One-glance verdict
Overvalued
$8.47 our estimate vs market $38.88
Wall Street consensus: $47.00 (454.6% higher than our fair-value estimate)
359% above our estimate, beyond the bull case
Fundamentals snapshot
Phibro Animal Health Corporation
PAHC · NGM · Healthcare · Drug Manufacturers - Specialty & Generic
Current price
$38.88
52-week range
$28.25 - $60.08
Market cap
$1.58B
Balance sheet
Stretched
4.41x Stretched
Net debt $711.66M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 17.1% last year.
- Reward Returns 29.7% on equity, ahead of 50% of its peers.
- Reward Free cash flow was positive in 8/10 years.
- Risk Net debt grew 64.9% over 3 years.
What this company does
Phibro Animal Health Corporation
Phibro Animal Health Corporation makes and sells products to keep farm animals and pets healthy, like medicines and special feed ingredients, with most of their money coming from selling these animal health and nutrition products globally. This matters because healthy animals lead to safer food and better animal welfare. The company also provides specialty ingredients for other industries.
How the company got here
Phibro Animal Health Corporation has a long history, tracing its roots back to 1946 when it was founded as Philipp Brothers Chemicals, Inc.. Over the decades, the company evolved, acquiring other businesses and expanding its focus. A significant shift occurred in 2003 when it officially changed its name to Phibro Animal Health Corporation. The company went public in 2014, listing its shares on the Nasdaq stock exchange. This journey has transformed Phibro from its chemical origins into a global player in animal health and nutrition.
What it actually does
Phibro Animal Health Corporation is a company focused on keeping animals healthy and productive. They develop, manufacture, and sell a variety of products aimed at preventing and treating diseases, as well as supporting the nutrition and overall well-being of both farm animals and pets. Think of them as a behind-the-scenes partner for farmers and veterinarians, providing the tools needed to ensure animals are healthy, which in turn contributes to a safe and affordable food supply.
Animal Health
This is Phibro's main business, where they create products to help keep livestock like poultry, swine, cattle, and fish healthy and productive. This includes medicines, feed additives (medications mixed into animal feed), and vaccines to prevent diseases. They also offer nutritional products to ensure animals get the right nutrients for growth and well-being. Their customers are primarily livestock producers, veterinarians, and animal health distributors who use these products to manage animal health and prevent illness.
Mineral Nutrition
In this segment, Phibro focuses on providing essential trace minerals that are crucial for animal health and development. These minerals, such as zinc, copper, and iron, are added to animal feed to ensure livestock receive the necessary nutrients that might be lacking in their regular diet. This helps maintain the optimal balance of these elements in animals, supporting their growth and overall health. This business primarily serves the North American market.
Performance Products
This part of Phibro's business is a bit different, as it involves creating and selling specialty ingredients. These ingredients are used in various industries, including personal care products, industrial chemicals, and chemical catalysts. While not directly related to animal health, this segment diversifies Phibro's revenue streams by serving a different set of industrial customers, mainly in the U.S.
What management is betting on now
Phibro's leadership is focused on expanding its reach and product offerings in the animal health and nutrition sectors. They are investing in research and development to create new products that improve animal health and welfare, aiming for more sustainable solutions. The company is also looking to grow its presence in the companion animal sector, developing products for pets in addition to its core livestock business. This strategy aims to ensure the company's continued growth and its role in supporting a healthy global food supply.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q1
$3.04M
FY2025 Q2
$-4.75M
FY2025 Q3
$35.41M
FY2025 Q4
$8.13M
FY2026 Q1
$-4.50M
FY2026 Q2
$8.26M
FY2026 Q3
$890.00K
FY2026 Q4
$5.22M
Revenue
$396.75M
Net income
$21.71M
Diluted EPS
0.52
Operating cash flow
$24.09M
Free cash flow
$5.22M
Fetching…
Sources
Revenue
$383.54M
Net income
$24.02M
Diluted EPS
0.59
Operating cash flow
$16.21M
Free cash flow
$890.00K
Fetching…
Sources
Revenue
$373.91M
Net income
$27.46M
Diluted EPS
0.67
Operating cash flow
$19.35M
Free cash flow
$8.26M
Fetching…
Sources
Revenue
$363.89M
Net income
$26.53M
Diluted EPS
0.65
Operating cash flow
$9.30M
Free cash flow
$-4.50M
Fetching…
Sources
Revenue
$378.70M
Net income
$17.22M
Diluted EPS
0.43
Operating cash flow
$21.27M
Free cash flow
$8.13M
Fetching…
Sources
Revenue
$347.82M
Net income
$20.88M
Diluted EPS
0.51
Operating cash flow
$43.15M
Free cash flow
$35.41M
Fetching…
Sources
Revenue
$309.26M
Net income
$3.19M
Diluted EPS
0.08
Operating cash flow
$3.08M
Free cash flow
$-4.75M
Fetching…
Sources
Revenue
$260.43M
Net income
$6.97M
Diluted EPS
0.17
Operating cash flow
$12.62M
Free cash flow
$3.04M
Fetching…
Sources
Is it cheap or expensive?
Fair value $8.47 vs current price $38.88
Wall Street consensus is the average analyst price target: $47.00 (454.6% higher than our fair-value estimate).
Our most-likely fair value is $8.47 a share — about 78.2% below today's price of $38.88, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Stretched
Net debt $711.7M. Interest coverage 4.4x.
Net debt
$711.66M
Interest coverage
4.41x
Phibro Animal Health Corporation's profit covers its interest bill about 4.4 times over. which is stronger than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Stretched
Worse cushion
Baseline
Better cushion
PAHC
BASELINE
Phibro Animal Health Corporation
Total debt $795.65M Interest coverage 4.41x This is the baseline the peer rows are being compared against.
Total debt $4.23B Interest coverage 1.15x -74% vs PAHC Carries about 3.8x less debt cushion than PAHC.
Total debt $774.30M Interest coverage -0.38x -100% vs PAHC This peer has almost no interest-payment cushion compared with PAHC.
Total debt $1.10B Interest coverage 35.01x +694% vs PAHC Carries about 7.9x more debt cushion than PAHC.
What you should know
The case for and against PAHC
3 Rewards
1 Risk
Rewards
-
Revenue grew 17.1% last year.
-
Returns 29.7% on equity, ahead of 50% of its peers.
-
Free cash flow was positive in 8/10 years.
Risks
-
Net debt grew 64.9% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
16.00x
Forward P/E
10.10x
P/B
4.09x
P/S
1.04x
EV/EBITDA
9.38x
PEG ratio
1.68x
Profitability
How much profit each dollar creates
Gross margin
33.3%
Operating margin
10.6%
Net margin
6.6%
ROE
29.7%
ROA
8.5%
Health
Liquidity and balance-sheet strength
Debt / equity
2.06x
Current ratio
2.96x
Quick ratio
1.02x
Total debt
$795.65M
Total cash
$83.98M
Growth
How the business has been compounding
Revenue TTM
$1.52B
Revenue 5Y CAGR
12.7%
EPS TTM
2.43
EPS 5Y CAGR
44.2%
Cash flow
How much cash the business throws off
Operating CF TTM
$68.95M
Free CF TTM
$9.87M
FCF margin
0.6%
Dividend
Shareholder payout
Yield
1.2%
Payout ratio
19.8%
Last ex-div date
2026-09-02