For today’s bulletin, we take a look at our latest top-five STRONG BUY upgrade list and provide a link to download a FREE STOCK REPORT on Lannett Inc (LCI)
VALUATION WARNING: Overvalued stocks now make up 68.83% of our stocks assigned a valuation and 32.1% of those equities are calculated to be overvalued by 20% or more. Sixteen sectors are calculated to be overvalued.
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For today’s edition of our upgrade list, we used our website’s advanced screening functions to search for UPGRADES to BUY or STRONG BUY with complete forecast and valuation data. They are presented by one-month forecast return. Lannett, Inc. (LCI) is our top-rated upgrade this week and it is a STRONG BUY. Our other picks are BUY-rated stocks.
| Ticker | Company Name | Market Price | Valuation | Last 12-M Return | 1-M Forecast Return | 1-Yr Forecast Return | P/E Ratio | Sector Name |
| LCI | LANNETT INC | 21.05 | -45.87% | 14.90% | 1.13% | 13.61% | 6.48 | Medical |
| AIRM | AIR METHODS CRP | 43 | 5.67% | 22.58% | 0.53% | 6.31% | 17.67 | Medical |
| AN | AUTONATION INC | 44.53 | -18.98% | -6.09% | 0.52% | 6.26% | 10.93 | Retail-Wholesale |
| JASO | JA SOLAR HOLDGS | 5.06 | -33.02% | -43.15% | 0.51% | 6.12% | 3.35 | Oils-Energy |
| CRL | CHARLES RVR LAB | 90 | 6.10% | 27.35% | 0.51% | 6.12% | 19.24 | Medical |
Lannett, Inc. (LCI) manufactures and distributes pharmaceutical products sold under generic names and historically has manufactured and distributed pharmaceutical products sold under its trade or brand names. In addition, the Company contract manufactures and private labels pharmaceutical products for other companies.
In their most recent earnings report, in February, the company reported a big increase in sales and noted that “Our outlook for the current fiscal year remains strong. During the quarter, we received several product approvals and continued to make excellent progress.”
For the fiscal 2017 second quarter, net sales increased 35% to $170.9 million from $127.1 million for the second quarter of fiscal 2016. Gross profit was $88.1 million compared with $71.6 million. Operating income was $34.3 million compared with $30.3 million. Interest expense was $23.3 million compared with $11.8 million for the second quarter of fiscal 2016. Net income attributable to Lannett was $8.2 million, or $0.22 per diluted share, compared with $13.5 million, or $0.36 per diluted share, for the fiscal 2016 second quarter.
The company is due to report earnings again at the beginning of May.
Analysts have a price target of @ $29.20/share on this stock with the consensus rating averaging out to a HOLD. That’s below our one-year forecast price of $23.91. The stock has bounced up quite a bit from its 52-week low–which was $16.75.
Below is today’s data on Lannett, Inc. (LCI):
VALUENGINE RECOMMENDATION: ValuEngine updated its recommendation from BUY to STRONG BUY for LANNETT INC on 2017-03-17. Based on the information we have gathered and our resulting research, we feel that LANNETT INC has the probability to OUTPERFORM average market performance for the next year. The company exhibits ATTRACTIVE P/E Ratio and Sharpe Ratio.
You can download a free copy of detailed report on Lannett, Inc. (LCI) from the link below.
| ValuEngine Forecast | ||
| Target Price* | Expected Return | |
|---|---|---|
| 1-Month | 21.29 | 1.13% |
| 3-Month | 21.04 | -0.03% |
| 6-Month | 20.83 | -1.04% |
| 1-Year | 23.91 | 13.61% |
| 2-Year | 18.93 | -10.05% |
| 3-Year | 15.98 | -24.08% |
| Valuation & Rankings | |||
| Valuation | 45.87% undervalued | Valuation Rank(?) | 95 |
| 1-M Forecast Return | 1.13% | 1-M Forecast Return Rank | 99 |
| 12-M Return | 14.90% | Momentum Rank(?) | 52 |
| Sharpe Ratio | 0.56 | Sharpe Ratio Rank(?) | 80 |
| 5-Y Avg Annual Return | 33.46% | 5-Y Avg Annual Rtn Rank | 96 |
| Volatility | 60.28% | Volatility Rank(?) | 28 |
| Expected EPS Growth | 8.21% | EPS Growth Rank(?) | 37 |
| Market Cap (billions) | 0.75 | Size Rank | 59 |
| Trailing P/E Ratio | 6.48 | Trailing P/E Rank(?) | 98 |
| Forward P/E Ratio | 5.99 | Forward P/E Ratio Rank | 96 |
| PEG Ratio | 0.79 | PEG Ratio Rank | 51 |
| Price/Sales | 1.17 | Price/Sales Rank(?) | 65 |
| Market/Book | 1.40 | Market/Book Rank(?) | 69 |
| Beta | 2.37 | Beta Rank | 8 |
| Alpha | -0.61 | Alpha Rank | 6 |
DOWNLOAD A FREE SAMPLE OF OUR LANNETT INC (LCI) REPORT BY CLICKING HERE
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