CUMBERLAND PHARMACEUTICALS (CPIX)

US2307701092 - Common Stock

1.8677  +0.08 (+4.34%)

Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to CPIX. CPIX was compared to 203 industry peers in the Pharmaceuticals industry. While CPIX seems to be doing ok healthwise, there are quite some concerns on its profitability. CPIX has a valuation in line with the averages, but on the other hand it scores bad on growth.



3

1. Profitability

1.1 Basic Checks

In the past year CPIX was profitable.
CPIX had a positive operating cash flow in the past year.
CPIX had negative earnings in each of the past 5 years.
Each year in the past 5 years CPIX had a positive operating cash flow.

1.2 Ratios

CPIX has a Return On Assets of -7.68%. This is in the better half of the industry: CPIX outperforms 75.62% of its industry peers.
CPIX has a Return On Equity of -21.21%. This is in the better half of the industry: CPIX outperforms 74.63% of its industry peers.
Industry RankSector Rank
ROA -7.68%
ROE -21.21%
ROIC N/A
ROA(3y)-5.94%
ROA(5y)-4.93%
ROE(3y)-14.92%
ROE(5y)-11.76%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

CPIX's Gross Margin of 84.66% is amongst the best of the industry. CPIX outperforms 87.56% of its industry peers.
In the last couple of years the Gross Margin of CPIX has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for CPIX so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 84.66%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.02%
GM growth 5Y1.26%

5

2. Health

2.1 Basic Checks

CPIX does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, CPIX has less shares outstanding
CPIX has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, CPIX has an improved debt to assets ratio.

2.2 Solvency

Based on the Altman-Z score of 0.20, we must say that CPIX is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.20, CPIX perfoms like the industry average, outperforming 52.24% of the companies in the same industry.
The Debt to FCF ratio of CPIX is 2.27, which is a good value as it means it would take CPIX, 2.27 years of fcf income to pay off all of its debts.
CPIX's Debt to FCF ratio of 2.27 is amongst the best of the industry. CPIX outperforms 93.03% of its industry peers.
CPIX has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
CPIX's Debt to Equity ratio of 0.43 is on the low side compared to the rest of the industry. CPIX is outperformed by 62.69% of its industry peers.
Although CPIX 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.
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 2.27
Altman-Z 0.2
ROIC/WACCN/A
WACC7.26%

2.3 Liquidity

CPIX has a Current Ratio of 1.28. This is a normal value and indicates that CPIX is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of CPIX (1.28) is worse than 78.61% of its industry peers.
A Quick Ratio of 1.11 indicates that CPIX should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.11, CPIX is not doing good in the industry: 75.12% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 1.28
Quick Ratio 1.11

1

3. Growth

3.1 Past

The earnings per share for CPIX have decreased strongly by -16.13% in the last year.
Measured over the past years, CPIX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.47% on average per year.
The Revenue has decreased by -5.85% in the past year.
The Revenue has been growing slightly by 6.16% on average over the past years.
EPS 1Y (TTM)-16.13%
EPS 3Y14.47%
EPS 5YN/A
EPS growth Q2Q-120%
Revenue 1Y (TTM)-5.85%
Revenue growth 3Y1.85%
Revenue growth 5Y6.16%
Revenue growth Q2Q2.51%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.

4

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 10.38, the valuation of CPIX can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of CPIX indicates a rather cheap valuation: CPIX is cheaper than 92.04% of the companies listed in the same industry.
CPIX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.42.
Industry RankSector Rank
PE 10.38
Fwd PE N/A

4.2 Price Multiples

Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPIX indicates a rather cheap valuation: CPIX is cheaper than 97.51% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.68
EV/EBITDA N/A

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

No dividends for CPIX!.
Industry RankSector Rank
Dividend Yield N/A

CUMBERLAND PHARMACEUTICALS

NASDAQ:CPIX (3/28/2024, 12:30:07 PM)

1.8677

+0.08 (+4.34%)

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 Cap26.37M
Analysts
Price Target
Dividend
Industry RankSector 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 RankSector Rank
PE 10.38
Fwd PE N/A
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 RankSector Rank
ROA -7.68%
ROE -21.21%
ROCE
ROIC
ROICexc
ROICexgc
OM N/A
PM (TTM) N/A
GM 84.66%
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 Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.28
Quick Ratio 1.11
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)-16.13%
EPS 3Y14.47%
EPS 5Y
EPS growth Q2Q
EPS Next YN/A
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.85%
Revenue growth 3Y1.85%
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