AstraZeneca, listed on the NASDAQ as AZN, is a global biopharmaceutical company known for its innovative medicines. It operates in various therapeutic areas, including oncology, cardiovascular, and respiratory diseases. AstraZeneca competes with other pharmaceutical giants like Pfizer and Johnson & Johnson. The company is preparing to release its quarterly earnings on February 6, 2025, with analysts estimating an EPS of $1.10 and projected revenue of $14.19 billion.
Despite these projections, AstraZeneca faces legal challenges. A securities class action lawsuit, represented by Levi & Korsinsky, has been filed against the company. The lawsuit alleges insurance fraud in China, leading to increased legal exposure and the removal of AstraZeneca's China President. This legal issue could impact the company's financial performance and investor confidence.
AstraZeneca's financial metrics provide insights into its market valuation. The company has a P/E ratio of 33.86, indicating investor willingness to pay for its earnings. Its price-to-sales ratio is 4.30, reflecting the market's valuation of its revenue. These figures suggest that investors have high expectations for AstraZeneca's future growth and profitability.
The company's enterprise value to sales ratio is 4.82, and its enterprise value to operating cash flow ratio is 21.77. These ratios offer a perspective on AstraZeneca's valuation relative to its sales and cash flow. Additionally, the earnings yield of 2.95% provides an idea of the return on investment for shareholders.
AstraZeneca's debt-to-equity ratio is 0.78, indicating a moderate level of debt compared to equity. The current ratio of 0.93 suggests that the company may face challenges in covering its short-term liabilities with its short-term assets. These financial metrics are crucial for investors to consider, especially in light of the ongoing legal issues.
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