TherapeuticsMD, Inc. (TXMD)
Healthcare · NMS
Fundamentals
Valuation and ratings
TherapeuticsMD, Inc. trades at USD2.05, close to the USD2.33 our discounted cash flow model puts on the business. On this measure the market and the model broadly agree, so the interesting question is which of them is wrong.
Our moat model scores it 45 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 206.0 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About TherapeuticsMD, Inc.
TherapeuticsMD, Inc. operates as a pharmaceutical royalty company in the United States and internationally. Its products portfolio includes IMVEXXY for the treatment of moderate-to-severe dyspareunia, a symptom of vulvar and vaginal atrophy due to menopause; BIJUVA to treat moderate-to-severe vasomotor symptoms due to menopause in women with a uterus; and ANNOVERA, a ring-shaped contraceptive vaginal system. The company also offers prescription prenatal vitamin products under the BocaGreenMD and vitaMedMD brand names. It has a license agreement with Mayne Pharma Group Limited. The company sells its products through wholesale distributors and retail pharmacy distributors. TherapeuticsMD, Inc. was founded in 2008 and is headquartered in Boca Raton, Florida.
TXMD passes 2 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is TherapeuticsMD, Inc. (TXMD) undervalued?
Against our discounted cash flow estimate of USD2.33, TXMD at USD2.05 is 14% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is TXMD's P/E ratio?
TXMD trades at 206.0 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.