Amneal Pharmaceuticals (AMRX) AI Stock Analysis

• Market Cap: $2.50B
• Dividend Yield: N/A
• Average Volume (3M): 2.03M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 16.73%
• EPS Growth: -22.44%
• Country: US
• Employees: 8,300
• Sector: Healthcare
• Sector Strength: 57
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.38
• Shares Outstanding: 313,382,260
• 10 Day Avg. Volume: 2,106,399
• 30 Day Avg. Volume: 2,030,531
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.00
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 4.89
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $11.33
• Price Target Upside: 42.16% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

Amneal Pharmaceuticals shows strength in revenue growth and strategic initiatives, particularly in new product markets, as highlighted in the earnings call. However, ongoing profitability issues and high leverage limit the stock's appeal. Technical indicators suggest a cautious approach, and valuation metrics reflect the need for improved profitability. Overall, the stock has balanced growth potential but significant financial risks.

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 (AMRX) is a global pharmaceutical company focused on the development, manufacturing, and distribution of generic and specialty pharmaceutical products. The company operates in the healthcare sector, primarily producing generic medications across a wide range of therapeutic areas. Additionally, Amneal is involved in the research and development of complex generics and biosimilars, aiming to provide cost-effective and accessible healthcare solutions.

How the Company Makes Money

Amneal Pharmaceuticals generates revenue primarily through the sale of its generic and specialty pharmaceutical products. The company's key revenue streams include its generic drug portfolio, which covers a broad spectrum of therapeutic areas and is sold to wholesalers, distributors, and pharmacies. Amneal also invests in the development of complex generics and biosimilars, which can command higher prices and margins due to their complexity and limited competition. Partnerships and collaborations with other pharmaceutical companies and healthcare providers play a significant role in expanding the company's product offerings and market reach, contributing to its earnings. Additionally, Amneal's specialty pharmaceutical segment, which focuses on branded and niche products, offers another avenue for revenue growth.

Amneal Pharmaceuticals Financial Statement Overview

Summary

Amneal Pharmaceuticals demonstrates revenue growth and improving gross margins, which are positive indicators. However, the company faces risks due to consistent net losses and a highly leveraged balance sheet. Positive cash flows indicate operational resilience, but negative equity and profitability challenges hinder overall financial health.

Income Statement

Amneal Pharmaceuticals has shown a solid revenue growth over the years, with Total Revenue increasing from $1.99 billion in 2020 to $2.79 billion in 2024. Gross Profit Margin has been improving, reaching approximately 36.5% in 2024. However, the company has struggled with profitability, as indicated by persistent negative Net Income in recent years, despite an improving EBIT Margin of 8.9% in 2024.

Balance Sheet

The balance sheet of Amneal Pharmaceuticals indicates financial stress, with negative Stockholders' Equity in 2024 due to accumulated losses. The Debt-to-Equity ratio is not meaningful due to negative equity, but the high Total Debt of $331 million suggests significant leverage. The equity ratio turned negative in 2024, indicating liabilities exceed assets.

Cash Flow

Amneal Pharmaceuticals has managed to generate positive Operating Cash Flow, reaching $295 million in 2024. Free Cash Flow has been positive, although declining from $276 million in 2023 to $243 million in 2024. The Free Cash Flow to Net Income ratio is not meaningful due to negative Net Income, but the positive cash flows indicate operational resilience.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.79B	2.39B	2.21B	2.09B	1.99B
	Gross Profit
1.02B	820.57M	784.71M	768.97M	628.39M
	EBIT
249.33M	204.37M	206.46M	209.24M	91.16M
	EBITDA
439.77M	399.76M	150.43M	450.00M	381.05M
	Net Income Common Stockholders
-116.89M	-83.99M	-254.79M	20.17M	68.58M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
110.55M	91.54M	25.98M	247.79M	341.38M
	Total Assets
3.50B	3.47B	3.80B	3.94B	4.01B
	Total Debt
2.59B	2.75B	2.85B	2.88B	2.94B
	Net Debt
2.48B	2.66B	2.82B	2.63B	2.60B
	Total Liabilities
3.61B	3.45B	3.59B	3.57B	3.66B
	Stockholders Equity
-109.27M	19.78M	183.98M	366.97M	344.93M
Cash Flow		Free Cash Flow
243.18M	276.39M	-25.50M	189.18M	312.81M
	Operating Cash Flow
295.10M	345.58M	65.10M	241.82M	379.00M
	Investing Cash Flow
-63.00M	-69.19M	-174.31M	-194.18M	-317.55M
	Financing Cash Flow
-211.79M	-212.57M	-106.62M	-138.12M	131.81M

Amneal Pharmaceuticals Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.97
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 7.97 is above the 20-day moving average (MA) of 7.36, below the 50-day MA of 8.08, and below the 200-day MA of 8.17, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 57.45 is Neutral, neither overbought nor oversold. The STOCH value of 85.51 is Negative, 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
FOLD	58 Neutral	$2.05B	―	-18.12%	―	28.25%	80.86%
AMRX	57 Neutral	$2.50B	―	106.97%	―	16.73%	-22.44%
VKTX	53 Neutral	$3.30B	―	-14.40%	―	―	-23.84%
Sector *	52 Neutral	$5.35B	3.96	-42.60%	2.86%	17.58%	1.27%
NAMS	51 Neutral	$2.25B	―	-61.35%	―	―	―
MLTX	41 Neutral	$2.72B	―	-25.24%	―	―	-147.80%
IBRX	40 Underperform	$2.32B	―	78.99%	―	2270.58%	46.82%

Amneal Pharmaceuticals Corporate Events

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.

Spark’s Take on AMRX Stock

According to Spark, TipRanks’ AI Analyst, AMRX is a Neutral.

Amneal Pharmaceuticals’ overall stock score reflects a mixed outlook. While financial performance shows revenue growth and cash flow resilience, the ongoing net losses and high leverage weigh negatively. Technical analysis highlights a bearish trend, and valuation metrics are concerning with a negative P/E ratio. However, positive guidance and strategic market initiatives from the latest earnings call offer some optimism.

To see Spark’s full report on AMRX stock, click here.

Amneal Pharmaceuticals Reports Strong 2024 Financial Growth

Amneal Pharmaceuticals reported its financial results for the fourth quarter and full year of 2024, showing significant growth across all business segments. The company achieved a net revenue of $2.79 billion for the year, a 17% increase from 2023, driven by new product launches and growth in its Affordable Medicines, AvKARE, and Specialty segments. Despite a GAAP net loss of $117 million for the year, Amneal’s adjusted EBITDA increased by 12% to $627 million. The company also provided its 2025 financial guidance, projecting net revenue between $3.0 billion and $3.1 billion and adjusted EBITDA between $650 million and $675 million, indicating continued expansion in high-growth areas such as Specialty, Biosimilars, and GLP-1 therapies.