Amneal Pharmaceuticals (AMRX) AI Stock Analysis

• Market Cap: $2.39B
• Dividend Yield: N/A
• Average Volume (3M): 1.86M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.74
• Revenue Growth: 13.42%
• EPS Growth: 92.50%
• Country: US
• Employees: 8,300
• Sector: Healthcare
• Sector Strength: 41
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.21
• Shares Outstanding: 313,419,600
• 10 Day Avg. Volume: 1,427,383
• 30 Day Avg. Volume: 1,855,938
• PEG Ratio: <0.01
• Price to Book (P/B): 1.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.78
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 0.30
• Enterprise Value/Gross Profit: 3.13
• Enterprise Value/Ebitda: 1.44
• 1Y Price Target: $9.31
• Price Target Upside: 22.34% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 56 Neutral
• Price Target: $8.00 ▲(5.12%Upside)

Amneal Pharmaceuticals' stock score is driven by a strong earnings call performance highlighting growth in key areas, offset by financial challenges such as high leverage and a negative P/E ratio. Technical analysis shows a neutral trend, while valuation concerns persist due to ongoing losses.

Positive Factors

Business Positioning

AMRX's generics business is increasingly well-positioned with a portfolio more focused on complex products and biosimilars, supporting sustainable growth over the next several years.

Product Launch

With the Crexont launch off to a solid start and continued momentum elsewhere across the portfolio, analyst upgrades AMRX to OW from N.

Negative Factors

Market Caution

There is a more mixed view on Crexont and more caution than the Street on overall Gx fundamentals longer-term.

Amneal Pharmaceuticals Business Overview & Revenue Model

Company Description

Amneal Pharmaceuticals, Inc., together with its subsidiaries, develops, licenses, manufactures, markets, and distributes generic and specialty pharmaceutical products for various dosage forms and therapeutic areas. The company operates through three segments: Generics, Specialty, and AvKARE. The Generics segment develops, manufactures, and commercializes complex oral solids, injectables, ophthalmics, liquids, topicals, softgels, inhalation products, and transdermals across a range of therapeutic categories. The Specialty segment is involved in the development, promotion, distribution, and sale of branded pharmaceutical products with focus on central nervous system disorders, endocrinology, parasitic infections, and other therapeutic areas. It also offers Emverm, a chewable tablet for the treatment of pinworm, whipworm, common roundworm, common hookworm, and American hookworm in single or mixed infections; Rytary to treat Parkinson's disease; and Unithroid for the treatment of hypothyroidism. The AvKARE segment provides pharmaceuticals, medical and surgical products, and services primarily to governmental agencies, the Department of Defense, and the Department of Veterans Affairs. It is also involved in the wholesale distribution of bottle and unit dose pharmaceuticals under the AvKARE and AvPAK names, as well as medical and surgical products; and packaging and wholesale distribution of pharmaceuticals and vitamins to its retail and institutional customers. The company sells its products through wholesalers, distributors, hospitals, chain pharmacies, and individual pharmacies. It operates in the United States, India, Ireland, and internationally. The company was formerly known as Atlas Holdings, Inc. and changed its name to Amneal Pharmaceuticals, Inc. in 2018. Amneal Pharmaceuticals, Inc. was founded in 2002 and is headquartered in Bridgewater, New Jersey.

How the Company Makes Money

Amneal Pharmaceuticals makes money through the development, production, and sale of its pharmaceutical products. The company's primary revenue streams include the sale of generic and specialty pharmaceutical products to wholesalers, distributors, and retail pharmacy chains. Amneal's earnings are bolstered by its extensive portfolio of generic drugs, which allows it to offer cost-effective alternatives to brand-name medications. Additionally, the company invests in research and development to expand its product offerings and enter new therapeutic areas, which can lead to increased sales. Key partnerships and collaborations with other pharmaceutical companies and healthcare providers also contribute to Amneal's revenue by enabling the company to access new markets and enhance its product distribution.

Amneal Pharmaceuticals Financial Statement Overview

Summary

Amneal Pharmaceuticals shows solid revenue growth and improving operational margins, but faces challenges with profitability and high leverage. Positive cash flows are present, but debt levels and limited equity buffer pose financial stability risks.

Income Statement

Amneal Pharmaceuticals shows a steady revenue growth trajectory, with a TTM revenue increase to $2.83 billion. Gross profit margins remain healthy at approximately 36.7% TTM, but the company continues to struggle with profitability, evidenced by a negative net income. EBIT and EBITDA margins have improved to 12.7% and 18.1% TTM, respectively, reflecting better operational efficiency, although net profit margin is negative due to persistent losses.

Balance Sheet

The company faces high leverage with a debt-to-equity ratio of approximately 1.33 TTM, indicating substantial reliance on debt financing. The equity ratio is concerning at 30.2% TTM, reflecting limited equity buffer against liabilities. Amneal's return on equity remains negative due to ongoing net losses, highlighting challenges in generating shareholder returns.

Cash Flow

Amneal's cash flow position is relatively stable, with positive operating cash flow of $306.9 million TTM, and a consistent free cash flow generation of $238.5 million TTM. The operating cash flow to net income ratio is strong, although free cash flow to net income is strained by negative earnings, indicating adequate but pressured cash management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.83B	2.79B	2.39B	2.21B	2.09B	1.99B
	Gross Profit
1.04B	1.02B	820.57M	791.46M	783.95M	628.39M
	EBIT
360.42M	249.33M	204.37M	-94.93M	152.72M	91.16M
	EBITDA
565.78M	439.77M	399.76M	150.43M	401.10M	345.61M
	Net Income Common Stockholders
-13.05M	-116.89M	-83.99M	-129.99M	10.62M	91.06M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
405.24M	110.55M	93.74M	27.80M	248.96M	341.38M
	Total Assets
4.39B	3.50B	3.47B	3.80B	3.94B	4.01B
	Total Debt
3.28B	2.59B	2.75B	2.85B	2.88B	2.94B
	Net Debt
2.87B	2.48B	2.66B	2.82B	2.63B	2.60B
	Total Liabilities
3.99B	3.61B	3.45B	3.59B	3.57B	3.66B
	Stockholders Equity
318.38M	-109.27M	19.78M	298.42M	360.34M	344.93M
Cash Flow		Free Cash Flow
233.37M	243.18M	276.39M	-25.50M	189.18M	312.81M
	Operating Cash Flow
306.92M	295.10M	345.58M	65.10M	241.82M	379.00M
	Investing Cash Flow
-61.03M	-63.00M	-69.19M	-174.31M	-194.18M	-317.55M
	Financing Cash Flow
-227.80M	-211.79M	-212.57M	-106.62M	-138.12M	131.81M

Amneal Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.61
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMRX, the sentiment is Positive. The current price of 7.61 is above the 20-day moving average (MA) of 7.38, above the 50-day MA of 7.45, and below the 200-day MA of 8.16, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 55.42 is Neutral, neither overbought nor oversold. The STOCH value of 71.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMRX.

Amneal Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOLD	62 Neutral	$1.90B	―	-18.12%	―	28.25%	80.86%
AMRX	56 Neutral	$2.39B	―	106.97%	―	13.42%	92.50%
NAMS	54 Neutral	$2.26B	―	-31.51%	―	―	―
Sector *	54 Neutral	$5.31B	3.26	-45.10%	2.79%	16.76%	0.02%
VKTX	53 Neutral	$3.13B	―	-14.40%	―	―	-23.84%
IBRX	49 Neutral	$2.78B	―	78.99%	―	10238.41%	47.67%
MLTX	41 Neutral	$3.01B	―	-30.57%	―	―	-147.80%

Amneal Pharmaceuticals Corporate Events

Amneal Pharmaceuticals Approves Key Proposals at Annual Meeting

Amneal Pharmaceuticals held its 2025 Annual Meeting of Stockholders on May 6, 2025, where all proposals were approved, and all director nominees were elected. The meeting included the election of directors, approval of executive compensation, and ratification of Ernst & Young LLP as the independent auditor for the fiscal year ending December 31, 2025. These approvals are expected to support the company’s governance and operational strategies moving forward.

Amneal Pharmaceuticals Reports Strong Q1 2025 Financial Results

Amneal Pharmaceuticals reported strong financial results for the first quarter of 2025, with net revenue reaching $695 million, a 5% increase from the previous year. The company achieved a net income of $12 million, a significant improvement from a net loss of $92 million in the same quarter of 2024, driven by higher revenue, gross profit, and the absence of a previous legal settlement charge. The company also reported an adjusted EBITDA of $170 million, reflecting a 12% increase, and affirmed its full-year 2025 financial guidance, indicating confidence in its growth trajectory and value creation for stakeholders.