Eton Pharmaceuticals (ETON) Fundamental Analysis: Revenue, Earnings & Valuation

2.09 / 10

Underperform

The fundamental analysis reveals a distressed profile: key metrics such as Days Sales Outstanding (42.44 days) and Interest Coverage Ratio (15.48%) are in suboptimal quartiles, while Profit-MV (0.46) and Net Income-Revenue (-0.17) show limited profitability. Although Total and Operating Revenue growth are high (114.40% YoY), they are insufficient to offset other red flags like high PB-ROE (4.53). The overall fundamental score of 2.1/10 and Underperform rating underscore weak financial health and limited investment appeal.

Analysis Checks(7/10)

Revenue-MV

Value-1.37

Score1/3

Weight10.77%

1M Return4.24%

Total operating revenue (YoY growth rate %)

Value114.40

Score2/3

Weight2.29%

1M Return1.11%

Days sales outstanding

Value42.44

Score2/3

Weight2.33%

1M Return1.10%

Profit-MV

Value0.46

Score2/3

Weight21.39%

1M Return8.45%

Net income-Revenue

Value-0.17

Score2/3

Weight21.41%

1M Return8.45%

PB-ROE

Value4.53

Score0/3

Weight6.39%

1M Return2.72%

Interest coverage ratio (EBIT / Interest expense) (%)

Value15.48

Score2/3

Weight-2.14%

1M Return-1.11%

Operating revenue (YoY growth rate %)

Value114.40

Score2/3

Weight0.88%

1M Return0.43%

Asset-MV

Value-0.50

Score1/3

Weight15.65%

1M Return6.68%

Cash-MV

Value-0.55

Score2/3

Weight21.03%

1M Return8.41%

Is ETON undervalued or overvalued?

ETON scores 2.09/10 on fundamentals and holds a Premium valuation at present. Backed by its -25.59% ROE, -9.50% net margin, -95.89 P/E ratio, 17.12 P/B ratio, and -23.81% earnings growth, these metrics solidify its Underperform investment rating.