CATALYST PHARMACEUTICALS INC (CPRX)

US14888U1016 - Common Stock

16.17  -0.1 (-0.61%)

Fundamental Rating

7

Overall CPRX gets a fundamental rating of 7 out of 10. We evaluated CPRX against 592 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 is evaluated to be cheap and growing strongly. This does not happen too often! These ratings would make CPRX suitable for value and growth and quality investing!



8

1. Profitability

1.1 Basic Checks

In the past year CPRX was profitable.
In the past year CPRX had a positive cash flow from operations.
CPRX had positive earnings in each of the past 5 years.
CPRX had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

The Return On Assets of CPRX (15.20%) is better than 98.64% of its industry peers.
With an excellent Return On Equity value of 18.42%, CPRX belongs to the best of the industry, outperforming 97.45% of the companies in the same industry.
CPRX's Return On Invested Capital of 17.06% is amongst the best of the industry. CPRX outperforms 98.64% of its industry peers.
CPRX had an Average Return On Invested Capital over the past 3 years of 20.38%. This is significantly above the industry average of 13.58%.
Industry RankSector Rank
ROA 15.2%
ROE 18.42%
ROIC 17.06%
ROA(3y)17.98%
ROA(5y)24.26%
ROE(3y)21.72%
ROE(5y)29.16%
ROIC(3y)20.38%
ROIC(5y)21.58%

1.3 Margins

With an excellent Profit Margin value of 17.94%, CPRX belongs to the best of the industry, outperforming 97.45% of the companies in the same industry.
In the last couple of years the Profit Margin of CPRX has declined.
CPRX has a Operating Margin of 21.79%. This is amongst the best in the industry. CPRX outperforms 97.28% of its industry peers.
In the last couple of years the Operating Margin of CPRX has declined.
The Gross Margin of CPRX (86.92%) is better than 90.48% 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 RankSector Rank
OM 21.79%
PM (TTM) 17.94%
GM 86.92%
OM growth 3Y-14.33%
OM growth 5YN/A
PM growth 3Y-34.21%
PM growth 5YN/A
GM growth 3Y0.51%
GM growth 5YN/A

7

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.
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 16.17. This indicates that CPRX is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 16.17, CPRX belongs to the top of the industry, outperforming 89.29% of the companies in the same industry.
CPRX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 16.17
ROIC/WACC1.89
WACC9.02%

2.3 Liquidity

CPRX has a Current Ratio of 2.88. This indicates that CPRX is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of CPRX (2.88) is worse than 68.54% of its industry peers.
A Quick Ratio of 2.68 indicates that CPRX has no problem at all paying its short term obligations.
CPRX's Quick ratio of 2.68 is on the low side compared to the rest of the industry. CPRX is outperformed by 70.07% of its industry peers.
Industry RankSector Rank
Current Ratio 2.88
Quick Ratio 2.68

7

3. Growth

3.1 Past

CPRX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.46%, which is quite good.
CPRX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.48% yearly.
Looking at the last year, CPRX shows a very strong growth in Revenue. The Revenue has grown by 85.93%.
CPRX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 280.39% yearly.
EPS 1Y (TTM)9.46%
EPS 3Y25.48%
EPS 5YN/A
EPS growth Q2Q40.91%
Revenue 1Y (TTM)85.93%
Revenue growth 3Y49.53%
Revenue growth 5Y280.39%
Revenue growth Q2Q81.86%

3.2 Future

The Earnings Per Share is expected to grow by 22.38% on average over the next years. This is a very strong growth
Based on estimates for the next years, CPRX will show a small growth in Revenue. The Revenue will grow by 6.84% on average per year.
EPS Next Y39.78%
EPS Next 2Y42.61%
EPS Next 3Y28.37%
EPS Next 5Y22.38%
Revenue Next Year16.99%
Revenue Next 2Y20.19%
Revenue Next 3Y16.92%
Revenue Next 5Y6.84%

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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.

8

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 19.96, CPRX is valued on the expensive side.
Based on the Price/Earnings ratio, CPRX is valued cheaply inside the industry as 96.94% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CPRX to the average of the S&P500 Index (26.42), we can say CPRX is valued slightly cheaper.
A Price/Forward Earnings ratio of 14.28 indicates a correct valuation of CPRX.
Based on the Price/Forward Earnings ratio, CPRX is valued cheaper than 97.45% of the companies in the same industry.
CPRX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.74.
Industry RankSector Rank
PE 19.96
Fwd PE 14.28

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 96.09% of the companies listed in the same industry.
98.47% of the companies in the same industry are more expensive than CPRX, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 13.29
EV/EBITDA 14.87

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.
CPRX's earnings are expected to grow with 28.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.5
PEG (5Y)N/A
EPS Next 2Y42.61%
EPS Next 3Y28.37%

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5. Dividend

5.1 Amount

CPRX does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

CATALYST PHARMACEUTICALS INC

NASDAQ:CPRX (3/28/2024, 10:38:55 AM)

16.17

-0.1 (-0.61%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.91B
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)
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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 19.96
Fwd PE 14.28
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)0.5
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 15.2%
ROE 18.42%
ROCE
ROIC
ROICexc
ROICexgc
OM 21.79%
PM (TTM) 17.94%
GM 86.92%
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 Turnover0.85
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 2.88
Quick Ratio 2.68
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)9.46%
EPS 3Y25.48%
EPS 5Y
EPS growth Q2Q
EPS Next Y39.78%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)85.93%
Revenue growth 3Y49.53%
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
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EBIT Next 5Y
FCF growth 1Y
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OCF growth 5Y