Shares of the Ireland-based biopharmaceutical company Jazz Pharmaceuticals (NASDAQ:JAZZ) have declined 26.7% over the past three months. While the company’s recent drug approvals and collaborations could boost its price, its mixed financials and uncertain growth potential are concerning. So, is it worth betting on the stock now? Let’s find out.Based in Ireland, global biopharmaceutical company Jazz Pharmaceuticals Plc (JAZZ) is engaged in developing and distributing medicines for various unmet medical needs in the United States and internationally. In addition, the company has licensing and collaboration agreements with ImmunoGen (NASDAQ:IMGN), Inc.; Codiak BioSciences, Inc.; Pfenex (NYSE:PFNX), Inc.; XL-protein GmbH; and Redx Pharma plc.
The company’s revenue and EBITDA have grown at a CAGR of 13.6% and 7.1%, respectively, over the past three years. Moreover, its total assets have increased at an annualized rate of 35.2% over the same period. However, JAZZ’s net income and EPS have declined at CAGRs of 54.8% and 54.1%, respectively, over the past three years.
JAZZ’s shares have retreated 8.7% over the past year and 21.1% year-to-date to close yesterday’s trading session at $130.21. Though the company could benefit from its recent drug approvals and expanding R&D capabilities, its significant cash burn and mixed financials could cause its shares to decline further.