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 33 industry peers in the Pharmaceuticals industry. CPH scores excellent on profitability, but 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.
In the past year CPH had a positive cash flow from operations.
In the past 5 years CPH has always been profitable.
In the past 5 years CPH always reported a positive cash flow from operatings.
1.2 Ratios
CPH has a better Return On Assets (5.67%) than 90.91% of its industry peers.
CPH's Return On Equity of 8.79% is amongst the best of the industry. CPH outperforms 90.91% of its industry peers.
The Return On Invested Capital of CPH (3.60%) is better than 78.79% 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 8.20%.
The 3 year average ROIC (8.42%) for CPH is well above the current ROIC(3.60%). The reason for the recent decline needs to be investigated.
| 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
With an excellent Profit Margin value of 23.40%, CPH belongs to the best of the industry, outperforming 96.97% of the companies in the same industry.
In the last couple of years the Profit Margin of CPH has grown nicely.
CPH has a better Operating Margin (18.39%) than 87.88% of its industry peers.
CPH's Operating Margin has declined in the last couple of years.
The Gross Margin of CPH (71.95%) is better than 93.94% of its industry peers.
CPH's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CPH is destroying value.
Compared to 1 year ago, CPH has more shares outstanding
The number of shares outstanding for CPH has been reduced compared to 5 years ago.
Compared to 1 year ago, CPH has a worse debt to assets ratio.
2.2 Solvency
CPH has an Altman-Z score of 3.67. This indicates that CPH is financially healthy and has little risk of bankruptcy at the moment.
CPH's Altman-Z score of 3.67 is amongst the best of the industry. CPH outperforms 93.94% of its industry peers.
A Debt/Equity ratio of 0.38 indicates that CPH is not too dependend on debt financing.
CPH has a Debt to Equity ratio (0.38) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.67 |
ROIC/WACC0.4
WACC8.94%
2.3 Liquidity
A Current Ratio of 2.28 indicates that CPH has no problem at all paying its short term obligations.
CPH has a Current ratio (2.28) which 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.
With a decent Quick ratio value of 1.97, CPH is doing good in the industry, outperforming 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.97 |
3. Growth
3.1 Past
CPH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -59.55%.
CPH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.47% yearly.
CPH shows a strong growth in Revenue. In the last year, the Revenue has grown by 78.42%.
The Revenue has been growing by 8.25% on average over the past years. This is quite good.
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.
The Revenue is expected to grow by 21.22% on average over the next years. This is a very strong growth
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.43, which means the current valuation is very expensive for CPH.
Based on the Price/Earnings ratio, CPH is valued cheaply inside the industry as 84.85% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.04. CPH is around the same levels.
The Price/Forward Earnings ratio is 12.47, which indicates a correct valuation of CPH.
CPH's Price/Forward Earnings ratio is rather cheap when compared to the industry. CPH is cheaper than 90.91% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 37.64. CPH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.43 | ||
| Fwd PE | 12.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CPH indicates a somewhat cheap valuation: CPH is cheaper than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.65 |
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)0.63
PEG (5Y)2.04
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 (7/25/2025, 7:00:00 PM)
12.46
-0.08 (-0.64%)
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 Cap319.23M
Analysts77.78
Price Target16.34 (31.14%)
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)0%
PT rev (3m)-4.19%
EPS NQ rev (1m)-3.03%
EPS NQ rev (3m)-3.03%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.52%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.43 | ||
| Fwd PE | 12.47 | ||
| P/S | 5.91 | ||
| P/FCF | N/A | ||
| P/OCF | 10.94 | ||
| P/B | 2.22 | ||
| P/tB | 21.65 | ||
| EV/EBITDA | 19.65 |
EPS(TTM)0.49
EY3.93%
EPS(NY)1
Fwd EY8.02%
FCF(TTM)-3.13
FCFYN/A
OCF(TTM)1.14
OCFY9.14%
SpS2.11
BVpS5.62
TBVpS0.58
PEG (NY)0.63
PEG (5Y)2.04
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 | 3.67 |
F-Score4
WACC8.94%
ROIC/WACC0.4
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 Year136.33%
EBIT Next 3Y39.78%
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%