Momentum Stock Watch: Esperion Therapeutics, Inc. (ESPR)

Company Profile:

Esperion Therapeutics, Inc., a pharmaceutical company, develops and commercializes medicines for the treatment of patients with elevated low density lipoprotein cholesterol. Its lead product candidates are NEXLETOL (bempedoic acid) and NEXLIZET (bempedoic acid and ezetimibe) tablets for the treatment of patients with atherosclerotic cardiovascular disease or heterozygous familial hypercholesterolemia. The company has a license and collaboration agreement with Daiichi Sankyo Europe GmbH; and Serometrix to in-license its oral, small molecule PCSK9 inhibitor program. Esperion Therapeutics, Inc. was incorporated in 2008 and is headquartered in Ann Arbor, Michigan.

Recent News:

On Aug. 26, 2022, the company announced that bempedoic acid (NEXLETOL®) is now recommended as an important oral non-statin therapy for LDL-cholesterol (LDL-C) lowering in the management of atherosclerotic cardiovascular disease (ASCVD) by the American College of Cardiology (ACC) task force on expert consensus decision pathways (ECDP).

The company reported total revenue for the second quarter ended June 30, 2022, was $18.8 million and $37.7 million for the six months ended June 30, 2022, compared to $40.7 million and $48.6 million for the comparable periods in 2021, a decrease of 54% and 23%, respectively.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects:

Price to Book Value – P/BV, a ratio used to compare book value to its current market price, to gauge whether a stock is valued properly.

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Price to Earnings – PE, the ratio for valuing a company that measures its current share price relative to its earnings per share (EPS).

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Discounted cash flow – DCF, a valuation method used to estimate the value of an investment based on its expected future cash flows.

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Return on Assets – ROA, indicates how profitable a company is in relation to its total assets, how efficiently uses assets to generate a profit.

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Return on Equity – ROE, a measure of financial performance calculated by dividing net income by equity. a gauge of profitability and efficiency.

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Debt to Equity – evaluate financial leverage, reflects the ability of equity to cover outstanding debts in the event of a business downturn.

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Conclusion:

ESPR receives outperform rating in discounted cash flow and return on equity. Technical indicators signal the bullish signs, as there is a bullish crossover in the MACD and the stochastic oscillator. The RSI(14) stands at 55.5 with positive bias. We rate Esperion Therapeutics, Inc. (ESPR) a BUY.