Amneal Pharmaceuticals Inc. Class A Common Stock (AMRX)

FairStock Score: 38/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Amneal is a generic and specialty drugmaker. I look for businesses with durable pricing power and predictable cash. Here, the Affordable Medicines segment sells generics, a field where competition usually caps returns; the Specialty and AvKARE units add variety but do not erase that structural challenge. The recent turnaround is real: in fiscal 2025, the year ended 2025-12-31, revenue was $3.0B and net income was $72.1M, compared with FY2024 revenue of $2.8B and a net loss of $116.9M. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $796.2M and net income was $57.7M, or diluted EPS of $0.18. But financial health is mixed. Trailing free cash flow is negative $12.3M, and FCF yield is -0.2%; Altman Z-Score 1.52 and Piotroski F-Score 3/9 signal weak safety. FairStock calculations at the 2026-10-13 close show P/E 40.77, P/B 195.70, ROE 613.02%, ROCE 8.60%, D/E 23.87, and Graham Number $1.04, implying the price is far above asset-based value. The Lynch category is TURNAROUND, because the company returned to profit after a loss within the last three years. PEG 0.26 and profit growth 157.22% hint at rapid recovery, but 7.24% net margin in the latest quarter and no dividend temper the appeal. I would demand a much wider margin of safety before calling this a Graham-style bargain; at $19.57, the market is already paying for the turnaround.

In plain English: Amneal Pharmaceuticals makes generic and specialty medicines, including injectables and biosimilars. The business looks improved but still fragile: it has climbed back to profit after losses in fiscal 2023 and 2024, yet cash generation is negative. At the 2026-10-13 close, the price looks expensive relative to the modest profits and asset value shown.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer