CIPHER PHARMACEUTICALS INC (CPH.CA) Stock Fundamental Analysis
TSX:CPH - Toronto Stock Exchange - CA17253X1050 - Common Stock - Currency: CAD
CPH gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 34 industry peers in the Pharmaceuticals industry. While CPH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CPH is growing strongly while it is still valued neutral. This is a good combination! This makes CPH very considerable for growth investing!
1. Profitability
1.1 Basic Checks
CPH had positive earnings in the past year.
CPH had a positive operating cash flow in the past year.
CPH had positive earnings in each of the past 5 years.
Each year in the past 5 years CPH had a positive operating cash flow.
1.2 Ratios
CPH's Return On Assets of 5.67% is amongst the best of the industry. CPH outperforms 91.18% of its industry peers.
CPH's Return On Equity of 8.79% is amongst the best of the industry. CPH outperforms 88.24% of its industry peers.
The Return On Invested Capital of CPH (3.60%) is better than 73.53% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CPH is in line with the industry average of 7.86%.
The last Return On Invested Capital (3.60%) for CPH is well below the 3 year average (8.42%), which needs to be investigated, but indicates that CPH had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.67% | ||
| ROE | 8.79% | ||
| ROIC | 3.6% |
ROA(3y)22.3%
ROA(5y)18.43%
ROE(3y)26.05%
ROE(5y)22.41%
ROIC(3y)8.42%
ROIC(5y)14.92%
1.3 Margins
The Profit Margin of CPH (23.40%) is better than 97.06% of its industry peers.
In the last couple of years the Profit Margin of CPH has grown nicely.
CPH has a better Operating Margin (18.39%) than 85.29% of its industry peers.
In the last couple of years the Operating Margin of CPH has declined.
The Gross Margin of CPH (71.95%) is better than 94.12% of its industry peers.
In the last couple of years the Gross Margin of CPH has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.39% | ||
| PM (TTM) | 23.4% | ||
| GM | 71.95% |
OM growth 3Y-26.62%
OM growth 5Y-14.41%
PM growth 3Y-0.73%
PM growth 5Y19.11%
GM growth 3Y-4.61%
GM growth 5Y-3.67%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPH is destroying value.
The number of shares outstanding for CPH has been increased compared to 1 year ago.
CPH has less shares outstanding than it did 5 years ago.
CPH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.80 indicates that CPH is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.80, CPH belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
CPH has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.38, CPH is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.8 |
ROIC/WACC0.42
WACC8.53%
2.3 Liquidity
A Current Ratio of 2.28 indicates that CPH has no problem at all paying its short term obligations.
The Current ratio of CPH (2.28) is comparable to the rest of the industry.
A Quick Ratio of 1.97 indicates that CPH should not have too much problems paying its short term obligations.
CPH has a Quick ratio of 1.97. This is in the better half of the industry: CPH outperforms 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.97 |
3. Growth
3.1 Past
The earnings per share for CPH have decreased strongly by -59.55% in the last year.
Measured over the past years, CPH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.47% on average per year.
Looking at the last year, CPH shows a very strong growth in Revenue. The Revenue has grown by 78.42%.
Measured over the past years, CPH shows a quite strong growth in Revenue. The Revenue has been growing by 8.25% on average per year.
EPS 1Y (TTM)-59.55%
EPS 3Y13.23%
EPS 5Y12.47%
EPS Q2Q%-50%
Revenue 1Y (TTM)78.42%
Revenue growth 3Y14.99%
Revenue growth 5Y8.25%
Sales Q2Q%104.86%
3.2 Future
Based on estimates for the next years, CPH will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.25% on average per year.
Based on estimates for the next years, CPH will show a very strong growth in Revenue. The Revenue will grow by 21.22% on average per year.
EPS Next Y40.28%
EPS Next 2Y27.42%
EPS Next 3Y16.25%
EPS Next 5YN/A
Revenue Next Year56.92%
Revenue Next 2Y30.52%
Revenue Next 3Y21.22%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 26.71, the valuation of CPH can be described as expensive.
79.41% of the companies in the same industry are more expensive than CPH, based on the Price/Earnings ratio.
CPH's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.32.
Based on the Price/Forward Earnings ratio of 13.15, the valuation of CPH can be described as correct.
91.18% of the companies in the same industry are more expensive than CPH, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, CPH is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.71 | ||
| Fwd PE | 13.15 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CPH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 20.64 |
4.3 Compensation for Growth
CPH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of CPH may justify a higher PE ratio.
CPH's earnings are expected to grow with 16.25% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.66
PEG (5Y)2.14
EPS Next 2Y27.42%
EPS Next 3Y16.25%
5. Dividend
5.1 Amount
No dividends for CPH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:CPH (6/13/2025, 7:00:00 PM)
13.09
-0.27 (-2.02%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners1.35%
Inst Owner ChangeN/A
Ins Owners4.67%
Ins Owner ChangeN/A
Market Cap335.37M
Analysts77.78
Price Target16.34 (24.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.2%
Min EPS beat(2)-37.21%
Max EPS beat(2)-7.18%
EPS beat(4)1
Avg EPS beat(4)-34.34%
Min EPS beat(4)-94.79%
Max EPS beat(4)1.84%
EPS beat(8)5
Avg EPS beat(8)60.91%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.6%
Min Revenue beat(2)-0.68%
Max Revenue beat(2)-0.52%
Revenue beat(4)1
Avg Revenue beat(4)0.73%
Min Revenue beat(4)-2.71%
Max Revenue beat(4)6.82%
Revenue beat(8)3
Avg Revenue beat(8)7.2%
Revenue beat(12)3
Avg Revenue beat(12)0.33%
Revenue beat(16)4
Avg Revenue beat(16)-1.04%
PT rev (1m)-4.19%
PT rev (3m)-14.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-23.47%
Revenue NQ rev (1m)1.52%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.71 | ||
| Fwd PE | 13.15 | ||
| P/S | 6.23 | ||
| P/FCF | N/A | ||
| P/OCF | 11.53 | ||
| P/B | 2.34 | ||
| P/tB | 22.82 | ||
| EV/EBITDA | 20.64 |
EPS(TTM)0.49
EY3.74%
EPS(NY)1
Fwd EY7.61%
FCF(TTM)-3.12
FCFYN/A
OCF(TTM)1.13
OCFY8.67%
SpS2.1
BVpS5.6
TBVpS0.57
PEG (NY)0.66
PEG (5Y)2.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.67% | ||
| ROE | 8.79% | ||
| ROCE | 4.99% | ||
| ROIC | 3.6% | ||
| ROICexc | 4.24% | ||
| ROICexgc | 18.03% | ||
| OM | 18.39% | ||
| PM (TTM) | 23.4% | ||
| GM | 71.95% | ||
| FCFM | N/A |
ROA(3y)22.3%
ROA(5y)18.43%
ROE(3y)26.05%
ROE(5y)22.41%
ROIC(3y)8.42%
ROIC(5y)14.92%
ROICexc(3y)14.84%
ROICexc(5y)25.78%
ROICexgc(3y)32.35%
ROICexgc(5y)N/A
ROCE(3y)11.69%
ROCE(5y)20.72%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-55.02%
ROICexc growth 5Y-33.6%
OM growth 3Y-26.62%
OM growth 5Y-14.41%
PM growth 3Y-0.73%
PM growth 5Y19.11%
GM growth 3Y-4.61%
GM growth 5Y-3.67%
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.14 | ||
| Cap/Depr | 1442.16% | ||
| Cap/Sales | 202.56% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 166.44% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.97 | ||
| Altman-Z | 3.8 |
F-Score4
WACC8.53%
ROIC/WACC0.42
Cap/Depr(3y)670.82%
Cap/Depr(5y)415.05%
Cap/Sales(3y)80.33%
Cap/Sales(5y)48.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-59.55%
EPS 3Y13.23%
EPS 5Y12.47%
EPS Q2Q%-50%
EPS Next Y40.28%
EPS Next 2Y27.42%
EPS Next 3Y16.25%
EPS Next 5YN/A
Revenue 1Y (TTM)78.42%
Revenue growth 3Y14.99%
Revenue growth 5Y8.25%
Sales Q2Q%104.86%
Revenue Next Year56.92%
Revenue Next 2Y30.52%
Revenue Next 3Y21.22%
Revenue Next 5YN/A
EBIT growth 1Y-32.36%
EBIT growth 3Y-15.61%
EBIT growth 5Y-7.36%
EBIT Next Year137.16%
EBIT Next 3Y39.94%
EBIT Next 5YN/A
FCF growth 1Y-549.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y62.22%
OCF growth 3Y12.28%
OCF growth 5Y19.77%