Integra Lifesciences Holdings Corp (NASDAQ: IART)

Sector: Healthcare Industry: Medical Devices CIK: 0000917520
Market Cap 877.19 Mn
P/B 0.85
P/E -1.77
P/S 0.53
ROIC (Qtr) -12.49
Div Yield % 0.00
Rev 1y % (Qtr) 5.57
Total Debt (Qtr) 2.01 Bn
Debt/Equity (Qtr) 1.93
Add ratio to table...

About

Integra LifeSciences Holdings Corporation, often recognized by its stock symbol IART, is a prominent player in the global medical technology industry. Established in 1989, the company has been listed on the Nasdaq Global Select Market under the ticker symbol IART. Integra LifeSciences Holdings Corporation is dedicated to innovating treatment pathways that enhance patient outcomes and establish new standards in surgical, neurologic, and regenerative care. The company's operations are divided into two reportable business segments: Codman Specialty...

Read more

Investment thesis

Bull case

  • Healthy cash reserves of 232.19M provide 4.42x coverage of short-term debt 52.58M, demonstrating strong liquidity position and minimal refinancing risk.
  • Tangible assets of 1.87B provide exceptional 165.20x coverage of deferred revenue 11.33M, showing strong service capability backing.
  • Operating cash flow of 89.31M provides strong 7.89x coverage of deferred revenue 11.33M, indicating service delivery capability.
  • Cash reserves of 232.19M provide ample 55.51x coverage of acquisition spending 4.18M, enabling strategic growth opportunities.
  • Tangible assets of 1.87B provide robust 8.54x coverage of other current liabilities 219.17M, indicating strong asset backing.

Bear case

  • Operating cash flow of 89.31M barely covers its investment activities of (77.41M), with a coverage ratio of -1.15, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (77.41M) provide weak support for R&D spending of 105.39M, which is -0.73x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of 89.31M shows concerning coverage of stock compensation expenses of 19.90M, with a 4.49 ratio indicating potential earnings quality issues.
  • Operating earnings of (463.70M) show weak coverage of depreciation charges of 151.05M, with a -3.07 ratio indicating high capital intensity and potential reinvestment needs.
  • Free cash flow of (4.51M) provides weak coverage of capital expenditures of 93.82M, with a -0.05 ratio suggesting additional external financing needs for growth initiatives.

Segments Breakdown of Revenue (2024)

Segments Breakdown of Revenue (2024)

Peer comparison

Companies in the Medical Devices
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 ABT Abbott Laboratories 173.80 Bn 32.73 5.47 12.94 Bn
2 SYK Stryker Corp 141.15 Bn 43.48 5.62 15.86 Bn
3 MDT Medtronic plc 123.47 Bn 25.92 3.55 29.10 Bn
4 BSX Boston Scientific Corp 112.80 Bn 38.92 5.62 11.44 Bn
5 EW Edwards Lifesciences Corp 45.66 Bn 33.38 7.76 0.70 Bn
6 DXCM Dexcom Inc 27.52 Bn 32.91 5.90 1.34 Bn
7 STE STERIS plc 24.13 Bn 34.08 4.14 2.05 Bn
8 PODD Insulet Corp 17.33 Bn 70.38 6.87 1.01 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.73 2.13
EV to Cash from Ops. EV/CFO 29.93 2.75
EV to Debt EV to Debt 1.33 17.25
EV to EBIT EV/EBIT -5.76 2.89
EV to EBITDA EV/EBITDA -8.11 4.53
EV to Free Cash Flow [EV/FCF] EV/FCF -592.17 29.36
EV to Market Cap EV to Market Cap 3.05 25.09
EV to Revenue EV/Rev 1.63 32.80
Price to Book Value [P/B] P/B 0.85 4.73
Price to Earnings [P/E] P/E -1.77 -2.04
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 40.22
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 1.59
Dividend per Basic Share Div per Share (Qtr) 0.00 0.10
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -0.37
Interest Coverage Int. cover (Qtr) -5.69 196.93
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 5.57 -152.08
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 7.91 8,476.58
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -0.44
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -1,534.61 -792.16
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -302.22 3.79
EBIT Growth (1y) % EBIT 1y % (Qtr) -967.06 -301.80
EBT Growth (1y) % EBT 1y % (Qtr) -4,474.80 -121.44
EPS Growth (1y) % EPS 1y % (Qtr) -7,975.00 -87.51
FCF Growth (1y) % FCF 1y % (Qtr) -111.87 10.43
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 0.04 38.21
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.45 0.55
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 0.64 1.80
Current Ratio Curr Ratio (Qtr) 3.14 4.18
Debt to Equity Ratio Debt/Equity (Qtr) 1.93 1.20
Interest Cover Ratio Int Coverage (Qtr) -5.69 196.93
Times Interest Earned Times Interest Earned (Qtr) -5.69 196.93
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -19.00 -2,396.63
EBIT Margin % EBIT Margin % (Qtr) -28.22 -2,478.60
EBT Margin % EBT Margin % (Qtr) -33.19 -2,690.42
Gross Margin % Gross Margin % (Qtr) 52.30 30.80
Net Profit Margin % Net Margin % (Qtr) -30.10 -2,821.53