I've been keeping an eye on Zynerba Pharmaceuticals, Inc. (NASDAQ:ZYNE) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe ZYNE has a lot to offer. Basically, it is a company with strong financial health as well as a buoyant future outlook. Below, I've touched on some key aspects you should know on a high level. If you're interested in understanding beyond my broad commentary, read the full report on Zynerba Pharmaceuticals here.
Flawless balance sheet with high growth potential
Investors in search for stocks with room to flourish should look no further than ZYNE, with its expected earnings growth of 66%. This growth in the bottom-line is bolstered by an equally impressive top-line expansion over the same period, which is a sustainable driver of high-quality earnings, as opposed to pure cost-cutting activities. ZYNE's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. ZYNE seems to have put its debt to good use, generating operating cash levels of 1434x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.
For Zynerba Pharmaceuticals, I've put together three essential factors you should further research:
- Historical Performance: What has ZYNE's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
- Valuation: What is ZYNE worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether ZYNE is currently mispriced by the market.
- Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of ZYNE? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.