Phibro Animal Health (PAHC)
NASDAQ:PAHC
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Phibro Animal Health
(NASDAQ:PAHC)
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Rating:74Outperform
Price Target:
$64.00
▲(18.78% Upside)
Action:ReiteratedDate:02/19/26
The score is driven primarily by strong technical momentum and a bullish earnings update (raised guidance and strong segment performance). Financial performance is improving but constrained by leverage and historical volatility, while valuation is only fair with a modest dividend yield.
Positive Factors
Revenue Growth Momentum
Sustained top-line expansion and favorable mix indicate stronger product adoption and commercial reach. A 21% Q2 sales gain plus raised FY26 sales guidance suggests durable demand across animal health and nutrition channels, supporting revenue resilience over the next several quarters.
Negative Factors
Elevated Leverage
High gross and net leverage increases financial risk and limits strategic flexibility. Elevated debt amplifies interest expense sensitivity and constrains capital allocation; deleveraging depends on persistent FCF and integration payback to avoid pressure on operations or ratings.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth Momentum
Sustained top-line expansion and favorable mix indicate stronger product adoption and commercial reach. A 21% Q2 sales gain plus raised FY26 sales guidance suggests durable demand across animal health and nutrition channels, supporting revenue resilience over the next several quarters.
Read all positive factors
Phibro Animal Health (PAHC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$2.19B
Dividend Yield1.28%
Average Volume (3M)281.24K
Price to Earnings (P/E)13.8
Beta (1Y)1.07
Revenue Growth33.71%
EPS Growth289.48%
CountryUS
Employees1,940
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)0.87
Shares Outstanding20,623,682
10 Day Avg. Volume370,279
30 Day Avg. Volume281,242
Financial Highlights & Ratios
PEG Ratio0.01
Price to Book (P/B)3.62
Price to Sales (P/S)0.80
P/FCF Ratio24.73
Enterprise Value/Market Cap1.33
Enterprise Value/Revenue1.98
Enterprise Value/Gross Profit6.21
Enterprise Value/Ebitda12.84
Forecast
1Y Price Target
$48.33Price Target Upside-10.30% Downside
Rating ConsensusHold
Number of Analyst Covering3
EPS Forecast (FY)2.95
Revenue Forecast (FY)$1.48B
Phibro Animal Health Business Overview & Revenue Model
Company Description
Phibro Animal Health Corporation develops, manufactures, and supplies a range of animal health and mineral nutrition products for livestock primarily in the United States. It operates through three segments: Animal Health, Mineral Nutrition, and P...
How the Company Makes Money
PAHC makes money primarily by selling animal health and nutrition products to the commercial livestock and poultry supply chain. Its revenue model is product-sales driven and is typically organized around several core streams: (1) Animal Health: s...
Phibro Animal Health Key Performance Indicators (KPIs)
Phibro Animal Health Earnings Call Summary
Earnings Call Date:Feb 04, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:May 13, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational and financial momentum driven primarily by the Animal Health segment, successful MFA integration, robust revenue (+21% Q2) and adjusted EBITDA growth (+41%), and an upward revision to FY26 guidance across sales, EBITDA and adjusted net income. Offsetting items include a one-time/timing-related $10M pullback in legacy MFA sales, a notable decline in Performance Products (-10%), inventory build-up that pressured cash flow, higher SG&A and interest costs, and elevated leverage metrics. Overall the positives (strong top-line & margin expansion, raised guidance, integration execution and product traction) materially outweigh the transitory challenges and modest near-term headwinds.Positive Updates
Strong Consolidated Revenue Growth
Consolidated net sales for Q2 ended Dec 31, 2025 were $373.9M, up $64.6M or 21% year-over-year, driven by demand and favorable mix.
Negative Updates
Legacy MFA Timing-Related Pullback
Legacy MFA net sales declined 5% in the quarter due to timing of inventory purchases by a large customer (roughly a $10M negative impact). Company expects this timing-related volume to return in H2 but it caused near-term lumpiness.
Read all updates
Q2-2026 Updates
Positive
Negative
Strong Consolidated Revenue Growth
Consolidated net sales for Q2 ended Dec 31, 2025 were $373.9M, up $64.6M or 21% year-over-year, driven by demand and favorable mix.
Read all positive updates
Company Guidance
Phibro raised its fiscal 2026 guidance: net sales to $1.450–$1.500 billion (from $1.425–$1.475B), implying 12%–16% growth (midpoint ~14%); total adjusted EBITDA to $245–$255 million (from $230–$240M), implying 33%–39% growth (midpoint ~36%); and adjusted net income to $120–$127 million (from $108–$115M), implying ~41%–49% growth (midpoint ~45%). Management said the raise reflects strong Q2 results (Q2 consolidated sales $373.9M, animal health sales $290M, animal health adjusted EBITDA $82.2M; adjusted EBITDA +$19.9M or +41%; adjusted net income +60%; adj. diluted EPS +58%) and continued MFA contribution and Phibro Forward progress. Key capitalization and cash metrics cited were trailing‑12‑month adjusted EBITDA $235M, total debt $737M (gross leverage 3.1x), net debt $662M (net leverage 2.8x), cash & short‑term investments $74.5M, 12‑month free cash flow $47M, operating cash flow $93M, capex $46M, and a quarterly dividend of $0.12 per share ($4.9M); GAAP EPS guidance assumes constant currency and includes one‑time Phibro Forward costs.Phibro Animal Health Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
52
Neutral
Cash Flow
63
Positive
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.46B | 1.30B | 1.02B | 977.89M | 942.26M | 833.35M |
| Gross Profit | 467.02M | 399.94M | 313.09M | 298.24M | 285.40M | 271.38M |
| EBITDA | 225.98M | 146.85M | 69.06M | 106.03M | 117.13M | 110.21M |
| Net Income | 92.09M | 48.26M | 2.42M | 32.61M | 49.17M | 54.38M |
Balance Sheet | ||||||
| Total Assets | 1.41B | 1.36B | 982.18M | 971.40M | 931.70M | 841.33M |
| Cash, Cash Equivalents and Short-Term Investments | 74.51M | 77.04M | 114.61M | 81.28M | 91.25M | 93.21M |
| Total Debt | 773.17M | 761.55M | 525.46M | 509.97M | 470.48M | 426.71M |
| Total Liabilities | 1.07B | 1.08B | 725.54M | 688.89M | 669.26M | 602.80M |
| Stockholders Equity | 332.36M | 285.68M | 256.64M | 282.51M | 262.44M | 238.53M |
Cash Flow | ||||||
| Free Cash Flow | 47.29M | 41.83M | 46.36M | -38.48M | -5.39M | 18.99M |
| Operating Cash Flow | 93.08M | 80.12M | 87.59M | 13.31M | 31.65M | 48.31M |
| Investing Cash Flow | -63.48M | -288.69M | -48.19M | -74.02M | -22.58M | -18.58M |
| Financing Cash Flow | -42.63M | 207.13M | -6.77M | 26.99M | 16.34M | -17.00M |
Phibro Animal Health Technical Analysis
Positive
53.88
Price Trends
48.75
Positive
44.74
Positive
38.98
Positive
Market Momentum
1.60
Negative
56.55
Neutral
74.27
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PAHC, the sentiment is Positive. The current price of 53.88 is above the 20-day moving average (MA) of 51.94, above the 50-day MA of 48.75, and above the 200-day MA of 38.98, indicating a bullish trend. The MACD of 1.60 indicates Negative momentum. The RSI at 56.55 is Neutral, neither overbought nor oversold. The STOCH value of 74.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PAHC.
Phibro Animal Health Risk Analysis
Phibro Animal Health disclosed 65 risk factors in its most recent earnings report. Phibro Animal Health reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Phibro Animal Health Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | $47.85B | 20.87 | 58.23% | 1.69% | 2.68% | 11.51% | |
74 Outperform | $2.19B | 13.79 | 30.81% | 1.28% | 33.71% | 289.48% | |
58 Neutral | $11.50B | -48.42 | -3.51% | ― | 3.08% | -82.39% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
PAHC
Phibro Animal Health
53.88
32.80
155.61%
ZTS
Zoetis
113.35
-48.94
-30.16%
ELAN
Elanco Animal Health
23.13
12.63
120.29%
Phibro Animal Health Corporate Events
Dividends
Phibro Animal Health Declares Quarterly Cash Dividend
Positive
Feb 3, 2026
On February 3, 2026, Phibro Animal Health Corporation’s board declared a quarterly cash dividend of $0.12 per share on both its Class A and Class B common stock, payable on March 25, 2026 to shareholders of record as of March 4, 2026, unders...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.