AFT Pharmaceuticals Limited
AFT Pharmaceuticals Limited Fundamental Analysis
AFT Pharmaceuticals Limited (AFP.AX) shows moderate financial fundamentals with a PE ratio of 19.85, profit margin of 7.40%, and ROE of 17.78%. The company generates $0.2B in annual revenue with strong year-over-year growth of 25.41%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 67.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze AFP.AX's fundamental strength across five key dimensions:
Efficiency Score
ExcellentAFP.AX demonstrates superior asset utilization.
Valuation Score
ExcellentAFP.AX trades at attractive valuation levels.
Growth Score
ExcellentAFP.AX delivers strong and consistent growth momentum.
Financial Health Score
ExcellentAFP.AX maintains a strong and stable balance sheet.
Profitability Score
ModerateAFP.AX maintains healthy but balanced margins.
Key Financial Metrics
Is AFP.AX Expensive or Cheap?
P/E Ratio
AFP.AX trades at 19.85 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, AFP.AX's PEG of 0.39 indicates potential undervaluation.
Price to Book
The market values AFT Pharmaceuticals Limited at 3.52 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 12.21 times EBITDA. This signals the market has high growth expectations.
How Well Does AFP.AX Make Money?
Net Profit Margin
For every $100 in sales, AFT Pharmaceuticals Limited keeps $7.40 as profit after all expenses.
Operating Margin
Core operations generate 10.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.78 in profit for every $100 of shareholder equity.
ROA
AFT Pharmaceuticals Limited generates $10.23 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
AFT Pharmaceuticals Limited generates limited operating cash flow of $8.21M, signaling weaker underlying cash strength.
Free Cash Flow
AFT Pharmaceuticals Limited produces free cash flow of $8.02M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.08 in free cash annually.
FCF Yield
AFP.AX converts 2.32% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
19.85
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.39
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.52
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.47
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.38
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.51
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.25
vs 25 benchmark
How AFP.AX Stacks Against Its Sector Peers
| Metric | AFP.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 19.85 | 28.54 | Better (Cheaper) |
| ROE | 17.78% | 738.00% | Weak |
| Net Margin | 7.40% | -43982.00% (disorted) | Weak |
| Debt/Equity | 0.38 | 0.34 | Neutral |
| Current Ratio | 1.51 | 2806.01 | Neutral |
| ROA | 10.23% | -14624.00% (disorted) | Strong |
AFP.AX outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews AFT Pharmaceuticals Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
113.65%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
696.79%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
1050.93%
Industry Style: Defensive, Growth, Innovation
High Growth