PACIRA BIOSCIENCES INC (PCRX) Stock Fundamental Analysis
NASDAQ:PCRX - Nasdaq - US6951271005 - Common Stock - Currency: USD
Overall PCRX gets a fundamental rating of 6 out of 10. We evaluated PCRX against 195 industry peers in the Pharmaceuticals industry. PCRX scores excellent on profitability, but there are some minor concerns on its financial health. PCRX scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, PCRX could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year PCRX was profitable.
PCRX had a positive operating cash flow in the past year.
PCRX had positive earnings in 4 of the past 5 years.
PCRX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of -5.97%, PCRX is doing good in the industry, outperforming 72.31% of the companies in the same industry.
PCRX has a Return On Equity of -11.87%. This is in the better half of the industry: PCRX outperforms 76.41% of its industry peers.
The Return On Invested Capital of PCRX (5.65%) is better than 83.59% of its industry peers.
PCRX had an Average Return On Invested Capital over the past 3 years of 4.17%. This is significantly below the industry average of 14.87%.
The 3 year average ROIC (4.17%) for PCRX is below the current ROIC(5.65%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.97% | ||
| ROE | -11.87% | ||
| ROIC | 5.65% |
ROA(3y)-0.93%
ROA(5y)2.13%
ROE(3y)-1.97%
ROE(5y)4.66%
ROIC(3y)4.17%
ROIC(5y)4.47%
1.3 Margins
PCRX's Operating Margin of 12.16% is amongst the best of the industry. PCRX outperforms 83.08% of its industry peers.
In the last couple of years the Operating Margin of PCRX has grown nicely.
The Gross Margin of PCRX (76.46%) is better than 85.13% of its industry peers.
In the last couple of years the Gross Margin of PCRX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.16% | ||
| PM (TTM) | N/A | ||
| GM | 76.46% |
OM growth 3Y-17.2%
OM growth 5Y10.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.27%
2. Health
2.1 Basic Checks
PCRX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PCRX has less shares outstanding than it did 1 year ago.
PCRX has more shares outstanding than it did 5 years ago.
PCRX has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.75, we must say that PCRX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of PCRX (1.75) is better than 64.10% of its industry peers.
The Debt to FCF ratio of PCRX is 3.66, which is a good value as it means it would take PCRX, 3.66 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.66, PCRX belongs to the top of the industry, outperforming 88.72% of the companies in the same industry.
PCRX has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of PCRX (0.48) is worse than 60.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.66 | ||
| Altman-Z | 1.75 |
ROIC/WACC0.68
WACC8.37%
2.3 Liquidity
A Current Ratio of 2.41 indicates that PCRX has no problem at all paying its short term obligations.
PCRX's Current ratio of 2.41 is in line compared to the rest of the industry. PCRX outperforms 43.08% of its industry peers.
A Quick Ratio of 1.99 indicates that PCRX should not have too much problems paying its short term obligations.
PCRX's Quick ratio of 1.99 is in line compared to the rest of the industry. PCRX outperforms 44.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
PCRX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.64%.
The Earnings Per Share has been growing by 13.96% on average over the past years. This is quite good.
Looking at the last year, PCRX shows a very strong growth in Revenue. The Revenue has grown by 27.59%.
Measured over the past years, PCRX shows a quite strong growth in Revenue. The Revenue has been growing by 10.73% on average per year.
EPS 1Y (TTM)6.64%
EPS 3Y2.39%
EPS 5Y13.96%
EPS Q2Q%0%
Revenue 1Y (TTM)27.59%
Revenue growth 3Y8.98%
Revenue growth 5Y10.73%
Sales Q2Q%1.08%
3.2 Future
PCRX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.26% yearly.
The Revenue is expected to grow by 7.00% on average over the next years.
EPS Next Y-12.49%
EPS Next 2Y2.11%
EPS Next 3Y10.11%
EPS Next 5Y9.26%
Revenue Next Year5.64%
Revenue Next 2Y8.18%
Revenue Next 3Y8.68%
Revenue Next 5Y7%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 7.23, which indicates a rather cheap valuation of PCRX.
93.85% of the companies in the same industry are more expensive than PCRX, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.45. PCRX is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.94, the valuation of PCRX can be described as very cheap.
Based on the Price/Forward Earnings ratio, PCRX is valued cheaper than 91.28% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of PCRX to the average of the S&P500 Index (21.90), we can say PCRX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.23 | ||
| Fwd PE | 6.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PCRX is valued cheaper than 96.41% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PCRX is valued cheaper than 94.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.74 | ||
| EV/EBITDA | 5.1 |
4.3 Compensation for Growth
PCRX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.52
EPS Next 2Y2.11%
EPS Next 3Y10.11%
5. Dividend
5.1 Amount
PCRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.22
+0.01 (+0.04%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners111.44%
Inst Owner Change1.53%
Ins Owners0.69%
Ins Owner Change33.22%
Market Cap1.08B
Analysts75.38
Price Target39.37 (69.55%)
Short Float %12.31%
Short Ratio7.61
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)2
Avg EPS beat(2)4.4%
Min EPS beat(2)1.99%
Max EPS beat(2)6.81%
EPS beat(4)4
Avg EPS beat(4)10.88%
Min EPS beat(4)1.99%
Max EPS beat(4)24.81%
EPS beat(8)5
Avg EPS beat(8)3.83%
EPS beat(12)5
Avg EPS beat(12)-4.15%
EPS beat(16)8
Avg EPS beat(16)-3.65%
Revenue beat(2)0
Avg Revenue beat(2)-3.17%
Min Revenue beat(2)-5.92%
Max Revenue beat(2)-0.42%
Revenue beat(4)1
Avg Revenue beat(4)-1.94%
Min Revenue beat(4)-5.92%
Max Revenue beat(4)1.18%
Revenue beat(8)1
Avg Revenue beat(8)-2.72%
Revenue beat(12)1
Avg Revenue beat(12)-2.57%
Revenue beat(16)2
Avg Revenue beat(16)-2.32%
PT rev (1m)-1.03%
PT rev (3m)18.77%
EPS NQ rev (1m)-4.91%
EPS NQ rev (3m)-10.14%
EPS NY rev (1m)-2.33%
EPS NY rev (3m)-2.53%
Revenue NQ rev (1m)-0.44%
Revenue NQ rev (3m)-2.02%
Revenue NY rev (1m)-1%
Revenue NY rev (3m)-2.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.23 | ||
| Fwd PE | 6.94 | ||
| P/S | 1.24 | ||
| P/FCF | 6.74 | ||
| P/OCF | 6.12 | ||
| P/B | 1.35 | ||
| P/tB | 3.14 | ||
| EV/EBITDA | 5.1 |
EPS(TTM)3.21
EY13.82%
EPS(NY)3.35
Fwd EY14.41%
FCF(TTM)3.44
FCFY14.83%
OCF(TTM)3.8
OCFY16.35%
SpS18.79
BVpS17.25
TBVpS7.39
PEG (NY)N/A
PEG (5Y)0.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.97% | ||
| ROE | -11.87% | ||
| ROCE | 8.31% | ||
| ROIC | 5.65% | ||
| ROICexc | 9.24% | ||
| ROICexgc | 22.34% | ||
| OM | 12.16% | ||
| PM (TTM) | N/A | ||
| GM | 76.46% | ||
| FCFM | 18.32% |
ROA(3y)-0.93%
ROA(5y)2.13%
ROE(3y)-1.97%
ROE(5y)4.66%
ROIC(3y)4.17%
ROIC(5y)4.47%
ROICexc(3y)5.86%
ROICexc(5y)7.17%
ROICexgc(3y)13.2%
ROICexgc(5y)24.66%
ROCE(3y)6.13%
ROCE(5y)6.57%
ROICexcg growth 3Y-34.27%
ROICexcg growth 5Y13.31%
ROICexc growth 3Y-4.56%
ROICexc growth 5Y9.22%
OM growth 3Y-17.2%
OM growth 5Y10.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.27%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.66 | ||
| Debt/EBITDA | 2.04 | ||
| Cap/Depr | 20.05% | ||
| Cap/Sales | 1.88% | ||
| Interest Coverage | 7.47 | ||
| Cash Conversion | 93.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 1.75 |
F-Score5
WACC8.37%
ROIC/WACC0.68
Cap/Depr(3y)22.15%
Cap/Depr(5y)83.49%
Cap/Sales(3y)2.76%
Cap/Sales(5y)5.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.64%
EPS 3Y2.39%
EPS 5Y13.96%
EPS Q2Q%0%
EPS Next Y-12.49%
EPS Next 2Y2.11%
EPS Next 3Y10.11%
EPS Next 5Y9.26%
Revenue 1Y (TTM)27.59%
Revenue growth 3Y8.98%
Revenue growth 5Y10.73%
Sales Q2Q%1.08%
Revenue Next Year5.64%
Revenue Next 2Y8.18%
Revenue Next 3Y8.68%
Revenue Next 5Y7%
EBIT growth 1Y13.13%
EBIT growth 3Y-9.76%
EBIT growth 5Y22.27%
EBIT Next Year6.58%
EBIT Next 3Y12.56%
EBIT Next 5Y7.28%
FCF growth 1Y52.39%
FCF growth 3Y30.84%
FCF growth 5Y24.28%
OCF growth 1Y31.55%
OCF growth 3Y14.64%
OCF growth 5Y21.85%