Valeant Pharmaceuticals Intl Inc Stock Analysis (NYSE:VRX)
Valeant Pharmaceuticals Intl Inc Analysis Video
View Valeant Pharmaceuticals Intl Inc stock analysis video. This is our VRX analyst opinion covering the buy and sell arguments for VRX stock.
Valeant Pharmaceuticals Intl Inc Stock Rating (3/5)
Our Valeant Pharmaceuticals Intl Inc stock opinion is based on fundamentals of the company. This Valeant Pharmaceuticals Intl Inc stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy VRX stock?
- The price to earnings multiple of 2 is attractive when compared with the industry average PE ratio of 20.8.
- When compared with the Medical-Drugs industry average PS ratio of 4.6, the price-to-sales ratio of 0.4 for VRX stock is attractive.
- The company has a healthy free cash flow margin of 21.9%.
Should you sell VRX stock?
- Valeant revenue saw a decline of -13.8% YoY in 2016 Q4.
- Over the last twelve months, Valeant posted an average operating loss margin of -5.5%.
- Valeant posted an average Net loss of -24.9% in the last twelve months.
- With a debt/equity ratio of 9.16, Valeant is highly leveraged in comparison to Medical peers.
- Valeant has a negative ROIC (Return on Invested Capital) of -1.4%.
- Valeant has a negative return on equity of -48.7%. This indicates that the firm is inefficient at generating profits.