EMERGENT BIOSOLUTIONS INC (EBS)
US29089Q1058 - Common Stock
Overall EBS gets a fundamental rating of 2 out of 10. We evaluated EBS against 577 industry peers in the Biotechnology industry. Both the profitability and financial health of EBS have multiple concerns. EBS does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
EBS had negative earnings in the past year.
EBS had a negative operating cash flow in the past year.
In multiple years EBS reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: EBS reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of EBS (-41.67%) is comparable to the rest of the industry.
EBS has a Return On Equity (-113.19%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -41.67% | ||
| ROE | -113.19% | ||
| ROIC | N/A |
ROA(3y)-13.66%
ROA(5y)-5.61%
ROE(3y)-39.61%
ROE(5y)-18.54%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EBS's Gross Margin of 37.02% is fine compared to the rest of the industry. EBS outperforms 77.18% of its industry peers.
EBS's Gross Margin has declined in the last couple of years.
EBS does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.02% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-21.37%
GM growth 5Y-11.03%
2. Health
2.1 Basic Checks
EBS does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, EBS has more shares outstanding
EBS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EBS has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.86, we must say that EBS is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EBS (0.86) is better than 63.07% of its industry peers.
A Debt/Equity ratio of 0.67 indicates that EBS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.67, EBS is not doing good in the industry: 75.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.86 |
ROIC/WACCN/A
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.08 indicates that EBS should not have too much problems paying its short term obligations.
With a Current ratio value of 1.08, EBS is not doing good in the industry: 87.98% of the companies in the same industry are doing better.
EBS has a Quick Ratio of 1.08. This is a bad value and indicates that EBS is not financially healthy enough and could expect problems in meeting its short term obligations.
EBS's Quick ratio of 0.55 is on the low side compared to the rest of the industry. EBS is outperformed by 92.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
EBS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 69.34%, which is quite impressive.
Looking at the last year, EBS shows a very strong growth in Revenue. The Revenue has grown by 37.94%.
EBS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.05% yearly.
EPS 1Y (TTM)69.34%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%118.61%
Revenue 1Y (TTM)37.94%
Revenue growth 3Y-12.3%
Revenue growth 5Y6.05%
Sales Q2Q%81.95%
3.2 Future
EBS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.79% yearly.
The Revenue is expected to decrease by -6.04% on average over the next years.
EPS Next Y77.51%
EPS Next 2Y33.72%
EPS Next 3Y21.08%
EPS Next 5Y14.79%
Revenue Next Year-3.25%
Revenue Next 2Y3.24%
Revenue Next 3Y2.3%
Revenue Next 5Y-6.04%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for EBS. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for EBS. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
EBS's earnings are expected to grow with 21.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y33.72%
EPS Next 3Y21.08%
5. Dividend
5.1 Amount
No dividends for EBS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EMERGENT BIOSOLUTIONS INC
NYSE:EBS (7/26/2024, 2:47:04 PM)
13.985
+0.18 (+1.34%)
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 Cap732.81M
Analysts
Price Target
Dividend
| Industry Rank | Sector 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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| 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 Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -41.67% | ||
| ROE | -113.19% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.02% | ||
| 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 Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.55 | ||
| 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)
High Growth Momentum
Growth
EPS 1Y (TTM)69.34%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y77.51%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)37.94%
Revenue growth 3Y-12.3%
Revenue growth 5Y
Sales 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