ELANCO ANIMAL HEALTH INC (ELAN) Stock Fundamental Analysis

NYSE:ELAN • US28414H1032

24.79 USD
-0.92 (-3.58%)
At close: Feb 12, 2026
24.79 USD
0 (0%)
After Hours: 2/12/2026, 8:04:00 PM
Fundamental Rating

4

Taking everything into account, ELAN scores 4 out of 10 in our fundamental rating. ELAN was compared to 191 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of ELAN while its profitability can be described as average. ELAN has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • ELAN had positive earnings in the past year.
  • In the past year ELAN had a positive cash flow from operations.
  • ELAN had negative earnings in 4 of the past 5 years.
  • Of the past 5 years ELAN 4 years had a positive operating cash flow.
ELAN Yearly Net Income VS EBIT VS OCF VS FCFELAN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M -1B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 0.27%, ELAN is in the better half of the industry, outperforming 78.01% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 0.53%, ELAN is in the better half of the industry, outperforming 79.58% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 1.38%, ELAN is in the better half of the industry, outperforming 78.01% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for ELAN is significantly below the industry average of 12.66%.
Industry RankSector Rank
ROA 0.27%
ROE 0.53%
ROIC 1.38%
ROA(3y)-2.13%
ROA(5y)-2.51%
ROE(3y)-5.1%
ROE(5y)-5.7%
ROIC(3y)1.73%
ROIC(5y)N/A
ELAN Yearly ROA, ROE, ROICELAN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 -10 -15

1.3 Margins

  • With a decent Profit Margin value of 0.78%, ELAN is doing good in the industry, outperforming 78.01% of the companies in the same industry.
  • In the last couple of years the Profit Margin of ELAN has grown nicely.
  • ELAN has a Operating Margin of 5.25%. This is in the better half of the industry: ELAN outperforms 79.06% of its industry peers.
  • ELAN's Operating Margin has declined in the last couple of years.
  • ELAN has a Gross Margin of 54.96%. This is in the better half of the industry: ELAN outperforms 67.02% of its industry peers.
  • ELAN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 5.25%
PM (TTM) 0.78%
GM 54.96%
OM growth 3Y-3.95%
OM growth 5Y-14.04%
PM growth 3YN/A
PM growth 5Y28.06%
GM growth 3Y-0.22%
GM growth 5Y1.04%
ELAN Yearly Profit, Operating, Gross MarginsELAN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ELAN is destroying value.
  • Compared to 1 year ago, ELAN has more shares outstanding
  • The number of shares outstanding for ELAN has been increased compared to 5 years ago.
  • ELAN has a better debt/assets ratio than last year.
ELAN Yearly Shares OutstandingELAN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M
ELAN Yearly Total Debt VS Total AssetsELAN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.2 Solvency

  • Based on the Altman-Z score of 1.51, we must say that ELAN is in the distress zone and has some risk of bankruptcy.
  • ELAN has a Altman-Z score of 1.51. This is comparable to the rest of the industry: ELAN outperforms 56.54% of its industry peers.
  • The Debt to FCF ratio of ELAN is 11.12, which is on the high side as it means it would take ELAN, 11.12 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 11.12, ELAN is in the better half of the industry, outperforming 79.06% of the companies in the same industry.
  • A Debt/Equity ratio of 0.59 indicates that ELAN is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.59, ELAN is doing worse than 65.97% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 11.12
Altman-Z 1.51
ROIC/WACC0.16
WACC8.74%
ELAN Yearly LT Debt VS Equity VS FCFELAN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B 8B

2.3 Liquidity

  • ELAN has a Current Ratio of 2.40. This indicates that ELAN is financially healthy and has no problem in meeting its short term obligations.
  • ELAN has a Current ratio (2.40) which is comparable to the rest of the industry.
  • ELAN has a Quick Ratio of 1.23. This is a normal value and indicates that ELAN is financially healthy and should not expect problems in meeting its short term obligations.
  • ELAN has a Quick ratio of 1.23. This is in the lower half of the industry: ELAN underperforms 71.73% of its industry peers.
Industry RankSector Rank
Current Ratio 2.4
Quick Ratio 1.23
ELAN Yearly Current Assets VS Current LiabilitesELAN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

4

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 12.94% over the past year.
  • Measured over the past years, ELAN shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.01% on average per year.
  • The Revenue has been growing slightly by 3.08% in the past year.
  • The Revenue has been growing slightly by 7.65% on average over the past years.
EPS 1Y (TTM)12.94%
EPS 3Y-4.66%
EPS 5Y-3.01%
EPS Q2Q%46.15%
Revenue 1Y (TTM)3.08%
Revenue growth 3Y-2.33%
Revenue growth 5Y7.65%
Sales Q2Q%10.39%

3.2 Future

  • ELAN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.39% yearly.
  • The Revenue is expected to grow by 4.96% on average over the next years.
EPS Next Y5.08%
EPS Next 2Y7.19%
EPS Next 3Y9.06%
EPS Next 5Y10.39%
Revenue Next Year5.5%
Revenue Next 2Y5.65%
Revenue Next 3Y5.52%
Revenue Next 5Y4.96%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • 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.
ELAN Yearly Revenue VS EstimatesELAN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2B 4B 6B
ELAN Yearly EPS VS EstimatesELAN Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0.5 1 1.5

4

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 25.82, the valuation of ELAN can be described as expensive.
  • 78.01% of the companies in the same industry are more expensive than ELAN, based on the Price/Earnings ratio.
  • The average S&P500 Price/Earnings ratio is at 27.67. ELAN is around the same levels.
  • The Price/Forward Earnings ratio is 23.71, which indicates a rather expensive current valuation of ELAN.
  • ELAN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ELAN is cheaper than 74.35% of the companies in the same industry.
  • ELAN is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 27.69, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 25.82
Fwd PE 23.71
ELAN Price Earnings VS Forward Price EarningsELAN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ELAN indicates a rather cheap valuation: ELAN is cheaper than 81.68% of the companies listed in the same industry.
  • 80.10% of the companies in the same industry are more expensive than ELAN, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 34.03
EV/EBITDA 17.89
ELAN Per share dataELAN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ELAN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)5.08
PEG (5Y)N/A
EPS Next 2Y7.19%
EPS Next 3Y9.06%

0

5. Dividend

5.1 Amount

  • ELAN does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

ELANCO ANIMAL HEALTH INC

NYSE:ELAN (2/12/2026, 8:04:00 PM)

After market: 24.79 0 (0%)

24.79

-0.92 (-3.58%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)11-05
Earnings (Next)02-24
Inst Owners116.54%
Inst Owner Change-3.96%
Ins Owners0.99%
Ins Owner Change4.72%
Market Cap12.32B
Revenue(TTM)4.59B
Net Income(TTM)36.00M
Analysts84.55
Price Target26.99 (8.87%)
Short Float %4.71%
Short Ratio4.53
Dividend
Industry RankSector Rank
Dividend Yield 0%
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)36.7%
Min EPS beat(2)30.48%
Max EPS beat(2)42.93%
EPS beat(4)3
Avg EPS beat(4)20.43%
Min EPS beat(4)-8.7%
Max EPS beat(4)42.93%
EPS beat(8)6
Avg EPS beat(8)14.04%
EPS beat(12)10
Avg EPS beat(12)44.02%
EPS beat(16)13
Avg EPS beat(16)38.17%
Revenue beat(2)2
Avg Revenue beat(2)2.27%
Min Revenue beat(2)2.06%
Max Revenue beat(2)2.48%
Revenue beat(4)3
Avg Revenue beat(4)0.91%
Min Revenue beat(4)-0.97%
Max Revenue beat(4)2.48%
Revenue beat(8)6
Avg Revenue beat(8)0.5%
Revenue beat(12)9
Avg Revenue beat(12)0.62%
Revenue beat(16)9
Avg Revenue beat(16)-0.02%
PT rev (1m)3.61%
PT rev (3m)20.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.45%
EPS NY rev (1m)0%
EPS NY rev (3m)3.77%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.72%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.41%
Valuation
Industry RankSector Rank
PE 25.82
Fwd PE 23.71
P/S 2.68
P/FCF 34.03
P/OCF 19.58
P/B 1.83
P/tB N/A
EV/EBITDA 17.89
EPS(TTM)0.96
EY3.87%
EPS(NY)1.05
Fwd EY4.22%
FCF(TTM)0.73
FCFY2.94%
OCF(TTM)1.27
OCFY5.11%
SpS9.24
BVpS13.58
TBVpS-3.24
PEG (NY)5.08
PEG (5Y)N/A
Graham Number17.13
Profitability
Industry RankSector Rank
ROA 0.27%
ROE 0.53%
ROCE 1.99%
ROIC 1.38%
ROICexc 1.44%
ROICexgc 5.17%
OM 5.25%
PM (TTM) 0.78%
GM 54.96%
FCFM 7.88%
ROA(3y)-2.13%
ROA(5y)-2.51%
ROE(3y)-5.1%
ROE(5y)-5.7%
ROIC(3y)1.73%
ROIC(5y)N/A
ROICexc(3y)1.78%
ROICexc(5y)N/A
ROICexgc(3y)7.88%
ROICexgc(5y)N/A
ROCE(3y)2.5%
ROCE(5y)N/A
ROICexgc growth 3Y-9.66%
ROICexgc growth 5Y-10.16%
ROICexc growth 3Y2.68%
ROICexc growth 5Y-13.27%
OM growth 3Y-3.95%
OM growth 5Y-14.04%
PM growth 3YN/A
PM growth 5Y28.06%
GM growth 3Y-0.22%
GM growth 5Y1.04%
F-Score6
Asset Turnover0.34
Health
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 11.12
Debt/EBITDA 4.35
Cap/Depr 39.85%
Cap/Sales 5.82%
Interest Coverage 250
Cash Conversion 69.05%
Profit Quality 1005.56%
Current Ratio 2.4
Quick Ratio 1.23
Altman-Z 1.51
F-Score6
WACC8.74%
ROIC/WACC0.16
Cap/Depr(3y)24.5%
Cap/Depr(5y)32.23%
Cap/Sales(3y)3.76%
Cap/Sales(5y)4.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.94%
EPS 3Y-4.66%
EPS 5Y-3.01%
EPS Q2Q%46.15%
EPS Next Y5.08%
EPS Next 2Y7.19%
EPS Next 3Y9.06%
EPS Next 5Y10.39%
Revenue 1Y (TTM)3.08%
Revenue growth 3Y-2.33%
Revenue growth 5Y7.65%
Sales Q2Q%10.39%
Revenue Next Year5.5%
Revenue Next 2Y5.65%
Revenue Next 3Y5.52%
Revenue Next 5Y4.96%
EBIT growth 1Y-4.74%
EBIT growth 3Y-6.19%
EBIT growth 5Y-7.47%
EBIT Next Year19.45%
EBIT Next 3Y12.44%
EBIT Next 5Y9.88%
FCF growth 1Y656.92%
FCF growth 3Y9.94%
FCF growth 5Y70.08%
OCF growth 1Y395.28%
OCF growth 3Y3.85%
OCF growth 5Y19.28%

ELANCO ANIMAL HEALTH INC / ELAN FAQ

What is the ChartMill fundamental rating of ELANCO ANIMAL HEALTH INC (ELAN) stock?

ChartMill assigns a fundamental rating of 4 / 10 to ELAN.


Can you provide the valuation status for ELANCO ANIMAL HEALTH INC?

ChartMill assigns a valuation rating of 4 / 10 to ELANCO ANIMAL HEALTH INC (ELAN). This can be considered as Fairly Valued.


Can you provide the profitability details for ELANCO ANIMAL HEALTH INC?

ELANCO ANIMAL HEALTH INC (ELAN) has a profitability rating of 5 / 10.


Can you provide the financial health for ELAN stock?

The financial health rating of ELANCO ANIMAL HEALTH INC (ELAN) is 3 / 10.


Can you provide the expected EPS growth for ELAN stock?

The Earnings per Share (EPS) of ELANCO ANIMAL HEALTH INC (ELAN) is expected to grow by 5.08% in the next year.