OPTION CARE HEALTH INC (OPCH)
US68404L2016 - Common Stock
Taking everything into account, OPCH scores 6 out of 10 in our fundamental rating. OPCH was compared to 118 industry peers in the Health Care Providers & Services industry. While OPCH has a great profitability rating, there are some minor concerns on its financial health. OPCH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year OPCH was profitable.
In the past year OPCH had a positive cash flow from operations.
In multiple years OPCH reported negative net income over the last 5 years.
OPCH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
OPCH's Return On Assets of 8.39% is amongst the best of the industry. OPCH outperforms 93.16% of its industry peers.
OPCH has a better Return On Equity (19.08%) than 88.03% of its industry peers.
OPCH has a Return On Invested Capital of 8.96%. This is amongst the best in the industry. OPCH outperforms 85.47% of its industry peers.
OPCH had an Average Return On Invested Capital over the past 3 years of 7.31%. This is in line with the industry average of 8.48%.
The last Return On Invested Capital (8.96%) for OPCH is above the 3 year average (7.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.39% | ||
| ROE | 19.08% | ||
| ROIC | 8.96% |
ROA(3y)6.05%
ROA(5y)2.98%
ROE(3y)13.85%
ROE(5y)6.48%
ROIC(3y)7.31%
ROIC(5y)5.29%
1.3 Margins
Looking at the Profit Margin, with a value of 6.15%, OPCH belongs to the top of the industry, outperforming 88.03% of the companies in the same industry.
OPCH has a Operating Margin of 7.15%. This is in the better half of the industry: OPCH outperforms 76.07% of its industry peers.
OPCH's Operating Margin has improved in the last couple of years.
OPCH has a Gross Margin of 22.35%. This is comparable to the rest of the industry: OPCH outperforms 45.30% of its industry peers.
OPCH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.15% | ||
| PM (TTM) | 6.15% | ||
| GM | 22.35% |
OM growth 3Y26.02%
OM growth 5Y32.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.45%
GM growth 5Y-7.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so OPCH is still creating some value.
OPCH has less shares outstanding than it did 1 year ago.
The number of shares outstanding for OPCH has been increased compared to 5 years ago.
OPCH has a better debt/assets ratio than last year.
2.2 Solvency
OPCH has an Altman-Z score of 3.82. This indicates that OPCH is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.82, OPCH belongs to the top of the industry, outperforming 80.34% of the companies in the same industry.
OPCH has a debt to FCF ratio of 6.22. This is a slightly negative value and a sign of low solvency as OPCH would need 6.22 years to pay back of all of its debts.
OPCH has a Debt to FCF ratio of 6.22. This is in the better half of the industry: OPCH outperforms 73.50% of its industry peers.
OPCH has a Debt/Equity ratio of 0.74. This is a neutral value indicating OPCH is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.74, OPCH perfoms like the industry average, outperforming 48.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 6.22 | ||
| Altman-Z | 3.82 |
ROIC/WACC1.07
WACC8.39%
2.3 Liquidity
A Current Ratio of 1.77 indicates that OPCH should not have too much problems paying its short term obligations.
OPCH's Current ratio of 1.77 is fine compared to the rest of the industry. OPCH outperforms 69.23% of its industry peers.
A Quick Ratio of 1.39 indicates that OPCH should not have too much problems paying its short term obligations.
OPCH has a better Quick ratio (1.39) than 60.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
OPCH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 83.13%, which is quite impressive.
OPCH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.59%.
The Revenue has been growing by 43.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)83.13%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q23.81%
Revenue 1Y (TTM)9.59%
Revenue growth 3Y12.36%
Revenue growth 5Y43.42%
Revenue growth Q2Q12.82%
3.2 Future
The Earnings Per Share is expected to grow by 1.74% on average over the next years.
OPCH is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.23% yearly.
EPS Next Y-21.33%
EPS Next 2Y-4.48%
EPS Next 3Y1.74%
EPS Next 5YN/A
Revenue Next Year10.27%
Revenue Next 2Y9.57%
Revenue Next 3Y9.23%
Revenue Next 5YN/A
3.3 Evolution
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
OPCH is valuated rather expensively with a Price/Earnings ratio of 19.88.
73.50% of the companies in the same industry are more expensive than OPCH, based on the Price/Earnings ratio.
OPCH is valuated rather cheaply when we compare the Price/Earnings ratio to 28.05, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 22.53, OPCH is valued on the expensive side.
Based on the Price/Forward Earnings ratio, OPCH is valued a bit cheaper than 64.10% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.30. OPCH is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.88 | ||
| Fwd PE | 22.53 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OPCH is valued a bit cheaper than the industry average as 60.68% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of OPCH indicates a somewhat cheap valuation: OPCH is cheaper than 63.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.75 | ||
| EV/EBITDA | 16.12 |
4.3 Compensation for Growth
The decent profitability rating of OPCH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.48%
EPS Next 3Y1.74%
5. Dividend
5.1 Amount
No dividends for OPCH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
OPTION CARE HEALTH INC
NASDAQ:OPCH (5/8/2024, 3:30:02 PM)
After market: 30.22 0 (0%)30.22
-0.1 (-0.33%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.25B
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 | 19.88 | ||
| Fwd PE | 22.53 | ||
| 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 | 8.39% | ||
| ROE | 19.08% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.15% | ||
| PM (TTM) | 6.15% | ||
| GM | 22.35% | ||
| 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 Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.39 | ||
| 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)83.13%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-21.33%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.59%
Revenue growth 3Y12.36%
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
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y