Jazz Pharmaceuticals plc [NASDAQ:JAZZ]: Analyst Rating and Earnings
Experts stock market traders frequently make a point to check what top Wall Street analysts say regarding a potential buy. Regarding Jazz Pharmaceuticals plc [JAZZ] currently, the latest Wall Street ratings we can see is from the fiscal quarter that’s going to end in December. On average, stock market experts give JAZZ an Outperform rating. The average 12-month price forecast for this stock is $178.10, with the high estimate being $205.00, the low estimate being $135.00 and the median estimate amounting to $180.00. This is compared to its latest closing price of $130.48.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Jazz Pharmaceuticals plc [JAZZ] is sitting at 2.00. This is compared to 1 month ago, when its average rating was 2.00.
For the quarter ending in Sep-18 Jazz Pharmaceuticals plc [JAZZ] generated $0.47 billion in sales. That’s 2.75% lower than the average estimate of $0.48 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on Tue 26 Feb (In 45 Days).
Fundamental Analysis of Jazz Pharmaceuticals plc [JAZZ]
Now let’s turn to look at profitability: with a current Operating Margin for Jazz Pharmaceuticals plc [JAZZ] sitting at +37.92 and its Gross Margin at +83.80, this company’s Net Margin is now 28.10%. These measurements indicate that Jazz Pharmaceuticals plc [JAZZ] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 14.97, and its Return on Invested Capital has reached 9.80%. Its Return on Equity is 21.25, and its Return on Assets is 9.83. These metrics all suggest that Jazz Pharmaceuticals plc is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Jazz Pharmaceuticals plc [JAZZ] has generated a Total Debt to Total Equity ratio of 58.27. Similarly, its Total Debt to Total Capital is 36.82, while its Total Debt to Total Assets stands at 30.86. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 56.78, and its Long-Term Debt to Total Capital is 35.87. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 11.21 and its Total Debt to EBITDA Value is 2.03. The Enterprise Value to Sales for this firm is now 4.72, and its Total Debt to Enterprise Value stands at 0.17. Jazz Pharmaceuticals plc [JAZZ] has a Price to Book Ratio of 2.97, a Price to Cash Flow Ratio of 11.91 and P/E Ratio of 15.24. These metrics all suggest that Jazz Pharmaceuticals plc is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Jazz Pharmaceuticals plc [JAZZ] earns $1,337,763 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.06 and its Total Asset Turnover is 0.33. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 3.15 and its Current Ratio is 3.29. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Let’s now turn our attention to trading performance: Jazz Pharmaceuticals plc [JAZZ] has 60.48M shares outstanding, amounting to a total market cap of $7.79B. Its stock price has been found in the range of 113.52 to 184.00. At its current price, it has moved by -29.97% from its 52-week high, and it has moved 13.51% from its 52-week low.
This stock’s Beta value is currently 1.24, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 44.71. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Jazz Pharmaceuticals plc [JAZZ] a Reliable Buy?
Shares of Jazz Pharmaceuticals plc [JAZZ], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.