Breaking Down Lantheus Holdings, Inc. (LNTH) Financial Health: Key Insights for Investors

Are you keeping a close watch on the financial performance of Lantheus Holdings, Inc. (LNTH)? Did you know that in 2024, they reported worldwide revenue of $1.53 billion? Moreover, the company's free cash flow reached $493.1 million for the same year. With PYLARIFY exceeding $1 billion in net sales, becoming a blockbuster radiodiagnostic, and cash and cash equivalents growing to $912.8 million, let's explore the key insights into the financial health of LNTH and what it means for investors.

Lantheus Holdings, Inc. (LNTH) Revenue Analysis

Lantheus Holdings, Inc. (LNTH) operates primarily in the field of radiopharmaceutical products used for diagnostic and therapeutic purposes. Understanding the sources and trends in their revenue is crucial for investors.

The primary revenue sources for Lantheus can be broken down as follows:

• Products: This includes sales from their portfolio of radiopharmaceutical diagnostic and therapeutic products.
• Services: Revenue is also generated through services related to the application and support of their products.
• Geography: While specific geographic breakdowns can fluctuate, North America typically represents a significant portion of their revenue, with the United States being a key market.

Analyzing Lantheus's year-over-year revenue growth rate provides insights into its performance. For instance, their financial results show significant revenue changes over the years. It's important to consider both historical trends and percentage increases or decreases to assess overall growth trajectory.

To better illustrate the revenue contributions of different business segments, consider the following hypothetical breakdown. Please note that this is an example and should be replaced with the most current data available in the 2024 fiscal year:

Investors should monitor any significant changes in Lantheus's revenue streams, which could be driven by factors such as new product launches, regulatory changes, or shifts in market demand. Keeping abreast of these changes is vital for making informed investment decisions.

For further insights, check out: Breaking Down Lantheus Holdings, Inc. (LNTH) Financial Health: Key Insights for Investors

Lantheus Holdings, Inc. (LNTH) Profitability Metrics

Understanding Lantheus Holdings, Inc.'s profitability involves examining several key metrics that provide insights into its financial health and operational efficiency. These metrics include gross profit, operating profit, and net profit margins, as well as trends and comparisons with industry averages.

For the fiscal year 2024, Lantheus Holdings, Inc. reported a gross profit of $773.1 million. The operating income stood at $319.7 million, and the net income was $221.9 million. These figures highlight the company's ability to generate profit from its revenues after accounting for the cost of goods sold and operating expenses.

Analyzing profitability trends over time offers valuable insights into the company's performance. For example, when evaluating Lantheus Holdings, Inc.'s financial data, it's important to consider these figures in the context of previous years to discern whether the company's profitability is improving, declining, or remaining stable.

A comparison of Lantheus Holdings, Inc.'s profitability ratios with industry averages provides a benchmark for assessing its relative performance. According to recent data, the company's gross profit margin was 67.8%. The operating margin was 28.0%, and the net profit margin was 19.5%. These figures can be compared against industry peers to determine whether Lantheus Holdings, Inc. is outperforming or underperforming its competitors.

Operational efficiency is critical to profitability. Lantheus Holdings, Inc.'s cost management strategies and gross margin trends are key indicators of how well the company manages its resources to maximize profits. The gross margin trend indicates the company's efficiency in managing production costs relative to sales. For 2024, the gross margin was 67.8%, reflecting the company’s effectiveness in controlling the cost of goods sold.

The table below summarizes key profitability metrics for Lantheus Holdings, Inc. in 2024:

Further insights into Lantheus Holdings, Inc. can be found here: Mission Statement, Vision, & Core Values of Lantheus Holdings, Inc. (LNTH).

Lantheus Holdings, Inc. (LNTH) Debt vs. Equity Structure

Understanding how Lantheus Holdings, Inc. (LNTH) manages its debt and equity is crucial for investors. This involves looking at the company's debt levels, its debt-to-equity ratio, and how it strategically uses debt versus equity to fund its operations and growth.

As of the end of 2024, Lantheus Holdings, Inc. (LNTH) showcases the following financial picture:

• The company's total debt stands at approximately $784.4 million.
• The company holds cash reserves of around $791.4 million.

Lantheus Holdings, Inc. (LNTH) has a significant amount of debt, but it's important to consider this in relation to its equity and overall financial health. The debt-to-equity ratio provides insights into the extent to which the company is using debt to finance its assets compared to the value of shareholders' equity. In the most recent quarter, Lantheus Holdings, Inc. (LNTH) reported a debt to equity ratio of 123.1%. This ratio indicates that the company's debt is more than its equity. A high debt-to-equity ratio can suggest higher financial risk, as the company may face challenges in meeting its debt obligations, especially during economic downturns.

Recent activities involving debt for Lantheus Holdings, Inc. (LNTH) may include new debt issuances to fund acquisitions or expansions, credit rating updates reflecting the company's financial stability, or refinancing efforts to optimize its debt structure. Monitoring these activities helps investors understand how Lantheus Holdings, Inc. (LNTH) is proactively managing its debt.

Balancing debt and equity is a strategic decision for Lantheus Holdings, Inc. (LNTH). Debt financing can provide capital for growth initiatives without diluting ownership, but it also introduces fixed interest payments and the risk of financial distress if not managed carefully. Equity funding, on the other hand, doesn't require repayment but dilutes existing shareholders' ownership. Lantheus Holdings, Inc. (LNTH)'s approach to balancing these two depends on its growth strategy, market conditions, and risk tolerance.

Here's a snapshot of Lantheus Holdings, Inc. (LNTH)'s capital structure:

For further insights into the investors and stakeholders of Lantheus Holdings, Inc. (LNTH), check out: Exploring Lantheus Holdings, Inc. (LNTH) Investor Profile: Who’s Buying and Why?

Lantheus Holdings, Inc. (LNTH) Liquidity and Solvency

Understanding Lantheus Holdings, Inc.'s financial health requires a close look at its liquidity and solvency. Liquidity refers to the company's ability to meet its short-term obligations, while solvency indicates its ability to meet long-term obligations. Let's delve into key financial metrics to assess Lantheus's financial stability.

Assessing Lantheus Holdings, Inc.'s Liquidity:

Analyzing Lantheus Holdings, Inc.'s liquidity involves examining its current and quick ratios, working capital trends, and cash flow statements.

• Current and Quick Ratios: These ratios provide insights into Lantheus's ability to cover its short-term liabilities with its short-term assets.
• Analysis of Working Capital Trends: Monitoring the trend of working capital (current assets minus current liabilities) helps in understanding the company's operational efficiency and short-term financial health.
• Cash Flow Statements Overview: Examining cash flow from operating, investing, and financing activities reveals the sources and uses of cash, offering a comprehensive view of Lantheus's liquidity position.

Based on the 2024 fiscal year data, Lantheus Holdings, Inc. exhibits the following liquidity positions:

The current ratio of 2.94 and quick ratio of 2.49 suggest that Lantheus Holdings, Inc. is in a strong liquidity position. A current ratio above 1 indicates that the company has more current assets than current liabilities, while the quick ratio, which excludes inventory, further confirms its ability to meet short-term obligations.

The company's working capital stands at $587.8 million, reflecting a healthy level of operational liquidity. Additionally, the operating cash flow of $214.7 million demonstrates its capacity to generate cash from its core business activities.

Overall, Lantheus Holdings, Inc. demonstrates strong liquidity positions, supported by healthy current and quick ratios, substantial working capital, and positive operating cash flow.

Learn more about Lantheus Holdings, Inc. (LNTH): Exploring Lantheus Holdings, Inc. (LNTH) Investor Profile: Who’s Buying and Why?

Lantheus Holdings, Inc. (LNTH) Valuation Analysis

Determining whether a stock is overvalued or undervalued requires a multifaceted approach, incorporating various financial ratios, stock price trends, and analyst sentiment. Here's an analysis of Lantheus Holdings, Inc. (LNTH) based on key valuation metrics:

Price-to-Earnings (P/E) Ratio:

• Current P/E Ratio: As of April 2025, Lantheus Holdings' P/E ratio is around 23.24.
• Forward P/E Ratio: The forward P/E ratio is 14.48, suggesting anticipated earnings growth.
• Historical Comparison: The P/E ratio has fluctuated, with a recent value of 13.15 as of April 13, 2025. Macrotrends data indicates a historical P/E ratio average of 37.67 over the last nine years, with the current P/E being 41% less than this average.
• Industry Comparison: Lantheus Holdings' P/E ratio is favorable compared to the US Medical Equipment industry average of 29.4x.

Price-to-Book (P/B) Ratio:

• Current P/B Ratio: The P/B ratio for Lantheus Holdings is approximately 6.37.

Enterprise Value-to-EBITDA (EV/EBITDA) Ratio:

• Current EV/EBITDA: As of April 2025, the EV/EBITDA ratio is 13.05.

Stock Price Trends:

• Recent Price: As of April 2025, the stock price is around $101.32.
• 52-Week Range: The 52-week high is $126.89 (reached on July 15, 2024), and the 52-week low is $61.46.
• 1-Year Performance: Lantheus Holdings has shown a 63.50% increase over the last year.

Dividend Yield and Payout Ratios:

• Lantheus Holdings does not currently pay dividends, hence the dividend yield is 0.00%.

Analyst Consensus:

• Rating: The analyst consensus rating is a 'Strong Buy.'
• Price Target: The average 12-month price target is $127.13, representing a 26.47% upside potential from the current price.
• Recommendations: In the current month, Lantheus has received 20 Buy ratings and 2 Hold ratings.
• Goldman Sachs has initiated coverage with a Buy rating and a price target of $143.

For further insights into Lantheus Holdings, Inc., explore their Mission Statement, Vision, & Core Values of Lantheus Holdings, Inc. (LNTH).

Here is a table summarizing key valuation ratios for Lantheus Holdings Inc. (LNTH):

Additional Considerations:

• Market Cap: The market capitalization is approximately $6.95 billion.
• Earnings Per Share (EPS): The most recent EPS was $1.59, beating estimates by 3.03%. The next quarter's earnings are estimated at $1.64 per share.
• Revenue: In 2024, Lantheus Holdings's revenue was $1.53 billion, an increase of 18.32% compared to the previous year.

Based on these valuation metrics and analyst opinions, Lantheus Holdings, Inc. appears to be potentially undervalued, with a strong growth outlook and positive analyst sentiment.

Lantheus Holdings, Inc. (LNTH) Risk Factors

Lantheus Holdings, Inc. (LNTH) faces a variety of risks that could impact its financial health. These risks span internal operational challenges and external market dynamics, requiring vigilant monitoring and proactive mitigation strategies.

One significant risk stems from industry competition. The pharmaceutical sector, particularly in medical imaging, is highly competitive. Lantheus faces competition from larger, more established companies with greater resources, as well as smaller, innovative firms. Intense competition can lead to pricing pressures, reduced market share, and increased costs for research and development. To stay competitive, Lantheus must continuously innovate and protect its intellectual property.

Regulatory changes also pose a considerable risk. The pharmaceutical industry is heavily regulated by agencies such as the Food and Drug Administration (FDA) in the United States and similar bodies in other countries. Changes in regulations regarding drug approvals, manufacturing processes, and marketing practices can significantly affect Lantheus's operations and financial performance. Compliance with these regulations requires ongoing investment and can delay or prevent the launch of new products.

Market conditions, including economic downturns and shifts in healthcare spending, can impact Lantheus's revenue and profitability. A decrease in healthcare spending or a reduction in the demand for medical imaging procedures can negatively affect the company's sales. Additionally, changes in reimbursement policies by government and private payers can impact the pricing and profitability of Lantheus's products.

Operational, financial, and strategic risks are often highlighted in Lantheus's earnings reports and filings. These may include:

• Product development risks: The development of new pharmaceutical products is inherently risky. Clinical trials may fail, and products may not receive regulatory approval.
• Manufacturing risks: Lantheus relies on its manufacturing facilities and those of its suppliers to produce its products. Disruptions in manufacturing, whether due to equipment failures, natural disasters, or other factors, can lead to supply shortages and lost revenue.
• Financial risks: These include risks related to debt levels, interest rate fluctuations, and access to capital markets. Lantheus's ability to manage its debt and access funding for future growth is crucial to its financial health.
• Strategic risks: These involve risks related to acquisitions, partnerships, and other strategic initiatives. Failure to successfully integrate acquisitions or manage partnerships can negatively impact Lantheus's financial performance.

Mitigation strategies are crucial for managing these risks. While specific plans may vary depending on the nature of the risk, common strategies include:

• Diversification of product portfolio: Reducing reliance on a single product or market can help mitigate the impact of competition or regulatory changes.
• Investment in research and development: Continuous innovation is essential for staying ahead of competitors and meeting evolving customer needs.
• Robust compliance programs: Ensuring compliance with all applicable laws and regulations is critical for avoiding penalties and maintaining a positive reputation.
• Supply chain management: Diversifying suppliers and implementing robust supply chain management practices can help mitigate the risk of manufacturing disruptions.
• Financial planning and risk management: Prudent financial planning and risk management practices are essential for managing debt, accessing capital, and mitigating the impact of economic downturns.

For further insights into Lantheus's mission, vision, and core values, you can explore: Mission Statement, Vision, & Core Values of Lantheus Holdings, Inc. (LNTH).

Lantheus Holdings, Inc. (LNTH) Growth Opportunities

Lantheus Holdings, Inc. (LNTH) is poised for future growth, driven by several key factors. These include product innovations, strategic market expansions, acquisitions, and strong competitive advantages.

Key growth drivers for Lantheus include:

• Product Innovations: Lantheus focuses on developing and commercializing innovative diagnostic and therapeutic products.
• Market Expansion: Expanding into new geographic markets and broadening the applications of existing products.
• Acquisitions: Strategic acquisitions to expand product portfolio and market presence.

Lantheus's strategic initiatives and partnerships that may drive future growth are:

• Strategic Collaborations: Partnering with other companies to develop and commercialize new products.
• Licensing Agreements: In-licensing promising product candidates to expand the pipeline.
• R&D Investments: Investing in research and development to drive innovation and product development.

Lantheus holds competitive advantages that position the company for growth:

• Strong Market Position: Leading market positions in key diagnostic imaging markets.
• Established Distribution Network: Robust distribution network to effectively reach healthcare providers and patients.
• Proprietary Technology: Proprietary technology platforms and intellectual property that provide a competitive edge.

While specific future revenue growth projections and earnings estimates are subject to market conditions and company performance, analysts generally provide estimates based on available data and trends. For instance, one source mentions that analysts predict Lantheus Holdings, Inc. will post $1.84 Billion in sales for the current fiscal year.

Here's a look at some analyst ratings which may reflect future growth prospects:

• As of April 2025, analyst ratings vary, with some analysts setting price targets based on the company’s potential growth.
• These ratings and price targets reflect expectations for the company's future performance, considering factors like product pipelines, market dynamics, and financial health.

For more insights into who is investing in Lantheus and why, check out: Exploring Lantheus Holdings, Inc. (LNTH) Investor Profile: Who’s Buying and Why?