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APN

Aspen Pharmacare HoldingsJSE:APN Stock Report

Market Cap

R111.6b

7D

2.5%

1Y

130.4%

Updated

20 Oct, 2021

Data

Company Financials +
APN fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance4/6
Financial Health5/6
Dividends0/6

APN Overview

Aspen Pharmacare Holdings Limited, together with its subsidiaries, manufactures and supplies specialty and branded pharmaceutical products worldwide.

Aspen Pharmacare Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Aspen Pharmacare Holdings
Historical stock prices
Current Share PriceR245.23
52 Week HighR102.98
52 Week LowR281.67
Beta0.57
1 Month Change2.00%
3 Month Change42.11%
1 Year Change130.37%
3 Year Change71.89%
5 Year Change-18.72%
Change since IPO27,624.64%

Recent News & Updates

Oct 11
We Think Aspen Pharmacare Holdings' (JSE:APN) Robust Earnings Are Conservative

We Think Aspen Pharmacare Holdings' (JSE:APN) Robust Earnings Are Conservative

The subdued stock price reaction suggests that Aspen Pharmacare Holdings Limited's ( JSE:APN ) strong earnings didn't...

Sep 30
After Leaping 42% Aspen Pharmacare Holdings Limited (JSE:APN) Shares Are Not Flying Under The Radar

After Leaping 42% Aspen Pharmacare Holdings Limited (JSE:APN) Shares Are Not Flying Under The Radar

Aspen Pharmacare Holdings Limited ( JSE:APN ) shares have continued their recent momentum with a 42% gain in the last...

Sep 30
Aspen Pharmacare Holdings Limited (JSE:APN) Looks Just Right With A 42% Price Jump

Aspen Pharmacare Holdings Limited (JSE:APN) Looks Just Right With A 42% Price Jump

Aspen Pharmacare Holdings Limited ( JSE:APN ) shares have continued their recent momentum with a 42% gain in the last...

Shareholder Returns

APNZA PharmaceuticalsZA Market
7D2.5%1.9%0.9%
1Y130.4%89.8%19.9%

Return vs Industry: APN exceeded the ZA Pharmaceuticals industry which returned 89.6% over the past year.

Return vs Market: APN exceeded the ZA Market which returned 20.8% over the past year.

Price Volatility

Is APN's price volatile compared to industry and market?
APN volatility
APN Beta0.57
Industry Beta0.56
Market Beta1

Stable Share Price: APN is not significantly more volatile than the rest of ZA stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: APN's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18508,844Stephen Saadhttps://www.aspenpharma.com

Aspen Pharmacare Holdings Limited, together with its subsidiaries, manufactures and supplies specialty and branded pharmaceutical products worldwide. It operates in Commercial Pharmaceuticals and Manufacturing segments. The company provides general anesthetics, muscle relaxants, and topical agents under the Anaesthetics brand; and a range of injectable anticoagulants with a focus on low molecular weight heparins, Xa inhibitors, and heparin derivatives under the Thrombosis brand.

Aspen Pharmacare Holdings Fundamentals Summary

How do Aspen Pharmacare Holdings's earnings and revenue compare to its market cap?
APN fundamental statistics
Market CapR111.62b
Earnings (TTM)R4.80b
Revenue (TTM)R37.77b

23.3x

P/E Ratio

3.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
APN income statement (TTM)
RevenueR37.77b
Cost of RevenueR19.99b
Gross ProfitR17.78b
ExpensesR12.98b
EarningsR4.80b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)10.54
Gross Margin47.08%
Net Profit Margin12.70%
Debt/Equity Ratio37.3%

How did APN perform over the long term?

See historical performance and comparison

Dividends

1.1%

Current Dividend Yield

25%

Payout Ratio

Valuation

Is Aspen Pharmacare Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: APN (ZAR245.23) is trading below our estimate of fair value (ZAR801.06)

Significantly Below Fair Value: APN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: APN is poor value based on its PE Ratio (23.3x) compared to the African Pharmaceuticals industry average (9.4x).

PE vs Market: APN is poor value based on its PE Ratio (23.3x) compared to the ZA market (11.4x).


Price to Earnings Growth Ratio

PEG Ratio: APN is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: APN is overvalued based on its PB Ratio (1.7x) compared to the XF Pharmaceuticals industry average (1.6x).


Future Growth

How is Aspen Pharmacare Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

27.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APN's forecast earnings growth (27.2% per year) is above the savings rate (8.8%).

Earnings vs Market: APN's earnings (27.2% per year) are forecast to grow faster than the ZA market (13.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: APN's revenue (5.6% per year) is forecast to grow slower than the ZA market (6.2% per year).

High Growth Revenue: APN's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: APN's Return on Equity is forecast to be low in 3 years time (13.1%).


Past Performance

How has Aspen Pharmacare Holdings performed over the past 5 years?

-5.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: APN has high quality earnings.

Growing Profit Margin: APN's current net profit margins (12.7%) are higher than last year (10%).


Past Earnings Growth Analysis

Earnings Trend: APN's earnings have declined by 5.4% per year over the past 5 years.

Accelerating Growth: APN's earnings growth over the past year (42%) exceeds its 5-year average (-5.4% per year).

Earnings vs Industry: APN earnings growth over the past year (42%) exceeded the Pharmaceuticals industry 10%.


Return on Equity

High ROE: APN's Return on Equity (7.3%) is considered low.


Financial Health

How is Aspen Pharmacare Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: APN's short term assets (ZAR32.7B) do not cover its short term liabilities (ZAR36.8B).

Long Term Liabilities: APN's short term assets (ZAR32.7B) exceed its long term liabilities (ZAR7.3B).


Debt to Equity History and Analysis

Debt Level: APN's debt to equity ratio (37.3%) is considered satisfactory.

Reducing Debt: APN's debt to equity ratio has reduced from 102.7% to 37.3% over the past 5 years.

Debt Coverage: APN's debt is well covered by operating cash flow (27.9%).

Interest Coverage: APN's interest payments on its debt are well covered by EBIT (7.5x coverage).


Balance Sheet


Dividend

What is Aspen Pharmacare Holdings's current dividend yield, its reliability and sustainability?

1.07%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: APN's dividend (1.07%) isn’t notable compared to the bottom 25% of dividend payers in the ZA market (3.11%).

High Dividend: APN's dividend (1.07%) is low compared to the top 25% of dividend payers in the ZA market (8.07%).


Stability and Growth of Payments

Stable Dividend: APN is not paying a notable dividend for the ZA market, therefore no need to check if payments are stable.

Growing Dividend: APN is not paying a notable dividend for the ZA market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: APN is not paying a notable dividend for the ZA market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of APN's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.6yrs

Average management tenure


CEO

Stephen Saad (57 yo)

21.75yrs

Tenure

R24,413,000

Compensation

Mr. Stephen Bradley Saad, BCom, CA(SA), has been the Group Chief Executive Officer of Aspen Pharmacare Holdings Limited since 2000. Mr. Saad served as a Joint Chief Executive of Aspen Pharmacare Holdings L...


CEO Compensation Analysis

Compensation vs Market: Stephen's total compensation ($USD1.69M) is about average for companies of similar size in the ZA market ($USD1.70M).

Compensation vs Earnings: Stephen's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: APN's management team is seasoned and experienced (6.6 years average tenure).


Board Members

Experienced Board: APN's board of directors are considered experienced (6.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Aspen Pharmacare Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Aspen Pharmacare Holdings Limited
  • Ticker: APN
  • Exchange: JSE
  • Founded: 1850
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: R111.620b
  • Shares outstanding: 455.16m
  • Website: https://www.aspenpharma.com

Number of Employees


Location

  • Aspen Pharmacare Holdings Limited
  • Aspen Place
  • 9 Rydall Vale Park
  • Durban
  • KwaZulu-Natal
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 22:02
End of Day Share Price2021/10/20 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.