALS INC (NASDAQ:CPRX) stands out as an affordable growth stock based on our screening criteria. The company combines strong growth metrics with solid profitability and financial health, all while trading at a reasonable valuation.

Growth Prospects

CPRX demonstrates impressive growth, earning a Growth Rating of 9/10. Key highlights include:

• Earnings Per Share (EPS) surged by 112.16% over the past year, with a 3-year average growth of 34.29%.
• Revenue increased by 29.96% in the last year and has grown at an average annual rate of 36.89% over the past several years.
• Analysts expect continued growth, with EPS projected to rise by 29.40% annually in the coming years.

Attractive Valuation

Despite its strong growth, CPRX remains reasonably priced with a Valuation Rating of 7/10:

• The P/E ratio of 13.87 is significantly lower than both the industry average (72.53) and the S&P 500 (26.98).
• Its Forward P/E of 12.62 suggests further upside potential.
• The Enterprise Value to EBITDA ratio indicates CPRX is cheaper than 98% of its industry peers.

Strong Profitability and Financial Health

• Profitability Rating: 9/10 – CPRX boasts high margins, including a 36.91% Profit Margin and 43.27% Operating Margin, outperforming most competitors.
• Health Rating: 8/10 – The company has no debt, a strong Current Ratio of 6.14, and a high Altman-Z score of 16.62, indicating financial stability.

For a deeper look, review the full fundamental analysis of CPRX.

Our Affordable Growth screener lists more stocks with similar characteristics and is updated daily.

Disclaimer

This is not investing advice! The article highlights observations at the time of writing, but you should conduct your own analysis before making investment decisions.