Amneal Pharmaceuticals, Inc. (AMRX) AI Stock Analysis
AMRX AI stock analysis summary
AI ResearchAmneal Pharmaceuticals, Inc. (AMRX) is a specialty and generic pharmaceutical manufacturer with TTM revenue of $3.12B. The company delivered a 94.3% return over the past year and generated $269.9M in free cash flow in FY2025. However, its balance sheet remains heavily leveraged, with net debt standing at $2.66B as of June 30, 2026.
- Market cap
- $6.68B
- Revenue (TTM)
- $3.12B
- P/E
- 39.1x fwd 6.3x
- 1Y return
- 94.3% S&P 500 16.8%
- Avg. target
- $22.71 18.4% vs last close
Bull case
- AMRX delivered 9.9% year-over-year quarterly revenue growth and 157.1% year-over-year quarterly earnings growth in the quarter ended June 30, 2026.
- FY2025 free cash flow reached $269.9M, supporting profitability after three prior consecutive annual net losses.
- The forward price-to-earnings multiple of 6.3x sits well below the US-listed Healthcare peer median of 17.3x.
Bear case
- Total debt of $2.79B significantly exceeds cash and short-term investments of $127.6M, resulting in a debt-to-equity ratio of 84.54.
- The trailing price-to-earnings ratio of 39.1x represents a notable premium compared to the peer median of 24.6x.
- The company has experienced significant dilution, with its share count increasing by 119.7% over the past 5 years.
What Amneal Pharmaceuticals does
Amneal Pharmaceuticals, Inc. is a developer, licensor, manufacturer, marketer, and distributor of generic and specialty pharmaceutical products worldwide. Headquartered in Bridgewater, New Jersey, the company operates across three segments: Generics, Specialty, and AvKARE. The Generics segment provides various formulations including oral solids, injectables, ophthalmics, and transdermals. The Specialty segment focuses on branded therapies for central nervous system disorders, endocrinology, and parasitic infections, featuring products such as Emverm, Rytary, and Unithroid. The AvKARE segment distributes pharmaceuticals, medical products, and services primarily to governmental agencies, including the Department of Defense and the Department of Veterans Affairs.
Growth and profitability
Annual revenue increased from $2.09B in FY2021 to $3.02B in FY2025, representing a 5-year compound annual growth rate of 8.7%. Operating performance transitioned from an operating margin of -4.3% in FY2022 to 14.0% in FY2025, alongside net income improving to $72.1M. Over the trailing twelve months, revenue reached $3.12B with an operating margin of 18.3% and a profit margin of 5.1%. For the latest quarter ended June 30, 2026, quarterly revenue expanded 9.9% year-over-year, while quarterly earnings grew 157.1% year-over-year, supported by trailing twelve month diluted earnings per share of $0.49.
Balance sheet and cash flow
As of June 30, 2026, Amneal held $127.6M in cash and short-term investments alongside total debt of $2.79B, resulting in net debt of $2.66B. Total assets stood at $3.78B against shareholders' equity of $33.0M, reflecting a debt-to-equity ratio of 84.54 and a current ratio of 2.20. In FY2025, the company produced $340.0M in operating cash flow and $269.9M in free cash flow, while spending $70.1M on capital expenditures. Over a 5-year span, the company's share count increased by 119.7%.
Valuation and performance
AMRX closed at $19.18 on October 16, 2026, reflecting a 1-year return of 94.3% compared to 16.8% for the S&P 500, and a 5-year return of 240.1% versus 83.0% for the index. The company trades at a trailing price-to-earnings ratio of 39.1x, above the median of its US-listed Healthcare peers at 24.6x. However, its forward price-to-earnings multiple of 6.3x and price-to-sales ratio of 2.1x sit below the peer group medians of 17.3x and 4.1x, respectively. The enterprise value of $9.40B represents an EV-to-EBITDA multiple of 15.1x against the peer median of 12.0x.
What analysts expect
All 7 covering analysts maintain favorable views on AMRX, consisting of 4 Strong Buy and 3 Buy ratings. The mean price target of $22.71 sits 18.4% above the last close of $19.18. Consensus estimates project FY2026 revenue of $3.16B with EPS rising 23.4% to $1.02. For FY2027, 7 analysts project revenue of $3.44B and EPS of $1.19. The company has surpassed EPS estimates in each of the last 4 quarters, with the next earnings announcement scheduled for November 3, 2026.
Key risks and what to watch
- High net debt of $2.66B against shareholders' equity of $33.0M leaves the company vulnerable to financial leverage pressures.
- Historical profitability has been volatile, with net losses recorded in FY2022 (-$130.0M), FY2023 (-$84.0M), and FY2024 (-$116.9M).
- The stock exhibits heightened volatility with a beta of 1.22 and trades 24.9% above its 200-day moving average.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this AMRX AI stock analysis
This page is an AI-written research summary of Amneal Pharmaceuticals, Inc. (AMRX). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: AMRX income statement, AMRX balance sheet, AMRX key metrics, AMRX analyst forecast, AMRX chart. See the AMRX stock overview for the latest quote and news.
AMRX AI stock analysis FAQ
Does Amneal Pharmaceuticals pay a dividend?
Amneal Pharmaceuticals does not currently pay a dividend. The company directs its operating cash flow toward business requirements, capital expenditures of $70.1M in FY2025, and debt obligations.
What are analysts' price targets and ratings for AMRX?
Wall Street analysts hold 4 Strong Buy and 3 Buy ratings on AMRX, with no Hold or Sell recommendations. The consensus mean price target is $22.71, representing an 18.4% upside from the October 16, 2026 closing price of $19.18.
How leveraged is Amneal's balance sheet?
As of June 30, 2026, Amneal held $2.79B in total debt against $127.6M in cash and short-term investments, leading to net debt of $2.66B. The company's debt-to-equity ratio was 84.54, with total shareholders' equity of $33.0M.
When does Amneal report its next quarterly results?
Amneal is scheduled to report quarterly earnings on November 3, 2026. The company beat EPS consensus estimates in each of the past 4 consecutive quarters.