Assessing Jazz Pharmaceuticals: Insights From 7 Financial Analysts

In the last three months, 7 analysts have published ratings on Jazz Pharmaceuticals (NASDAQ:JAZZ), offering a diverse range of perspectives from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Jazz Pharmaceuticals, presenting an average target of $184.86, a high estimate of $222.00, and a low estimate of $113.00. Experiencing a 6.73% decline, the current average is now lower than the previous average price target of $198.20.

Deciphering Analyst Ratings: An In-Depth Analysis

A clear picture of Jazz Pharmaceuticals's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Jazz Pharmaceuticals. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Jazz Pharmaceuticals compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Jazz Pharmaceuticals's stock. This examination reveals shifts in analysts' expectations over time.

For valuable insights into Jazz Pharmaceuticals's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Jazz Pharmaceuticals analyst ratings.

Get to Know Jazz Pharmaceuticals Better

Jazz Pharmaceuticals is an Ireland-domiciled biopharmaceutical firm focused primarily on treatments for sleeping disorders and oncology. Jazz has nine approved drugs across neuroscience and oncology indications; its portfolio includes Xyrem and Xywav for narcolepsy, Zepzelca for the treatment of metastatic small cell lung cancer, Rylaze for acute lymphoblastic leukemia, and Vyxeos for acute myeloid leukemia. In May 2021, Jazz acquired GW Pharmaceuticals and gained its leading product, Epidiolex for the treatment of severe, rare forms of epilepsy.

Key Indicators: Jazz Pharmaceuticals's Financial Health

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Jazz Pharmaceuticals's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 1.03%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -1.62%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Jazz Pharmaceuticals's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -0.39%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.13%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Jazz Pharmaceuticals's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.57, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Analyst Ratings: Simplified

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.