(BHC) Bausch Health Companies - Overview
Sector: Healthcare | Industry: Drug Manufacturers - Specialty & Generic | Exchange: NYSE (USA) | Market Cap: 2.043m USD | Total Return: 16.3% in 12m
Avg Turnover: 8.59M
EPS Trend: 0.0%
Qual. Beats: 0
Rev. Trend: 99.5%
Qual. Beats: 2
Warnings
Negative Equity with losses - insolvent profile
High Debt/EBITDA (5.4) with thin interest coverage (1.4)
Altman Z'' -0.55 < 1.0 - financial distress zone
Fakeout Below Avwap Earnings
Tailwinds
No distinct edge detected
Bausch Health Companies Inc. (BHC) is a diversified healthcare entity focused on specialty pharmaceuticals, medical devices, and consumer health products. The company operates across five distinct segments: Salix, International, Solta Medical, Diversified, and Bausch + Lomb. Its portfolio spans therapeutic areas including gastroenterology, neurology, dermatology, and eye health, with a global distribution network covering major markets such as the United States, China, and Europe.
The pharmaceutical sector often relies on a high-margin business model driven by intellectual property and patent protection for branded drugs. Additionally, the medical device segment provides recurring revenue streams through specialized equipment and consumables used in aesthetic and ophthalmic procedures. Investors may find it useful to examine ValueRay for deeper insights into the companys intrinsic valuation.
Headquartered in Laval, Canada, the firm underwent a significant rebranding from Valeant Pharmaceuticals International in 2018. This transition marked a strategic shift toward stabilizing its core business segments and managing its expansive international manufacturing and marketing infrastructure.
- Xifaxan patent litigation outcomes determine long-term revenue stability for Salix segment
- Significant debt burden necessitates strategic asset divestitures and aggressive deleveraging
- Full separation of Bausch + Lomb equity remains primary valuation catalyst
- Solta Medical expansion in Asia-Pacific markets drives high-margin aesthetic device growth
- Generic competition for core dermatology brands pressures overall pharmaceutical segment margins
| Net Income: -1.19b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -0.56 > 1.0 |
| NWC/Revenue: 13.72% < 20% (prev 15.18%; Δ -1.46% < -1%) |
| CFO/TA 0.06 > 3% & CFO 1.42b > Net Income -1.19b |
| Net Debt (19.5b) to EBITDA (3.62b): 5.40 < 3 |
| Current Ratio: 1.32 > 1.5 & < 3 |
| Outstanding Shares: last quarter (372.8m) vs 12m ago 0.87% < -2% |
| Gross Margin: 61.67% > 18% (prev 0.68%; Δ 6.10k% > 0.5%) |
| Asset Turnover: 41.45% > 50% (prev 36.80%; Δ 4.64% > 0%) |
| Interest Coverage Ratio: 1.43 > 6 (EBITDA TTM 3.62b / Interest Expense TTM 1.69b) |
| A: 0.06 (Total Current Assets 5.98b - Total Current Liabilities 4.53b) / Total Assets 24.5b |
| B: -0.45 (Retained Earnings -11.1b / Total Assets 24.5b) |
| C: 0.09 (EBIT TTM 2.42b / Avg Total Assets 25.5b) |
| D: -0.09 (Book Value of Equity -2.35b / Total Liabilities 25.6b) |
| Altman-Z'' = -0.55 = B |
| DSRI: 0.97 (Receivables 2.19b/2.07b, Revenue 10.6b/9.72b) |
| GMI: 1.11 (GM 61.67% / 68.16%) |
| AQI: 0.94 (AQ_t 0.67 / AQ_t-1 0.71) |
| SGI: 1.09 (Revenue 10.6b / 9.72b) |
| TATA: -0.11 (NI -1.19b - CFO 1.42b) / TA 24.5b) |
| Beneish M = -3.03 (Cap -4..+1) = AA |
As of May 30, 2026, the stock is trading at USD 5.36 with a total of 2,521,224 shares traded.
Over the past week, the price has changed by -1.65%,
over one month by -4.11%,
over three months by -9.61% and
over the past year by +16.27%.
Bausch Health Companies has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold BHC.
- StrongBuy: 0
- Buy: 1
- Hold: 5
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 7.5 | 39.9% |
P/E Forward = 1.25
P/S = 0.194
P/B = 18.7773
P/EG = 0.011
Revenue TTM = 10.6b USD
EBIT TTM = 2.42b USD
EBITDA TTM = 3.62b USD
Long Term Debt = 19.9b USD (from longTermDebt, last quarter)
Short Term Debt = 900.0m USD (from shortTermDebt, last quarter)
Debt = 20.8b USD (from shortLongTermDebtTotal, last quarter) + Leases 31.0m
Net Debt = 19.5b USD (calculated: Debt 20.8b - CCE 1.30b)
Enterprise Value = 21.6b USD (2.04b + Debt 20.8b - CCE 1.30b)
Interest Coverage Ratio = 1.43 (Ebit TTM 2.42b / Interest Expense TTM 1.69b)
EV/FCF = 21.80x (Enterprise Value 21.6b / FCF TTM 989.5m)
FCF Yield = 4.59% (FCF TTM 989.5m / Enterprise Value 21.6b)
FCF Margin = 9.38% (FCF TTM 989.5m / Revenue TTM 10.6b)
Net Margin = -11.27% (Net Income TTM -1.19b / Revenue TTM 10.6b)
Gross Margin = 61.67% ((Revenue TTM 10.6b - Cost of Revenue TTM 4.04b) / Revenue TTM)
Gross Margin QoQ = 61.21% (prev 63.02%)
Tobins Q-Ratio = 0.88 (Enterprise Value 21.6b / Total Assets 24.5b)
Interest Expense / Debt = 8.10% (Interest Expense 1.69b / Debt 20.8b)
Taxrate = 21.0% (US default 21%)
NOPAT = 1.91b (EBIT 2.42b * (1 - 21.00%))
Current Ratio = 1.32 (Total Current Assets 5.98b / Total Current Liabilities 4.53b)
Debt / Equity = -10.11 (negative equity) (Debt 20.8b / totalStockholderEquity, last quarter -2.06b)
Debt / EBITDA = 5.40 (Net Debt 19.5b / EBITDA 3.62b)
Debt / FCF = 19.73 (Net Debt 19.5b / FCF TTM 989.5m)
Total Stockholder Equity = -985.1m (last 4 quarters mean from totalStockholderEquity)
RoA = -4.67% (Net Income -1.19b / Total Assets 24.5b)
RoE = -11.77% (Net Income TTM -1.19b / Total Stockholder Equity 10.1b)
RoCE = 8.06% (EBIT 2.42b / Capital Employed (Equity 10.1b + L.T.Debt 19.9b))
RoIC = 9.16% (NOPAT 1.91b / Invested Capital 20.9b)
WACC = 6.81% (E(2.04b)/V(22.9b) * Re(11.0%) + D(20.8b)/V(22.9b) * Rd(8.10%) * (1-Tc(0.21)))
Discount Rate = 11.0% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 64.44 | Cagr: 0.91%
[DCF] Terminal Value 73.10% ; FCFF base≈1.08b ; Y1≈946.5m ; Y5≈764.8m
[DCF] Fair Price = N/A (negative equity: EV 12.3b - Net Debt 19.5b = -7.25b; debt exceeds intrinsic value)
EPS Correlation: 0.04 | EPS CAGR: 0.00% | SUE: 0.49 | # QB: 0
Revenue Correlation: 99.51 | Revenue CAGR: 8.60% | SUE: 0.90 | # QB: 2
EPS current Quarter (2026-06-30): EPS=1.00 | Chg30d=-0.57% | Revisions=+14% | Analysts=7
EPS next Quarter (2026-09-30): EPS=1.24 | Chg30d=-2.36% | Revisions=-50% | Analysts=7
EPS current Year (2026-12-31): EPS=4.33 | Chg30d=-1.18% | Revisions=+14% | GrowthEPS=+15.5% | GrowthRev=+4.6%
EPS next Year (2027-12-31): EPS=4.06 | Chg30d=+1.03% | Revisions=+25% | GrowthEPS=-6.2% | GrowthRev=-0.3%
[Analyst] Revisions Ratio: -50%