Amneal Pharmaceuticals (AMRX) AI Stock Analysis

• Market Cap: $3.05B
• Dividend Yield: N/A
• Average Volume (3M): 1.67M
• Price to Earnings (P/E): 1500.0
• Beta (1Y): 0.91
• Revenue Growth: 9.81%
• EPS Growth: N/A
• Country: US
• Employees: 8,300
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.25
• Shares Outstanding: 314,079,300
• 10 Day Avg. Volume: 1,896,857
• 30 Day Avg. Volume: 1,668,381
• PEG Ratio: 1.00
• Price to Book (P/B): -22.40
• Price to Sales (P/S): 0.88
• P/FCF Ratio: 10.06
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 1.81
• Enterprise Value/Gross Profit: 4.81
• Enterprise Value/Ebitda: 8.86
• 1Y Price Target: $11.00
• Price Target Upside: 14.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 66 Neutral
• Price Target: $10.00 ▲(4.17% Upside)

Amneal Pharmaceuticals' overall stock score is driven by strong technical momentum and positive earnings call insights, indicating growth potential. However, high valuation concerns and profitability challenges weigh on the score. The company's robust cash flow and strategic initiatives provide a solid foundation for future growth.

Positive Factors

Debt Refinancing

Debt refinancing reduces interest expenses and extends maturities, improving financial flexibility and supporting long-term stability.

Product Pipeline

A strong pipeline with numerous product launches enhances market position and revenue diversification, ensuring future growth.

Revenue Growth

Strong revenue growth indicates robust sales expansion and market demand, supporting long-term business sustainability and expansion.

Negative Factors

AvKARE Revenue Decline

Declining revenues in key segments like AvKARE could indicate market challenges, impacting overall revenue growth and stability.

RYTARY Competition

Potential generic competition for RYTARY could erode market share and revenue, affecting long-term growth prospects.

Profitability Challenges

Low profitability margins indicate challenges in converting revenue growth into profits, which could impact long-term financial health.

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 generates revenue primarily through the sale of generic and specialty pharmaceuticals. The company's revenue model includes several key streams: sales of generic drugs, which make up a substantial portion of its income, and sales from branded products, including niche and complex generics. Amneal has established partnerships with various healthcare providers, distributors, and pharmacy benefit managers, which facilitate the distribution of its products. Additionally, the company may engage in licensing agreements and collaborations with other pharmaceutical firms, contributing to its revenue through upfront payments, royalties, and milestone payments. Factors such as market demand for affordable medications, the company's ability to successfully launch new products, and the maintenance of production efficiency significantly impact its earnings.

Amneal Pharmaceuticals Financial Statement Overview

Summary

Amneal Pharmaceuticals shows strong revenue growth and improved leverage, but profitability remains a challenge. The company's cash flow position is robust, providing a solid foundation for future investments and debt management. Continued focus on enhancing operational efficiency and profitability will be crucial for sustaining growth and improving shareholder returns.

Income Statement

Amneal Pharmaceuticals shows a strong revenue growth trajectory with a TTM revenue growth rate of 80.3%, indicating robust sales expansion. However, the net profit margin remains very low at 0.12%, suggesting challenges in translating revenue growth into profitability. The gross profit margin of 37.67% is healthy, but the EBIT and EBITDA margins, at 7.77% and 18.17% respectively, indicate room for operational efficiency improvements.

Balance Sheet

The company's balance sheet shows a significant improvement in its debt-to-equity ratio, now at 0.14 in TTM, reflecting reduced leverage compared to previous years. However, the return on equity is low at 1.86%, indicating limited returns for shareholders. The equity ratio of 30.98% suggests a stable capital structure, but the historical high leverage poses a potential risk.

Cash Flow

Amneal Pharmaceuticals demonstrates strong cash flow management with a 12.48% growth in free cash flow in the TTM period. The operating cash flow to net income ratio of 241.40% indicates efficient cash generation relative to net income. The free cash flow to net income ratio of 76.76% suggests good cash conversion, supporting financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.85B	2.79B	2.39B	2.21B	2.09B	1.99B
Gross Profit	1.07B	1.02B	820.57M	791.46M	783.95M	628.39M
EBITDA	583.88M	439.77M	399.76M	150.43M	401.10M	345.61M
Net Income	3.38M	-116.89M	-83.99M	-129.99M	10.62M	91.06M
Balance Sheet
Total Assets	3.42B	3.50B	3.47B	3.80B	3.94B	4.01B
Cash, Cash Equivalents and Short-Term Investments	81.19M	112.42M	93.74M	27.80M	248.96M	341.38M
Total Debt	2.58B	2.59B	2.75B	2.85B	2.88B	2.94B
Total Liabilities	3.47B	3.55B	3.45B	3.59B	3.57B	3.66B
Stockholders Equity	-112.53M	-109.27M	19.78M	298.42M	360.34M	344.93M
Cash Flow
Free Cash Flow	262.48M	243.18M	276.39M	-25.50M	189.18M	312.81M
Operating Cash Flow	351.08M	295.10M	345.58M	65.10M	241.82M	379.00M
Investing Cash Flow	-81.12M	-63.00M	-69.19M	-174.31M	-194.18M	-317.55M
Financing Cash Flow	-234.40M	-211.79M	-212.57M	-106.62M	-138.12M	131.81M

Amneal Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 9.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMRX, the sentiment is Neutral. The current price of 9.6 is below the 20-day moving average (MA) of 9.74, above the 50-day MA of 9.06, and above the 200-day MA of 8.24, indicating a neutral trend. The MACD of 0.17 indicates Positive momentum. The RSI at 51.23 is Neutral, neither overbought nor oversold. The STOCH value of 26.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AMRX.

Amneal Pharmaceuticals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUPN	71 Outperform	2.64B	41.23	6.06%	―	5.55%	1145.24%
AMPH	69 Neutral	1.25B	9.87	17.78%	―	1.37%	-18.10%
AMRX	66 Neutral	$3.05B	1,500.00	106.97%	―	9.81%	―
ANIP	66 Neutral	2.06B	-121.46	-2.53%	―	38.68%	-160.14%
ALVO	52 Neutral	2.59B	38.69	-36.55%	―	98.37%	―
PRGO	51 Neutral	2.94B	-37.16	-1.80%	5.52%	-2.32%	35.46%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Amneal Pharmaceuticals Corporate Events

Amneal Pharmaceuticals Reports Strong Q2 2025 Results

Amneal Pharmaceuticals reported strong financial results for the second quarter of 2025, with a net revenue of $725 million, marking a 3% increase from the previous year. The company also announced a successful debt refinancing, which reduces interest costs and extends maturities, positioning Amneal for long-term growth. The quarter was highlighted by the commercial success of CREXONT® for Parkinson’s disease and the FDA approval of Brekiya® autoinjector for migraines, contributing to a 23% increase in specialty net revenue. Amneal raised its full-year 2025 financial guidance, reflecting confidence in its diversified pharmaceutical business and growth strategies.

Amneal Pharmaceuticals Secures $2.1 Billion in Loans

On August 1, 2025, Amneal Pharmaceuticals LLC, a subsidiary of Amneal Pharmaceuticals, Inc., secured $2.1 billion in new seven-year term B loans and completed a $600 million offering of senior secured notes, both aimed at refinancing existing debts and enhancing financial flexibility. This strategic financial restructuring is expected to extend debt maturities, reduce interest margins, and provide additional operational flexibility, potentially strengthening the company’s market position and benefiting stakeholders.

Amneal Pharmaceuticals Prices $600M Senior Notes Offering

On July 24, 2025, Amneal Pharmaceuticals announced that its subsidiary priced a $600 million offering of senior secured notes due 2032, reduced from the initially planned $750 million. The company plans to use the proceeds from these notes and a $2.1 billion term loan to refinance existing loans and repay outstanding amounts, with the offering expected to close on August 1, 2025, subject to customary conditions.

Amneal Pharmaceuticals Seeks $1.8 Billion in New Loans

On July 21, 2025, Amneal Pharmaceuticals announced that its subsidiary, Amneal Pharmaceuticals LLC, is seeking to borrow $1.8 billion in new seven-year term B loans and has launched a $750 million private offering of senior secured notes due 2032. The proceeds from these financial activities are intended to refinance existing term B loans, repay a portion of outstanding amounts under its ABL facility, and cover related fees and expenses. These transactions are subject to market conditions, and there is no assurance of their completion. The notes will be offered to qualified institutional buyers and non-U.S. persons, and will not be registered under the Securities Act of 1933.

Amneal Pharmaceuticals Board Restructuring Amidst Financial Growth

Amneal Pharmaceuticals announced a reduction in its Board of Directors from six to five members due to a decrease in the ownership of Class A Common Stock by the Amneal Group. This led to the resignation of Emily Peterson Alva from the Board on July 16, 2025. The company also reported preliminary financial results for the second quarter of 2025, showing a net revenue increase of approximately 3% and a significant rise in income before taxes compared to the same period in 2024. The results highlight Amneal’s continued financial strength and deleveraging efforts, with expectations to meet or exceed full-year guidance. The quarter also saw the FDA approval of Brekiya® autoinjector and strong commercial uptake of CREXONT®, positioning Amneal well for future growth.