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Exploring the Growth Potential of NASDAQ:LNTH as It Nears a Breakout.

By Mill Chart

Last update: Nov 20, 2023

Growth investors are on the lookout for stocks displaying robust revenue and EPS growth. In this analysis, we'll assess whether LANTHEUS HOLDINGS INC (NASDAQ:LNTH) aligns with growth investing criteria, especially as it consolidates and signals a possible breakout. As always, investors should conduct their own research, but LANTHEUS HOLDINGS INC has surfaced on our radar for growth with base formation, warranting further examination.

Evaluating Growth: NASDAQ:LNTH

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NASDAQ:LNTH boasts a 8 out of 10:

  • LNTH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 88.71%, which is quite impressive.
  • LNTH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.91% yearly.
  • Looking at the last year, LNTH shows a very strong growth in Revenue. The Revenue has grown by 50.43%.
  • The Revenue has been growing by 23.05% on average over the past years. This is a very strong growth!
  • LNTH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.93% yearly.
  • The Revenue is expected to grow by 14.68% on average over the next years. This is quite good.

Deciphering NASDAQ:LNTH's Health Rating

ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NASDAQ:LNTH, the assigned 7 for health provides valuable insights:

  • An Altman-Z score of 5.24 indicates that LNTH is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of LNTH (5.24) is better than 81.19% of its industry peers.
  • The Debt to FCF ratio of LNTH is 2.17, which is a good value as it means it would take LNTH, 2.17 years of fcf income to pay off all of its debts.
  • LNTH has a Debt to FCF ratio of 2.17. This is amongst the best in the industry. LNTH outperforms 91.09% of its industry peers.
  • Although LNTH does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
  • LNTH has a Current Ratio of 5.37. This indicates that LNTH is financially healthy and has no problem in meeting its short term obligations.
  • LNTH has a Current ratio of 5.37. This is in the better half of the industry: LNTH outperforms 67.33% of its industry peers.
  • A Quick Ratio of 5.05 indicates that LNTH has no problem at all paying its short term obligations.
  • LNTH has a better Quick ratio (5.05) than 70.30% of its industry peers.

Profitability Assessment of NASDAQ:LNTH

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:LNTH scores a 7 out of 10:

  • LNTH has a better Return On Assets (6.84%) than 88.12% of its industry peers.
  • The Return On Equity of LNTH (14.90%) is better than 92.08% of its industry peers.
  • LNTH has a Return On Invested Capital of 11.01%. This is amongst the best in the industry. LNTH outperforms 93.56% of its industry peers.
  • The Profit Margin of LNTH (8.63%) is better than 84.16% of its industry peers.
  • With an excellent Operating Margin value of 15.55%, LNTH belongs to the best of the industry, outperforming 89.11% of the companies in the same industry.
  • The Gross Margin of LNTH (63.31%) is better than 65.35% of its industry peers.
  • LNTH's Gross Margin has improved in the last couple of years.

How do we evaluate the setup for NASDAQ:LNTH?

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NASDAQ:LNTH this score is currently 7:

LNTH has a bad technical rating, but it does show a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is very little resistance above the current price. We notice that large players showed an interest for LNTH in the last couple of days, which is a good sign.

More Strong Growth stocks can be found in our Strong Growth screener.

Check the latest full fundamental report of LNTH for a complete fundamental analysis.

For an up to date full technical analysis you can check the technical report of LNTH

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.