Esperion Therapeutics, Inc.
Esperion Therapeutics, Inc. Fundamental Analysis
Esperion Therapeutics, Inc. (ESPR) shows weak financial fundamentals with a PE ratio of -27.23, profit margin of -5.63%, and ROE of 5.62%. The company generates $0.4B in annual revenue with weak year-over-year growth of 1.86%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.3/100 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 ESPR's fundamental strength across five key dimensions:
Efficiency Score
WeakESPR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentESPR trades at attractive valuation levels.
Growth Score
ModerateESPR shows steady but slowing expansion.
Financial Health Score
ModerateESPR shows balanced financial health with some risks.
Profitability Score
WeakESPR struggles to sustain strong margins.
Key Financial Metrics
Is ESPR Expensive or Cheap?
P/E Ratio
ESPR trades at -27.23 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ESPR's PEG of -0.37 indicates potential undervaluation.
Price to Book
The market values Esperion Therapeutics, Inc. at -2.05 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.59 times EBITDA. This is generally considered low.
How Well Does ESPR Make Money?
Net Profit Margin
For every $100 in sales, Esperion Therapeutics, Inc. keeps $-5.63 as profit after all expenses.
Operating Margin
Core operations generate 14.95 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.62 in profit for every $100 of shareholder equity.
ROA
Esperion Therapeutics, Inc. generates $-4.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Esperion Therapeutics, Inc. generates limited operating cash flow of $-11.50M, signaling weaker underlying cash strength.
Free Cash Flow
Esperion Therapeutics, Inc. generates weak or negative free cash flow of $-11.34M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.05 in free cash annually.
FCF Yield
ESPR converts -2.38% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-27.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.37
vs 25 benchmark
P/B Ratio
Price to book value ratio
-2.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.35
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-1.81
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.56
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
-0.05
vs 25 benchmark
ROCE
Return on capital employed
0.37
vs 25 benchmark
How ESPR Stacks Against Its Sector Peers
| Metric | ESPR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -27.23 | 28.45 | Better (Cheaper) |
| ROE | 5.62% | 763.00% | Weak |
| Net Margin | -5.63% | -45265.00% (disorted) | Weak |
| Debt/Equity | -1.81 | 0.34 | Strong (Low Leverage) |
| Current Ratio | 0.56 | 2795.60 | Weak Liquidity |
| ROA | -4.87% | -16588.00% (disorted) | Weak |
ESPR outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Esperion Therapeutics, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-67.58%
Industry Style: Defensive, Growth, Innovation
DecliningEPS CAGR
93.13%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
95.13%
Industry Style: Defensive, Growth, Innovation
High Growth