CATALYST PHARMACEUTICALS INC (CPRX) Stock Fundamental Analysis
NASDAQ:CPRX - Nasdaq - US14888U1016 - Common Stock - Currency: USD
CPRX gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 561 industry peers in the Biotechnology industry. CPRX gets an excellent profitability rating and is at the same time showing great financial health properties. CPRX is growing strongly while it also seems undervalued. This is an interesting combination These ratings could make CPRX a good candidate for value and growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year CPRX was profitable.
CPRX had a positive operating cash flow in the past year.
Each year in the past 5 years CPRX has been profitable.
Each year in the past 5 years CPRX had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 19.25%, CPRX belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
CPRX has a better Return On Equity (22.52%) than 96.97% of its industry peers.
CPRX has a better Return On Invested Capital (20.21%) than 97.68% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CPRX is above the industry average of 15.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.25% | ||
| ROE | 22.52% | ||
| ROIC | 20.21% |
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
The Profit Margin of CPRX (33.33%) is better than 97.33% of its industry peers.
In the last couple of years the Profit Margin of CPRX has remained more or less at the same level.
Looking at the Operating Margin, with a value of 39.68%, CPRX belongs to the top of the industry, outperforming 99.11% of the companies in the same industry.
In the last couple of years the Operating Margin of CPRX has grown nicely.
CPRX has a better Gross Margin (86.00%) than 88.24% 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 | 39.68% | ||
| PM (TTM) | 33.33% | ||
| GM | 86% |
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.
Compared to 1 year ago, CPRX has more shares outstanding
Compared to 5 years ago, CPRX has more shares outstanding
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 17.10. This indicates that CPRX is financially healthy and has little risk of bankruptcy at the moment.
CPRX's Altman-Z score of 17.10 is amongst the best of the industry. CPRX outperforms 93.05% of its industry peers.
There is no outstanding debt for CPRX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 17.1 |
ROIC/WACC2.04
WACC9.9%
2.3 Liquidity
CPRX has a Current Ratio of 5.17. This indicates that CPRX is financially healthy and has no problem in meeting its short term obligations.
CPRX's Current ratio of 5.17 is in line compared to the rest of the industry. CPRX outperforms 56.33% of its industry peers.
CPRX has a Quick Ratio of 5.01. This indicates that CPRX is financially healthy and has no problem in meeting its short term obligations.
CPRX's Quick ratio of 5.01 is in line compared to the rest of the industry. CPRX outperforms 55.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.17 | ||
| Quick Ratio | 5.01 |
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.
The Earnings Per Share has been growing by 34.29% on average over the past years. This is a very strong growth
Looking at the last year, CPRX shows a very strong growth in Revenue. The Revenue has grown by 23.49%.
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)23.49%
Revenue growth 3Y51.72%
Revenue growth 5Y36.89%
Sales Q2Q%43.56%
3.2 Future
Based on estimates for the next years, CPRX will show a very strong growth in Earnings Per Share. The EPS will grow by 29.57% on average per year.
CPRX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.94% yearly.
EPS Next Y13.68%
EPS Next 2Y14.77%
EPS Next 3Y13.44%
EPS Next 5Y29.57%
Revenue Next Year15.89%
Revenue Next 2Y12.29%
Revenue Next 3Y12.18%
Revenue Next 5Y11.94%
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 stable.
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 15.72 indicates a correct valuation of CPRX.
CPRX's Price/Earnings ratio is rather cheap when compared to the industry. CPRX is cheaper than 95.54% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.60, CPRX is valued a bit cheaper.
A Price/Forward Earnings ratio of 14.30 indicates a correct valuation of CPRX.
CPRX's Price/Forward Earnings ratio is rather cheap when compared to the industry. CPRX is cheaper than 94.47% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CPRX to the average of the S&P500 Index (22.43), we can say CPRX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.72 | ||
| Fwd PE | 14.3 |
4.2 Price Multiples
96.43% of the companies in the same industry are more expensive than CPRX, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPRX indicates a rather cheap valuation: CPRX is cheaper than 96.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.58 | ||
| EV/EBITDA | 10.7 |
4.3 Compensation for Growth
CPRX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct 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)1.15
PEG (5Y)0.46
EPS Next 2Y14.77%
EPS Next 3Y13.44%
5. Dividend
5.1 Amount
CPRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
24.68
+0.05 (+0.2%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners83.75%
Inst Owner Change-0.37%
Ins Owners5.74%
Ins Owner Change5.59%
Market Cap3.01B
Analysts88.57
Price Target34.68 (40.52%)
Short Float %7.01%
Short Ratio6
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)20.14%
Min EPS beat(2)12.87%
Max EPS beat(2)27.41%
EPS beat(4)4
Avg EPS beat(4)18.76%
Min EPS beat(4)12.21%
Max EPS beat(4)27.41%
EPS beat(8)7
Avg EPS beat(8)14.39%
EPS beat(12)10
Avg EPS beat(12)10.16%
EPS beat(16)11
Avg EPS beat(16)5.05%
Revenue beat(2)2
Avg Revenue beat(2)2.92%
Min Revenue beat(2)2.23%
Max Revenue beat(2)3.61%
Revenue beat(4)3
Avg Revenue beat(4)2.95%
Min Revenue beat(4)-1.58%
Max Revenue beat(4)7.55%
Revenue beat(8)7
Avg Revenue beat(8)2.93%
Revenue beat(12)10
Avg Revenue beat(12)2.94%
Revenue beat(16)12
Avg Revenue beat(16)2.57%
PT rev (1m)0.37%
PT rev (3m)3.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.87%
EPS NY rev (1m)2.46%
EPS NY rev (3m)1.29%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)2.8%
Revenue NY rev (1m)1.05%
Revenue NY rev (3m)0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.72 | ||
| Fwd PE | 14.3 | ||
| P/S | 6.12 | ||
| P/FCF | 12.58 | ||
| P/OCF | 12.55 | ||
| P/B | 4.14 | ||
| P/tB | 5.27 | ||
| EV/EBITDA | 10.7 |
EPS(TTM)1.57
EY6.36%
EPS(NY)1.73
Fwd EY6.99%
FCF(TTM)1.96
FCFY7.95%
OCF(TTM)1.97
OCFY7.97%
SpS4.03
BVpS5.97
TBVpS4.68
PEG (NY)1.15
PEG (5Y)0.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.25% | ||
| ROE | 22.52% | ||
| ROCE | 26.7% | ||
| ROIC | 20.21% | ||
| ROICexc | 69.26% | ||
| ROICexgc | 261.29% | ||
| OM | 39.68% | ||
| PM (TTM) | 33.33% | ||
| GM | 86% | ||
| FCFM | 48.65% |
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 Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 1.47% | ||
| Cap/Sales | 0.11% | ||
| Interest Coverage | 139.87 | ||
| Cash Conversion | 102.97% | ||
| Profit Quality | 145.98% | ||
| Current Ratio | 5.17 | ||
| Quick Ratio | 5.01 | ||
| Altman-Z | 17.1 |
F-Score6
WACC9.9%
ROIC/WACC2.04
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 5Y29.57%
Revenue 1Y (TTM)23.49%
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 5Y11.94%
EBIT growth 1Y124.82%
EBIT growth 3Y55%
EBIT growth 5Y43.74%
EBIT Next Year-11.44%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y66.88%
FCF growth 3Y59.11%
FCF growth 5Y47.22%
OCF growth 1Y67%
OCF growth 3Y58.35%
OCF growth 5Y47.28%