IRADIMED CORP (IRMD) Stock Fundamental Analysis
NASDAQ:IRMD - Nasdaq - US46266A1097 - Common Stock - Currency: USD
IRMD gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 188 industry peers in the Health Care Equipment & Supplies industry. IRMD gets an excellent profitability rating and is at the same time showing great financial health properties. IRMD has a correct valuation and a medium growth rate. This makes IRMD very considerable for quality investing!
1. Profitability
1.1 Basic Checks
IRMD had positive earnings in the past year.
In the past year IRMD had a positive cash flow from operations.
In the past 5 years IRMD has always been profitable.
In the past 5 years IRMD always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of IRMD (19.56%) is better than 97.87% of its industry peers.
Looking at the Return On Equity, with a value of 22.15%, IRMD belongs to the top of the industry, outperforming 94.68% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 19.36%, IRMD belongs to the top of the industry, outperforming 97.87% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for IRMD is significantly above the industry average of 7.71%.
The last Return On Invested Capital (19.36%) for IRMD is above the 3 year average (18.78%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.56% | ||
| ROE | 22.15% | ||
| ROIC | 19.36% |
ROA(3y)17.74%
ROA(5y)13.28%
ROE(3y)21.21%
ROE(5y)15.76%
ROIC(3y)18.78%
ROIC(5y)N/A
1.3 Margins
IRMD has a better Profit Margin (26.26%) than 96.28% of its industry peers.
IRMD's Profit Margin has been stable in the last couple of years.
The Operating Margin of IRMD (29.99%) is better than 98.94% of its industry peers.
IRMD's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 76.94%, IRMD belongs to the top of the industry, outperforming 90.43% of the companies in the same industry.
IRMD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.99% | ||
| PM (TTM) | 26.26% | ||
| GM | 76.94% |
OM growth 3Y8.49%
OM growth 5Y5.96%
PM growth 3Y5.58%
PM growth 5Y0.99%
GM growth 3Y0.12%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IRMD is creating value.
The number of shares outstanding for IRMD has been increased compared to 1 year ago.
IRMD has more shares outstanding than it did 5 years ago.
IRMD 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
IRMD has an Altman-Z score of 41.67. This indicates that IRMD is financially healthy and has little risk of bankruptcy at the moment.
IRMD has a Altman-Z score of 41.67. This is amongst the best in the industry. IRMD outperforms 100.00% of its industry peers.
IRMD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 41.67 |
ROIC/WACC2.14
WACC9.05%
2.3 Liquidity
A Current Ratio of 8.84 indicates that IRMD has no problem at all paying its short term obligations.
The Current ratio of IRMD (8.84) is better than 90.43% of its industry peers.
A Quick Ratio of 7.62 indicates that IRMD has no problem at all paying its short term obligations.
IRMD's Quick ratio of 7.62 is amongst the best of the industry. IRMD outperforms 89.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.84 | ||
| Quick Ratio | 7.62 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.04% over the past year.
Measured over the past years, IRMD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.92% on average per year.
Looking at the last year, IRMD shows a quite strong growth in Revenue. The Revenue has grown by 11.71% in the last year.
The Revenue has been growing by 13.71% on average over the past years. This is quite good.
EPS 1Y (TTM)11.04%
EPS 3Y25.74%
EPS 5Y13.92%
EPS Q2Q%16.67%
Revenue 1Y (TTM)11.71%
Revenue growth 3Y20.55%
Revenue growth 5Y13.71%
Sales Q2Q%10.87%
3.2 Future
Based on estimates for the next years, IRMD will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.91% on average per year.
IRMD is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.23% yearly.
EPS Next Y7.25%
EPS Next 2Y10.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.78%
Revenue Next 2Y9.23%
Revenue Next 3YN/A
Revenue Next 5YN/A
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 33.85, the valuation of IRMD can be described as expensive.
IRMD's Price/Earnings ratio is a bit cheaper when compared to the industry. IRMD is cheaper than 71.81% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.25. IRMD is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 28.52 indicates a quite expensive valuation of IRMD.
Based on the Price/Forward Earnings ratio, IRMD is valued a bit cheaper than 70.21% of the companies in the same industry.
IRMD is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.15, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.85 | ||
| Fwd PE | 28.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IRMD is valued a bit cheaper than 71.28% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IRMD indicates a somewhat cheap valuation: IRMD is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.8 | ||
| EV/EBITDA | 30.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IRMD does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of IRMD may justify a higher PE ratio.
PEG (NY)4.67
PEG (5Y)2.43
EPS Next 2Y10.91%
EPS Next 3YN/A
5. Dividend
5.1 Amount
IRMD has a Yearly Dividend Yield of 1.17%. Purely for dividend investing, there may be better candidates out there.
IRMD's Dividend Yield is rather good when compared to the industry average which is at 1.86. IRMD pays more dividend than 94.68% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, IRMD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
5.2 History
IRMD has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
71.11% of the earnings are spent on dividend by IRMD. This is not a sustainable payout ratio.
DP71.11%
EPS Next 2Y10.91%
EPS Next 3YN/A
57.88
-0.26 (-0.45%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners58.66%
Inst Owner Change0.41%
Ins Owners37.05%
Ins Owner Change1.56%
Market Cap736.23M
Analysts82.5
Price Target72.42 (25.12%)
Short Float %2.47%
Short Ratio5.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
Yearly Dividend1.08
Dividend Growth(5Y)N/A
DP71.11%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.77%
Min EPS beat(2)-1.96%
Max EPS beat(2)9.5%
EPS beat(4)3
Avg EPS beat(4)6.43%
Min EPS beat(4)-1.96%
Max EPS beat(4)12.81%
EPS beat(8)6
Avg EPS beat(8)6.97%
EPS beat(12)10
Avg EPS beat(12)7.51%
EPS beat(16)14
Avg EPS beat(16)15.55%
Revenue beat(2)0
Avg Revenue beat(2)-0.71%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)-0.71%
Revenue beat(4)1
Avg Revenue beat(4)-0.28%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)0.72%
Revenue beat(8)4
Avg Revenue beat(8)0.18%
Revenue beat(12)4
Avg Revenue beat(12)-0.25%
Revenue beat(16)8
Avg Revenue beat(16)1.2%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-0.86%
EPS NY rev (3m)-0.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.05%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.85 | ||
| Fwd PE | 28.52 | ||
| P/S | 10.05 | ||
| P/FCF | 43.8 | ||
| P/OCF | 28.73 | ||
| P/B | 8.48 | ||
| P/tB | 8.79 | ||
| EV/EBITDA | 30.17 |
EPS(TTM)1.71
EY2.95%
EPS(NY)2.03
Fwd EY3.51%
FCF(TTM)1.32
FCFY2.28%
OCF(TTM)2.01
OCFY3.48%
SpS5.76
BVpS6.83
TBVpS6.58
PEG (NY)4.67
PEG (5Y)2.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.56% | ||
| ROE | 22.15% | ||
| ROCE | 24.46% | ||
| ROIC | 19.36% | ||
| ROICexc | 46.27% | ||
| ROICexgc | 50.43% | ||
| OM | 29.99% | ||
| PM (TTM) | 26.26% | ||
| GM | 76.94% | ||
| FCFM | 22.95% |
ROA(3y)17.74%
ROA(5y)13.28%
ROE(3y)21.21%
ROE(5y)15.76%
ROIC(3y)18.78%
ROIC(5y)N/A
ROICexc(3y)57.41%
ROICexc(5y)N/A
ROICexgc(3y)63.62%
ROICexgc(5y)N/A
ROCE(3y)23.73%
ROCE(5y)N/A
ROICexcg growth 3Y-6.9%
ROICexcg growth 5Y0.27%
ROICexc growth 3Y-6.89%
ROICexc growth 5Y-0.24%
OM growth 3Y8.49%
OM growth 5Y5.96%
PM growth 3Y5.58%
PM growth 5Y0.99%
GM growth 3Y0.12%
GM growth 5Y-0.04%
F-Score8
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 1078.24% | ||
| Cap/Sales | 12.04% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 112.47% | ||
| Profit Quality | 87.39% | ||
| Current Ratio | 8.84 | ||
| Quick Ratio | 7.62 | ||
| Altman-Z | 41.67 |
F-Score8
WACC9.05%
ROIC/WACC2.14
Cap/Depr(3y)801.75%
Cap/Depr(5y)501.1%
Cap/Sales(3y)9.26%
Cap/Sales(5y)6.31%
Profit Quality(3y)60.91%
Profit Quality(5y)134.72%
High Growth Momentum
Growth
EPS 1Y (TTM)11.04%
EPS 3Y25.74%
EPS 5Y13.92%
EPS Q2Q%16.67%
EPS Next Y7.25%
EPS Next 2Y10.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)11.71%
Revenue growth 3Y20.55%
Revenue growth 5Y13.71%
Sales Q2Q%10.87%
Revenue Next Year8.78%
Revenue Next 2Y9.23%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y9.61%
EBIT growth 3Y30.78%
EBIT growth 5Y20.49%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y207.96%
FCF growth 3Y16.9%
FCF growth 5Y11.53%
OCF growth 1Y90.3%
OCF growth 3Y31.53%
OCF growth 5Y20.16%