SYNH shares have a strong debt-to-equity ratio but their quick ratio which reads 1.00 is strong and might cause problems for them later in the future.
The -2.13% yoy growth of SYNH’s revenue has gone down that of the industry average by -2.46%. For the past 12 months, Syneos Health, Inc. revenue has gone up by 0.33%. The sustained growth in their revenue has helped boost their earnings per share.
The 12-month return on equity has significantly fallen to 27.85 in comparison to the same data for other companies in the same industry. This shows that there is a major weakness within the organization over the past one year. Comparing them to other companies in the industry and the overall Healthcare sector, the industry average is 10.08 while 15.96 is of the sector.
Also, looking at the price to cash flow of the company and the industry average, the 37.36 ratio of the stock is lower than the industry’s 56.20.
Syneos Health, Inc. (NASDAQ:SYNH) has a price-to-earnings ratio of 33.61 which is lower than the 69.44 industry average at the moment. In addition to their unfavorable P/E ratio, Syneos Health, Inc. has maintained a gross margin of 25.51. This shows whether the company has what it takes to effectively turn the revenue into profit.
The company’s ROA is 6.91 when compared to 6.39 for the stocks operating in the same industry. This can be attributed to the strength recorded in the net income produced by total assets. Comparing it to other companies in the sector, Syneos Health, Inc. ROE is above 15.96 that of both the sector average.
The operating profit margin for Syneos Health, Inc. (SYNH) is 8.13%, a figure which is considered to be weak. It has gone -184.63 from the 5.09 over the past 5 years. In addition to this, their operating margin is 192.76 higher than the industry average.
The net profit margin which stood at 1.74 on average in the past 5 years has jumped to 5.69 in the last 12 months. Added to that, this ratio has surpassed the industry net margin that stands at -182.03.
Analysts meanwhile rate Syneos Health, Inc. (NASDAQ:SYNH) as a strong buy. Still some above discussed indicators of the $4.26B company show strength while others show weakness. There is little evidence at the moment to justify the expectation of the SYNH shares to either perform positively or negatively when compared to other stocks. The primary strengths of Syneos Health, Inc. can be witnessed in its increased revenue, growing earnings per share, higher return on equity, increased operating cash and high net margin. Subsequently, financial analysis have also identified some weak areas that includes high debt, relatively high P/E ratio, lower return on assets and low net margin.