Phibro Animal Health Corporation
Phibro Animal Health Corporation Fundamental Analysis
Phibro Animal Health Corporation (PAHC) shows moderate financial fundamentals with a PE ratio of 23.06, profit margin of 6.29%, and ROE of 30.81%. The company generates $1.5B in annual revenue with strong year-over-year growth of 27.37%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 58.3/100 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 PAHC's fundamental strength across five key dimensions:
Efficiency Score
WeakPAHC struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPAHC trades at attractive valuation levels.
Growth Score
ExcellentPAHC delivers strong and consistent growth momentum.
Financial Health Score
ModeratePAHC shows balanced financial health with some risks.
Profitability Score
ModeratePAHC maintains healthy but balanced margins.
Key Financial Metrics
Is PAHC Expensive or Cheap?
P/E Ratio
PAHC trades at 23.06 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, PAHC's PEG of 0.64 indicates potential undervaluation.
Price to Book
The market values Phibro Animal Health Corporation at 6.39 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 6.97 times EBITDA. This is generally considered low.
How Well Does PAHC Make Money?
Net Profit Margin
For every $100 in sales, Phibro Animal Health Corporation keeps $6.29 as profit after all expenses.
Operating Margin
Core operations generate 11.30 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $30.81 in profit for every $100 of shareholder equity.
ROA
Phibro Animal Health Corporation generates $6.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Phibro Animal Health Corporation generates limited operating cash flow of $93.08M, signaling weaker underlying cash strength.
Free Cash Flow
Phibro Animal Health Corporation produces free cash flow of $47.29M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.17 in free cash annually.
FCF Yield
PAHC converts 2.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.06
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.64
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.39
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.45
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.82
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.05
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.31
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How PAHC Stacks Against Its Sector Peers
| Metric | PAHC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.06 | 29.43 | Better (Cheaper) |
| ROE | 30.81% | 800.00% | Weak |
| Net Margin | 6.29% | -20145.00% (disorted) | Weak |
| Debt/Equity | 1.82 | 0.30 | Weak (High Leverage) |
| Current Ratio | 3.05 | 4.64 | Strong Liquidity |
| ROA | 6.55% | -17936.00% (disorted) | Weak |
PAHC outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Phibro Animal Health Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
61.96%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
43.85%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
35.01%
Industry Style: Defensive, Growth, Innovation
High Growth