AMNEAL PHARMACEUTICALS INC (AMRX)
US03168L1052 - Common Stock
Taking everything into account, AMRX scores 3 out of 10 in our fundamental rating. AMRX was compared to 198 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of AMRX while its profitability can be described as average. AMRX is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year AMRX was profitable.
AMRX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AMRX reported negative net income in multiple years.
In the past 5 years AMRX always reported a positive cash flow from operatings.
1.2 Ratios
AMRX has a better Return On Assets (-2.42%) than 78.46% of its industry peers.
Looking at the Return On Equity, with a value of -424.61%, AMRX is doing worse than 82.05% of the companies in the same industry.
The Return On Invested Capital of AMRX (6.72%) is better than 86.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMRX is significantly below the industry average of 16.40%.
The last Return On Invested Capital (6.72%) for AMRX is above the 3 year average (6.02%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.42% | ||
| ROE | -424.61% | ||
| ROIC | 6.72% |
ROA(3y)-1.86%
ROA(5y)-2.63%
ROE(3y)-155.07%
ROE(5y)-118.24%
ROIC(3y)6.02%
ROIC(5y)N/A
1.3 Margins
AMRX has a better Operating Margin (9.97%) than 82.56% of its industry peers.
AMRX's Operating Margin has declined in the last couple of years.
AMRX has a Gross Margin (34.28%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of AMRX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.97% | ||
| PM (TTM) | N/A | ||
| GM | 34.28% |
OM growth 3Y16.23%
OM growth 5Y-7.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-3.88%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AMRX is destroying value.
AMRX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, AMRX has more shares outstanding
Compared to 1 year ago, AMRX has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.22, we must say that AMRX is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.22, AMRX is doing good in the industry, outperforming 62.56% of the companies in the same industry.
The Debt to FCF ratio of AMRX is 9.77, which is on the high side as it means it would take AMRX, 9.77 years of fcf income to pay off all of its debts.
AMRX has a Debt to FCF ratio of 9.77. This is amongst the best in the industry. AMRX outperforms 82.05% of its industry peers.
AMRX has a Debt/Equity ratio of 134.73. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 134.73, AMRX is not doing good in the industry: 86.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 134.73 | ||
| Debt/FCF | 9.77 | ||
| Altman-Z | 1.22 |
ROIC/WACC0.79
WACC8.49%
2.3 Liquidity
A Current Ratio of 1.63 indicates that AMRX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.63, AMRX is doing worse than 73.85% of the companies in the same industry.
A Quick Ratio of 0.94 indicates that AMRX may have some problems paying its short term obligations.
AMRX's Quick ratio of 0.94 is on the low side compared to the rest of the industry. AMRX is outperformed by 81.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
The earnings per share for AMRX have decreased by -5.88% in the last year.
Looking at the last year, AMRX shows a quite strong growth in Revenue. The Revenue has grown by 8.20% in the last year.
Measured over the past years, AMRX shows a small growth in Revenue. The Revenue has been growing by 7.56% on average per year.
EPS 1Y (TTM)-5.88%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-39.13%
Revenue 1Y (TTM)8.2%
Revenue growth 3Y6.3%
Revenue growth 5Y7.56%
Revenue growth Q2Q1.18%
3.2 Future
Based on estimates for the next years, AMRX will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.23% on average per year.
Based on estimates for the next years, AMRX will show a small growth in Revenue. The Revenue will grow by 2.82% on average per year.
EPS Next Y-1.66%
EPS Next 2Y5.28%
EPS Next 3Y5.88%
EPS Next 5Y9.23%
Revenue Next Year8.17%
Revenue Next 2Y5.94%
Revenue Next 3Y4.61%
Revenue Next 5Y2.82%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.17, the valuation of AMRX can be described as reasonable.
Based on the Price/Earnings ratio, AMRX is valued cheaper than 93.33% of the companies in the same industry.
AMRX is valuated cheaply when we compare the Price/Earnings ratio to 24.84, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.89, the valuation of AMRX can be described as very reasonable.
92.31% of the companies in the same industry are more expensive than AMRX, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.35. AMRX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.17 | ||
| Fwd PE | 9.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AMRX is valued cheaply inside the industry as 86.67% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, AMRX is valued cheaply inside the industry as 95.38% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.55 | ||
| EV/EBITDA | 9.06 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.28%
EPS Next 3Y5.88%
5. Dividend
5.1 Amount
No dividends for AMRX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
AMNEAL PHARMACEUTICALS INC
NASDAQ:AMRX (4/26/2024, 7:00:00 PM)
After market: 5.74 -0.13 (-2.21%)5.87
-0.03 (-0.51%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.81B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.17 | ||
| Fwd PE | 9.89 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.42% | ||
| ROE | -424.61% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.97% | ||
| PM (TTM) | N/A | ||
| GM | 34.28% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 134.73 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-5.88%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-1.66%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)8.2%
Revenue growth 3Y6.3%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y