- Catalent produces vaccines developed by biotech companies both in the U.S. and in Europe.
- Its results have been impacted by COVID-19, but the company has some strong growth drivers and margins are in the double digits.
- However, there are high capital expenses and operational costs.
- Consequently, free cash flow is on the negative side, but equally important, debt level targets are being respected.
- The steady stock price progression as opposed to wild swings for a competitor shows that the market trusts the company's growth strategy and Catalent is a buy.
For further details see:
Catalent Inc.: Taking Advantage Of COVID-19 Opportunities