Alkermes PLC

Find Ratings Reports
ALKS : NASDAQ : Health Care
$51.78 up 0.77 | 1.51%
Today's Range: 50.52 - 52.27
Avg. Daily Volume: 960,200
07/27/16 - 4:00 PM ET

Financial Analysis


ALKERMES PLC's gross profit margin for the first quarter of its fiscal year 2016 has increased when compared to the same period a year ago. Sales and net income have dropped, although the growth in revenues underperformed the average competitor within the industry, the net income growth did not. ALKERMES PLC is extremely liquid. Currently, the Quick Ratio is 3.41 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.

During the same period, stockholders' equity ("net worth") has decreased by 10.93% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q1 FY16 Q1 FY15
Net Sales ($mil)156.77161.21
EBITDA ($mil)-54.18-4.82
EBIT ($mil)-76.88-27.31
Net Income ($mil)-77.42-30.66


Balance Sheet Q1 FY16 Q1 FY15
Cash & Equiv. ($mil)625.39747.46
Total Assets ($mil)1794.891924.77
Total Debt ($mil)348.49356.39
Equity ($mil)1265.081420.42


Profitability Q1 FY16 Q1 FY15
Gross Profit Margin87.1479.71
EBITDA Margin-34.55-2.99
Operating Margin-49.04-16.94
Sales Turnover0.350.34
Return on Assets-15.26-1.88
Return on Equity-21.65-2.56
Debt Q1 FY16 Q1 FY15
Current Ratio3.748.79
Debt/Capital0.220.2
Interest Expense3.33.29
Interest Coverage-23.33-8.31


Share Data Q1 FY16 Q1 FY15
Shares outstanding (mil)151.08148.48
Div / share0.00.0
EPS-0.51-0.21
Book value / share8.379.57
Institutional Own % n/a n/a
Avg Daily Volume1017662.01703765.0

Valuation


SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. To use another comparison, its price-to-book ratio of 5.85 indicates a significant premium versus the S&P 500 average of 2.81 and a significant discount versus the industry average of 11.16. The price-to-sales ratio is well above the S&P 500 average, but well below the industry average. After reviewing these and other key valuation criteria, ALKERMES PLC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
ALKS NM Peers 40.39   ALKS NM Peers 21.72

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

ALKS's P/E is negative making this valuation measure meaningless.

 

Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

ALKS's P/CF is negative making the measure meaningless.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
ALKS 264.70 Peers 122.62   ALKS NA Peers 1.15

Neutral. The absence of a valid price-to-projected earnings ratio happens when a stock can not be valued on the basis of a negative expected future earnings.

ALKS's ratio is negative making this valuation measure meaningless.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
ALKS 5.85 Peers 11.16   ALKS -600.00 Peers -19.12

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

ALKS is trading at a significant discount to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, ALKS is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
ALKS 11.86 Peers 425.82   ALKS -3.99 Peers 40.81

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

ALKS is trading at a significant discount to its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

ALKS significantly trails its peers on the basis of sales growth

 

 

Latest Stock Upgrades/Downgrades