Elanco Animal Health Incorporated (ELAN) vs Liquidia Corporation (LQDA)

Elanco Animal Health Incorporated and Liquidia Corporation are both Drug Manufacturers Specialty & Generic companies. Elanco Animal Health Incorporated is the larger, with a market value of $11.2B against $6.4B — 1.8× the size. Elanco Animal Health Incorporated has negative trailing earnings, so its P/E is not meaningful; Liquidia Corporation trades at 43.6×. Liquidia Corporation grew revenue faster over the last twelve months: 2,233.7% against 12.0%. Liquidia Corporation has the higher net margin (30.7% vs −3.96%) and the higher return on invested capital (121.1% vs 0.51%). Across the 20 metrics below, Liquidia Corporation leads on 13 and Elanco Animal Health Incorporated on 7.

Valuation

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
P/E n/m 43.59 20.14
P/S 2.22 13.49 2.25
P/B 1.69 31.17 1.90
Price to free cash flow 31.22 40.36 16.54
EV/EBITDA 18.78 35.09 12.29
EV/Sales 2.89 13.25 2.56
Earnings yield (1.84%) 2.29% (2.99%)
Free cash flow yield 3.20% 2.48% 0.00%

Profitability

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
Gross margin 55.36% 92.54% 53.94%
Operating margin 1.61% 37.39% 0.00%
Net margin (3.96%) 30.74% 0.00%
Free cash flow margin 7.55% 33.42% 0.00%
Return on equity (2.98%) 131.82% (0.40%)
Return on assets (1.46%) 35.57% (3.32%)
Return on invested capital 0.51% 121.05% 0.00%

Growth

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
Revenue growth (TTM) 11.95% 2,233.65% 10.01%
EPS growth (last fiscal year) (169.12%) 51.81% —
Revenue growth, 5-year CAGR 7.59% 65.24% 6.74%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
Debt to equity 0.59 0.90 0.05
Current ratio 2.05 2.31 2.31
Net debt to EBITDA 5.00 (0.01) 0.85

Dividend

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
Dividend yield — — 1.70%
Payout ratio 0.00 0.00 0.00

Size

Metric ELAN LQDA Drug Manufacturers Specialty & Generic median
Market cap 11.21b 6.36b 337.35m

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