Lee's Pharmaceutical Holdings Limited
Lee's Pharmaceutical Holdings Limited Fundamental Analysis
Lee's Pharmaceutical Holdings Limited (LPCUF) shows moderate financial fundamentals with a PE ratio of 10.63, profit margin of 7.74%, and ROE of 4.47%. The company generates $1.1B in annual revenue with strong year-over-year growth of 32.95%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 55.0/100 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 LPCUF's fundamental strength across five key dimensions:
Efficiency Score
WeakLPCUF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentLPCUF trades at attractive valuation levels.
Growth Score
ModerateLPCUF shows steady but slowing expansion.
Financial Health Score
ExcellentLPCUF maintains a strong and stable balance sheet.
Profitability Score
WeakLPCUF struggles to sustain strong margins.
Key Financial Metrics
Is LPCUF Expensive or Cheap?
P/E Ratio
LPCUF trades at 10.63 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LPCUF's PEG of 0.02 indicates potential undervaluation.
Price to Book
The market values Lee's Pharmaceutical Holdings Limited at 0.45 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.21 times EBITDA. This is generally considered low.
How Well Does LPCUF Make Money?
Net Profit Margin
For every $100 in sales, Lee's Pharmaceutical Holdings Limited keeps $7.74 as profit after all expenses.
Operating Margin
Core operations generate 8.45 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.47 in profit for every $100 of shareholder equity.
ROA
Lee's Pharmaceutical Holdings Limited generates $2.75 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Lee's Pharmaceutical Holdings Limited generates strong operating cash flow of $275.83M, reflecting robust business health.
Free Cash Flow
Lee's Pharmaceutical Holdings Limited generates strong free cash flow of $249.67M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.42 in free cash annually.
FCF Yield
LPCUF converts 28.48% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.45
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.82
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.06
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How LPCUF Stacks Against Its Sector Peers
| Metric | LPCUF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.63 | 29.78 | Better (Cheaper) |
| ROE | 4.47% | 792.00% | Weak |
| Net Margin | 7.74% | -23280.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.25 | Strong (Low Leverage) |
| Current Ratio | 1.06 | 4.60 | Neutral |
| ROA | 2.75% | -18077.00% (disorted) | Weak |
LPCUF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Lee's Pharmaceutical Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
15.38%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
47.65%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
-39.21%
Industry Style: Defensive, Growth, Innovation
Declining