Valeant Pharma (PE of 4.9, P/CF of 3)

Seems like a bargain for a Pharma company. Valeant's share was around 300 but dropped 90% after some scandals but the company is now profitable again. The company's debt to equity is about 5 and is down from 9.5.

Comments

  • Valeant is a shady company. Look into what they were doing, buying niche life saving drugs and hiking prices likely crazy. No R&D, only grew through M&A. Huge debt load. They also did an insurance scam and other shady dealings. I wouldn't touch this company no matter what their valuation looks like.
  • I'm looking at their cash flow statement, and a lot of their cash from operating activities comes from depreciation & amortization, how does that work? Sorry, I'm very new to investing and stuff and not really understanding how it works.

    It also looks like a lot of their cash comes from financing activities, they are issuing much more debt than what they make which makes it seem like they are addicted to OPM (other people's money) as warren buffett would say! lol. But yah, let me know if you disagree or something because like i said, I'm super new to this stuff just trying to learn and figure it out with y'all.
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