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Investors should take note of NASDAQ:LNTH, a growth stock that remains attractively priced.

By Mill Chart

Last update: Mar 8, 2024

Discover LANTHEUS HOLDINGS INC (NASDAQ:LNTH), an undervalued growth gem identified by our stock screener. NASDAQ:LNTH is shining in terms of growth metrics, and it's also displaying strong financial health and profitability. What's more, it retains an appealing valuation. We'll break it down further.

How do we evaluate the Growth for NASDAQ:LNTH?

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NASDAQ:LNTH scores a 8 out of 10:

  • The Earnings Per Share has grown by an impressive 47.63% over the past year.
  • LNTH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 45.36% yearly.
  • Looking at the last year, LNTH shows a very strong growth in Revenue. The Revenue has grown by 38.64%.
  • LNTH shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 30.43% yearly.
  • Based on estimates for the next years, LNTH will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.43% on average per year.
  • The Revenue is expected to grow by 10.13% on average over the next years. This is quite good.

Valuation Analysis for NASDAQ:LNTH

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NASDAQ:LNTH has received a 7 out of 10:

  • The Price/Earnings ratio is 10.05, which indicates a very decent valuation of LNTH.
  • Based on the Price/Earnings ratio, LNTH is valued cheaper than 97.45% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.03. LNTH is valued rather cheaply when compared to this.
  • LNTH is valuated reasonably with a Price/Forward Earnings ratio of 9.84.
  • 96.94% of the companies in the same industry are more expensive than LNTH, based on the Price/Forward Earnings ratio.
  • LNTH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.06.
  • LNTH's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. LNTH is cheaper than 96.43% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, LNTH is valued cheaply inside the industry as 93.88% of the companies are valued more expensively.
  • LNTH has a very decent profitability rating, which may justify a higher PE ratio.

Exploring NASDAQ:LNTH's Health

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 8 for health provides valuable insights:

  • LNTH has an Altman-Z score of 5.63. This indicates that LNTH is financially healthy and has little risk of bankruptcy at the moment.
  • LNTH's Altman-Z score of 5.63 is amongst the best of the industry. LNTH outperforms 82.14% of its industry peers.
  • LNTH has a debt to FCF ratio of 2.64. This is a good value and a sign of high solvency as LNTH would need 2.64 years to pay back of all of its debts.
  • LNTH has a Debt to FCF ratio of 2.64. This is amongst the best in the industry. LNTH outperforms 89.29% of its industry peers.
  • LNTH has a Current Ratio of 5.80. This indicates that LNTH is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 5.80, LNTH is in the better half of the industry, outperforming 76.53% of the companies in the same industry.
  • LNTH has a Quick Ratio of 5.45. This indicates that LNTH is financially healthy and has no problem in meeting its short term obligations.
  • The Quick ratio of LNTH (5.45) is better than 79.08% of its industry peers.

Profitability Insights: NASDAQ:LNTH

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NASDAQ:LNTH was assigned a score of 7 for profitability:

  • The Return On Assets of LNTH (19.79%) is better than 98.47% of its industry peers.
  • LNTH has a Return On Equity of 40.04%. This is amongst the best in the industry. LNTH outperforms 99.49% of its industry peers.
  • With an excellent Return On Invested Capital value of 26.97%, LNTH belongs to the best of the industry, outperforming 98.98% of the companies in the same industry.
  • LNTH has a better Profit Margin (25.20%) than 96.94% of its industry peers.
  • LNTH's Profit Margin has improved in the last couple of years.
  • LNTH has a better Operating Margin (38.31%) than 99.49% of its industry peers.
  • LNTH's Operating Margin has improved in the last couple of years.
  • LNTH has a Gross Margin of 63.71%. This is in the better half of the industry: LNTH outperforms 65.31% of its industry peers.

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

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

Disclaimer

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.

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