AMRX - Amneal Pharmaceuticals: Generics And Biosimilars Play Has Strong Upside Potential Under New / Old Management

• Amneal Pharmaceuticals shares have fallen in value from $24 to $4 since September 2018.
• That's due to a merger with Impax which led to heavy losses but also gave the company the opportunity to gain access to the public markets.
• After the founders stepped away for most of the troubled period, they have been back at the helm since late 2019 and seem to be on a path to profitability.
• A bold strategy includes M&A, branded drug launches, intensive generic drug launches, and a nascent biosimilars business.
• Price to sales ratio is close to 0.5x, whilst non-GAAP PE ratio is ~5x, which implies strong growth potential. These types of figures are not unusual for generics, and there's no dividend, but I can see a potential path to >50% upside within two years.

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