HARMONY BIOSCIENCES HOLDINGS (HRMY) Stock Fundamental Analysis
USA - NASDAQ:HRMY - US4131971040 - Common Stock
33.39 USD
+0.08 (+0.24%)
33 USD
-0.39 (-1.17%)
We assign a fundamental rating of 8 out of 10 to HRMY. HRMY was compared to 192 industry peers in the Pharmaceuticals industry. HRMY gets an excellent profitability rating and is at the same time showing great financial health properties. HRMY is growing strongly while it also seems undervalued. This is an interesting combination This makes HRMY very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
HRMY had positive earnings in the past year.
In the past year HRMY had a positive cash flow from operations.
Of the past 5 years HRMY 4 years were profitable.
HRMY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HRMY's Return On Assets of 15.37% is amongst the best of the industry. HRMY outperforms 95.83% of its industry peers.
HRMY has a Return On Equity of 22.23%. This is amongst the best in the industry. HRMY outperforms 92.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 17.20%, HRMY belongs to the top of the industry, outperforming 94.27% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HRMY is above the industry average of 13.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.37% | ||
| ROE | 22.23% | ||
| ROIC | 17.2% |
ROA(3y)19.12%
ROA(5y)10.08%
ROE(3y)31.57%
ROE(5y)9.53%
ROIC(3y)18.27%
ROIC(5y)15.29%
1.3 Margins
HRMY's Profit Margin of 22.48% is amongst the best of the industry. HRMY outperforms 92.19% of its industry peers.
HRMY's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 27.32%, HRMY belongs to the top of the industry, outperforming 93.23% of the companies in the same industry.
In the last couple of years the Operating Margin of HRMY has declined.
HRMY has a Gross Margin of 77.70%. This is amongst the best in the industry. HRMY outperforms 82.81% of its industry peers.
HRMY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.32% | ||
| PM (TTM) | 22.48% | ||
| GM | 77.7% |
OM growth 3Y-2.32%
OM growth 5YN/A
PM growth 3Y21.57%
PM growth 5YN/A
GM growth 3Y-1.56%
GM growth 5Y1.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HRMY is creating value.
Compared to 1 year ago, HRMY has more shares outstanding
The number of shares outstanding for HRMY has been reduced compared to 5 years ago.
The debt/assets ratio for HRMY has been reduced compared to a year ago.
2.2 Solvency
HRMY has an Altman-Z score of 5.16. This indicates that HRMY is financially healthy and has little risk of bankruptcy at the moment.
HRMY has a better Altman-Z score (5.16) than 77.60% of its industry peers.
The Debt to FCF ratio of HRMY is 0.57, which is an excellent value as it means it would take HRMY, only 0.57 years of fcf income to pay off all of its debts.
HRMY has a Debt to FCF ratio of 0.57. This is amongst the best in the industry. HRMY outperforms 95.83% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that HRMY is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.18, HRMY perfoms like the industry average, outperforming 47.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 0.57 | ||
| Altman-Z | 5.16 |
ROIC/WACC1.92
WACC8.96%
2.3 Liquidity
HRMY has a Current Ratio of 3.75. This indicates that HRMY is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 3.75, HRMY perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
HRMY has a Quick Ratio of 3.72. This indicates that HRMY is financially healthy and has no problem in meeting its short term obligations.
HRMY has a Quick ratio (3.72) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.75 | ||
| Quick Ratio | 3.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 50.71% over the past year.
Measured over the past years, HRMY shows a very strong growth in Earnings Per Share. The EPS has been growing by 44.61% on average per year.
Looking at the last year, HRMY shows a very strong growth in Revenue. The Revenue has grown by 21.13%.
The Revenue has been growing by 160.13% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)50.71%
EPS 3Y44.61%
EPS 5YN/A
EPS Q2Q%10.13%
Revenue 1Y (TTM)21.13%
Revenue growth 3Y32.77%
Revenue growth 5Y160.13%
Sales Q2Q%28.71%
3.2 Future
Based on estimates for the next years, HRMY will show a very strong growth in Earnings Per Share. The EPS will grow by 34.90% on average per year.
The Revenue is expected to grow by 14.35% on average over the next years. This is quite good.
EPS Next Y30.15%
EPS Next 2Y28.23%
EPS Next 3Y27.97%
EPS Next 5Y34.9%
Revenue Next Year18.42%
Revenue Next 2Y17.17%
Revenue Next 3Y15.73%
Revenue Next 5Y14.35%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 10.50 indicates a reasonable valuation of HRMY.
HRMY's Price/Earnings ratio is rather cheap when compared to the industry. HRMY is cheaper than 90.10% of the companies in the same industry.
HRMY is valuated cheaply when we compare the Price/Earnings ratio to 25.07, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 8.09, the valuation of HRMY can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HRMY indicates a rather cheap valuation: HRMY is cheaper than 89.58% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.08, HRMY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.5 | ||
| Fwd PE | 8.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HRMY is valued cheaper than 96.88% of the companies in the same industry.
93.23% of the companies in the same industry are more expensive than HRMY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.47 | ||
| EV/EBITDA | 5.58 |
4.3 Compensation for Growth
HRMY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of HRMY may justify a higher PE ratio.
A more expensive valuation may be justified as HRMY's earnings are expected to grow with 27.97% in the coming years.
PEG (NY)0.35
PEG (5Y)N/A
EPS Next 2Y28.23%
EPS Next 3Y27.97%
5. Dividend
5.1 Amount
No dividends for HRMY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.39
+0.08 (+0.24%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners82.62%
Inst Owner Change-7.77%
Ins Owners0.52%
Ins Owner Change-104.37%
Market Cap1.92B
Revenue(TTM)825.94M
Net Income(TTM)185.68M
Analysts78.82
Price Target44.88 (34.41%)
Short Float %8.06%
Short Ratio4.21
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)1
Avg EPS beat(2)-4.77%
Min EPS beat(2)-11.17%
Max EPS beat(2)1.62%
EPS beat(4)3
Avg EPS beat(4)8.56%
Min EPS beat(4)-11.17%
Max EPS beat(4)31%
EPS beat(8)6
Avg EPS beat(8)57.65%
EPS beat(12)9
Avg EPS beat(12)44.35%
EPS beat(16)12
Avg EPS beat(16)96.55%
Revenue beat(2)1
Avg Revenue beat(2)0.75%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)4.96%
Revenue beat(4)1
Avg Revenue beat(4)-0.33%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)4.96%
Revenue beat(8)1
Avg Revenue beat(8)-1%
Revenue beat(12)3
Avg Revenue beat(12)-0.86%
Revenue beat(16)5
Avg Revenue beat(16)-0.67%
PT rev (1m)-1.22%
PT rev (3m)-12.48%
EPS NQ rev (1m)-6.79%
EPS NQ rev (3m)-1.91%
EPS NY rev (1m)2.28%
EPS NY rev (3m)-3.02%
Revenue NQ rev (1m)0.7%
Revenue NQ rev (3m)0.78%
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.5 | ||
| Fwd PE | 8.09 | ||
| P/S | 2.33 | ||
| P/FCF | 6.47 | ||
| P/OCF | 6.45 | ||
| P/B | 2.3 | ||
| P/tB | 2.6 | ||
| EV/EBITDA | 5.58 |
EPS(TTM)3.18
EY9.52%
EPS(NY)4.13
Fwd EY12.36%
FCF(TTM)5.16
FCFY15.46%
OCF(TTM)5.17
OCFY15.49%
SpS14.36
BVpS14.52
TBVpS12.86
PEG (NY)0.35
PEG (5Y)N/A
Graham Number32.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.37% | ||
| ROE | 22.23% | ||
| ROCE | 22.91% | ||
| ROIC | 17.2% | ||
| ROICexc | 54.26% | ||
| ROICexgc | 78.12% | ||
| OM | 27.32% | ||
| PM (TTM) | 22.48% | ||
| GM | 77.7% | ||
| FCFM | 35.95% |
ROA(3y)19.12%
ROA(5y)10.08%
ROE(3y)31.57%
ROE(5y)9.53%
ROIC(3y)18.27%
ROIC(5y)15.29%
ROICexc(3y)40.78%
ROICexc(5y)37.48%
ROICexgc(3y)77.32%
ROICexgc(5y)N/A
ROCE(3y)24.34%
ROCE(5y)20.37%
ROICexgc growth 3Y-76.77%
ROICexgc growth 5YN/A
ROICexc growth 3Y-3.89%
ROICexc growth 5YN/A
OM growth 3Y-2.32%
OM growth 5YN/A
PM growth 3Y21.57%
PM growth 5YN/A
GM growth 3Y-1.56%
GM growth 5Y1.26%
F-Score6
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 0.57 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 3% | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | 14.73 | ||
| Cash Conversion | 119.28% | ||
| Profit Quality | 159.9% | ||
| Current Ratio | 3.75 | ||
| Quick Ratio | 3.72 | ||
| Altman-Z | 5.16 |
F-Score6
WACC8.96%
ROIC/WACC1.92
Cap/Depr(3y)59.29%
Cap/Depr(5y)142.27%
Cap/Sales(3y)3.13%
Cap/Sales(5y)8.45%
Profit Quality(3y)125.93%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)50.71%
EPS 3Y44.61%
EPS 5YN/A
EPS Q2Q%10.13%
EPS Next Y30.15%
EPS Next 2Y28.23%
EPS Next 3Y27.97%
EPS Next 5Y34.9%
Revenue 1Y (TTM)21.13%
Revenue growth 3Y32.77%
Revenue growth 5Y160.13%
Sales Q2Q%28.71%
Revenue Next Year18.42%
Revenue Next 2Y17.17%
Revenue Next 3Y15.73%
Revenue Next 5Y14.35%
EBIT growth 1Y17.58%
EBIT growth 3Y29.68%
EBIT growth 5YN/A
EBIT Next Year36.94%
EBIT Next 3Y27.36%
EBIT Next 5Y22.83%
FCF growth 1Y75.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y75.68%
OCF growth 3Y30.64%
OCF growth 5YN/A
HARMONY BIOSCIENCES HOLDINGS / HRMY FAQ
Can you provide the ChartMill fundamental rating for HARMONY BIOSCIENCES HOLDINGS?
ChartMill assigns a fundamental rating of 8 / 10 to HRMY.
Can you provide the valuation status for HARMONY BIOSCIENCES HOLDINGS?
ChartMill assigns a valuation rating of 9 / 10 to HARMONY BIOSCIENCES HOLDINGS (HRMY). This can be considered as Undervalued.
Can you provide the profitability details for HARMONY BIOSCIENCES HOLDINGS?
HARMONY BIOSCIENCES HOLDINGS (HRMY) has a profitability rating of 8 / 10.
What is the valuation of HARMONY BIOSCIENCES HOLDINGS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for HARMONY BIOSCIENCES HOLDINGS (HRMY) is 10.5 and the Price/Book (PB) ratio is 2.3.