CATALYST PHARMACEUTICALS INC (CPRX) Stock Fundamental Analysis
NASDAQ:CPRX - Nasdaq - US14888U1016 - Common Stock - Currency: USD
Taking everything into account, CPRX scores 8 out of 10 in our fundamental rating. CPRX was compared to 555 industry peers in the Biotechnology industry. CPRX scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CPRX has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! With these ratings, CPRX could be worth investigating further for value and growth and quality investing!.
1. Profitability
1.1 Basic Checks
CPRX had positive earnings in the past year.
In the past year CPRX had a positive cash flow from operations.
Each year in the past 5 years CPRX has been profitable.
CPRX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 21.71%, CPRX belongs to the top of the industry, outperforming 97.84% of the companies in the same industry.
Looking at the Return On Equity, with a value of 24.85%, CPRX belongs to the top of the industry, outperforming 97.12% of the companies in the same industry.
CPRX's Return On Invested Capital of 21.96% is amongst the best of the industry. CPRX outperforms 97.84% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CPRX is significantly above the industry average of 14.78%.
The 3 year average ROIC (20.37%) for CPRX is below the current ROIC(21.96%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.71% | ||
| ROE | 24.85% | ||
| ROIC | 21.96% |
ROA(3y)18.85%
ROA(5y)22.43%
ROE(3y)22.87%
ROE(5y)26.38%
ROIC(3y)20.37%
ROIC(5y)19.67%
1.3 Margins
CPRX has a better Profit Margin (36.91%) than 97.66% of its industry peers.
CPRX's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 43.27%, CPRX belongs to the best of the industry, outperforming 99.46% of the companies in the same industry.
CPRX's Operating Margin has improved in the last couple of years.
CPRX has a Gross Margin of 86.11%. This is amongst the best in the industry. CPRX outperforms 89.37% of its industry peers.
In the last couple of years the Gross Margin of CPRX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.27% | ||
| PM (TTM) | 36.91% | ||
| GM | 86.11% |
OM growth 3Y2.16%
OM growth 5Y5%
PM growth 3Y5.91%
PM growth 5Y1.34%
GM growth 3Y0.61%
GM growth 5Y0.11%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CPRX is creating value.
CPRX has more shares outstanding than it did 1 year ago.
CPRX has more shares outstanding than it did 5 years ago.
CPRX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
CPRX has an Altman-Z score of 16.42. This indicates that CPRX is financially healthy and has little risk of bankruptcy at the moment.
CPRX has a better Altman-Z score (16.42) than 92.07% of its industry peers.
CPRX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.42 |
ROIC/WACC2.46
WACC8.93%
2.3 Liquidity
A Current Ratio of 6.14 indicates that CPRX has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 6.14, CPRX is in the better half of the industry, outperforming 61.80% of the companies in the same industry.
A Quick Ratio of 5.96 indicates that CPRX has no problem at all paying its short term obligations.
CPRX's Quick ratio of 5.96 is fine compared to the rest of the industry. CPRX outperforms 61.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.14 | ||
| Quick Ratio | 5.96 |
3. Growth
3.1 Past
CPRX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 112.16%, which is quite impressive.
Measured over the past years, CPRX shows a very strong growth in Earnings Per Share. The EPS has been growing by 34.29% on average per year.
The Revenue has grown by 29.96% in the past year. This is a very strong growth!
Measured over the past years, CPRX shows a very strong growth in Revenue. The Revenue has been growing by 36.89% on average per year.
EPS 1Y (TTM)112.16%
EPS 3Y52.41%
EPS 5Y34.29%
EPS Q2Q%136.84%
Revenue 1Y (TTM)29.96%
Revenue growth 3Y51.72%
Revenue growth 5Y36.89%
Sales Q2Q%43.56%
3.2 Future
The Earnings Per Share is expected to grow by 29.40% on average over the next years. This is a very strong growth
Based on estimates for the next years, CPRX will show a quite strong growth in Revenue. The Revenue will grow by 12.18% on average per year.
EPS Next Y13.68%
EPS Next 2Y14.77%
EPS Next 3Y13.44%
EPS Next 5Y29.4%
Revenue Next Year15.89%
Revenue Next 2Y12.29%
Revenue Next 3Y12.18%
Revenue Next 5Y12.18%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.67 indicates a correct valuation of CPRX.
95.86% of the companies in the same industry are more expensive than CPRX, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.45. CPRX is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 12.44, the valuation of CPRX can be described as correct.
Based on the Price/Forward Earnings ratio, CPRX is valued cheaply inside the industry as 95.68% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.90. CPRX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.67 | ||
| Fwd PE | 12.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CPRX indicates a rather cheap valuation: CPRX is cheaper than 98.02% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPRX indicates a rather cheap valuation: CPRX is cheaper than 97.12% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.78 | ||
| EV/EBITDA | 7.57 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CPRX has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CPRX's earnings are expected to grow with 13.44% in the coming years.
PEG (NY)1
PEG (5Y)0.4
EPS Next 2Y14.77%
EPS Next 3Y13.44%
5. Dividend
5.1 Amount
No dividends for CPRX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
21.46
+0.01 (+0.05%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners82.81%
Inst Owner Change-0.12%
Ins Owners5.57%
Ins Owner Change-0.15%
Market Cap2.62B
Analysts88.57
Price Target34.68 (61.6%)
Short Float %6.76%
Short Ratio6.59
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)2
Avg EPS beat(2)28.58%
Min EPS beat(2)27.41%
Max EPS beat(2)29.76%
EPS beat(4)4
Avg EPS beat(4)23.15%
Min EPS beat(4)12.87%
Max EPS beat(4)29.76%
EPS beat(8)8
Avg EPS beat(8)20.71%
EPS beat(12)11
Avg EPS beat(12)13.76%
EPS beat(16)12
Avg EPS beat(16)8.39%
Revenue beat(2)2
Avg Revenue beat(2)4.52%
Min Revenue beat(2)3.61%
Max Revenue beat(2)5.44%
Revenue beat(4)4
Avg Revenue beat(4)4.7%
Min Revenue beat(4)2.23%
Max Revenue beat(4)7.55%
Revenue beat(8)7
Avg Revenue beat(8)3.29%
Revenue beat(12)11
Avg Revenue beat(12)3.49%
Revenue beat(16)13
Avg Revenue beat(16)3.39%
PT rev (1m)0%
PT rev (3m)2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.41%
EPS NY rev (1m)0%
EPS NY rev (3m)1.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.67 | ||
| Fwd PE | 12.44 | ||
| P/S | 4.9 | ||
| P/FCF | 9.78 | ||
| P/OCF | 9.77 | ||
| P/B | 3.3 | ||
| P/tB | 4.05 | ||
| EV/EBITDA | 7.57 |
EPS(TTM)1.57
EY7.32%
EPS(NY)1.73
Fwd EY8.04%
FCF(TTM)2.19
FCFY10.22%
OCF(TTM)2.2
OCFY10.24%
SpS4.38
BVpS6.51
TBVpS5.3
PEG (NY)1
PEG (5Y)0.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.71% | ||
| ROE | 24.85% | ||
| ROCE | 29.02% | ||
| ROIC | 21.96% | ||
| ROICexc | 80.84% | ||
| ROICexgc | 252.85% | ||
| OM | 43.27% | ||
| PM (TTM) | 36.91% | ||
| GM | 86.11% | ||
| FCFM | 50.05% |
ROA(3y)18.85%
ROA(5y)22.43%
ROE(3y)22.87%
ROE(5y)26.38%
ROIC(3y)20.37%
ROIC(5y)19.67%
ROICexc(3y)162.63%
ROICexc(5y)159.51%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)26.92%
ROCE(5y)25.99%
ROICexcg growth 3Y8.72%
ROICexcg growth 5YN/A
ROICexc growth 3Y-30.16%
ROICexc growth 5YN/A
OM growth 3Y2.16%
OM growth 5Y5%
PM growth 3Y5.91%
PM growth 5Y1.34%
GM growth 3Y0.61%
GM growth 5Y0.11%
F-Score6
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 0.94% | ||
| Cap/Sales | 0.07% | ||
| Interest Coverage | 161.46 | ||
| Cash Conversion | 99.54% | ||
| Profit Quality | 135.58% | ||
| Current Ratio | 6.14 | ||
| Quick Ratio | 5.96 | ||
| Altman-Z | 16.42 |
F-Score6
WACC8.93%
ROIC/WACC2.46
Cap/Depr(3y)0.72%
Cap/Depr(5y)100.44%
Cap/Sales(3y)0.06%
Cap/Sales(5y)0.18%
Profit Quality(3y)162.12%
Profit Quality(5y)139.35%
High Growth Momentum
Growth
EPS 1Y (TTM)112.16%
EPS 3Y52.41%
EPS 5Y34.29%
EPS Q2Q%136.84%
EPS Next Y13.68%
EPS Next 2Y14.77%
EPS Next 3Y13.44%
EPS Next 5Y29.4%
Revenue 1Y (TTM)29.96%
Revenue growth 3Y51.72%
Revenue growth 5Y36.89%
Sales Q2Q%43.56%
Revenue Next Year15.89%
Revenue Next 2Y12.29%
Revenue Next 3Y12.18%
Revenue Next 5Y12.18%
EBIT growth 1Y195.42%
EBIT growth 3Y55%
EBIT growth 5Y43.74%
EBIT Next Year19.29%
EBIT Next 3Y19.23%
EBIT Next 5YN/A
FCF growth 1Y123.91%
FCF growth 3Y59.11%
FCF growth 5Y47.22%
OCF growth 1Y124.02%
OCF growth 3Y58.35%
OCF growth 5Y47.28%