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VTRS (Viatris) Piotroski F-Score : 7 (As of Oct. 31, 2024)


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What is Viatris Piotroski F-Score?

Good Sign:

Piotroski F-Score is 7, indicates a very healthy situation.

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Viatris has an F-score of 7. It is a good or high score, which usually indicates a very healthy situation.

The historical rank and industry rank for Viatris's Piotroski F-Score or its related term are showing as below:

VTRS' s Piotroski F-Score Range Over the Past 10 Years
Min: 3   Med: 6   Max: 9
Current: 7

During the past 13 years, the highest Piotroski F-Score of Viatris was 9. The lowest was 3. And the median was 6.


Viatris Piotroski F-Score Historical Data

The historical data trend for Viatris's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Viatris Piotroski F-Score Chart

Viatris Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.00 4.00 4.00 7.00 8.00

Viatris Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.00 7.00 8.00 6.00 7.00

Competitive Comparison of Viatris's Piotroski F-Score

For the Drug Manufacturers - Specialty & Generic subindustry, Viatris's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Viatris's Piotroski F-Score Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Viatris's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Viatris's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Jun24) TTM:Last Year (Jun23) TTM:
Net Income was 331.6 + -765.6 + 113.9 + -326.4 = $-647 Mil.
Cash Flow from Operations was 823.9 + 479.4 + 614.6 + 379.1 = $2,297 Mil.
Revenue was 3941.9 + 3837.3 + 3663.4 + 3796.6 = $15,239 Mil.
Gross Profit was 1691.3 + 1596.5 + 1504 + 1445.4 = $6,237 Mil.
Average Total Assets from the begining of this year (Jun23)
to the end of this year (Jun24) was
(48695.2 + 48742.6 + 47685.5 + 47343.7 + 45330) / 5 = $47559.4 Mil.
Total Assets at the begining of this year (Jun23) was $48,695 Mil.
Long-Term Debt & Capital Lease Obligation was $14,923 Mil.
Total Current Assets was $11,792 Mil.
Total Current Liabilities was $7,709 Mil.
Net Income was 354.3 + 1011.2 + 224.7 + 264 = $1,854 Mil.

Revenue was 4078.2 + 3876 + 3729.1 + 3918.6 = $15,602 Mil.
Gross Profit was 1748.4 + 1274.1 + 1542.2 + 1608.6 = $6,173 Mil.
Average Total Assets from the begining of last year (Jun22)
to the end of last year (Jun23) was
(51125.1 + 48662.6 + 50022.2 + 49290.2 + 48695.2) / 5 = $49559.06 Mil.
Total Assets at the begining of last year (Jun22) was $51,125 Mil.
Long-Term Debt & Capital Lease Obligation was $17,413 Mil.
Total Current Assets was $9,778 Mil.
Total Current Liabilities was $6,524 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Viatris's current Net Income (TTM) was -647. ==> Negative ==> Score 0.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Viatris's current Cash Flow from Operations (TTM) was 2,297. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Jun23)
=-646.5/48695.2
=-0.01327646

ROA (Last Year)=Net Income/Total Assets (Jun22)
=1854.2/51125.1
=0.0362679

Viatris's return on assets of this year was -0.01327646. Viatris's return on assets of last year was 0.0362679. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Viatris's current Net Income (TTM) was -647. Viatris's current Cash Flow from Operations (TTM) was 2,297. ==> 2,297 > -647 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jun24)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun23 to Jun24
=14923.1/47559.4
=0.31377814

Gearing (Last Year: Jun23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun22 to Jun23
=17412.9/49559.06
=0.35135654

Viatris's gearing of this year was 0.31377814. Viatris's gearing of last year was 0.35135654. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Jun24)=Total Current Assets/Total Current Liabilities
=11792.1/7709.2
=1.52961397

Current Ratio (Last Year: Jun23)=Total Current Assets/Total Current Liabilities
=9778/6523.8
=1.49881971

Viatris's current ratio of this year was 1.52961397. Viatris's current ratio of last year was 1.49881971. ==> This year's current ratio is higher. ==> Score 1.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Viatris's number of shares in issue this year was 1191.1. Viatris's number of shares in issue last year was 1203.5. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=6237.2/15239.2
=0.40928658

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=6173.3/15601.9
=0.39567617

Viatris's gross margin of this year was 0.40928658. Viatris's gross margin of last year was 0.39567617. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Jun23)
=15239.2/48695.2
=0.31295076

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Jun22)
=15601.9/51125.1
=0.30517104

Viatris's asset turnover of this year was 0.31295076. Viatris's asset turnover of last year was 0.30517104. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=0+1+0+1+1+1+1+1+1
=7

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Viatris has an F-score of 7. It is a good or high score, which usually indicates a very healthy situation.

Viatris  (NAS:VTRS) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Viatris Piotroski F-Score Related Terms

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Viatris Business Description

Address
1000 Mylan Boulevard, Canonsburg, PA, USA, 15317
Viatris was formed in November 2020 through the combination of Upjohn, a wholly owned subsidiary of Pfizer that specialized in off-patent drugs, and Mylan, a global pharmaceutical manufacturer that focused on generic and specialty drugs. By joining forces, Viatris became one of the largest generic drug manufacturers in the world, servicing over 165 countries. Generics (commoditized and complex) and biosimilars make up roughly 40% of Viatris' total sales. Remaining 60% of sales is derived from its portfolio of legacy products which includes Lipitor, Norvasc, Lyrica, and Viagra. While it covers more than 10 major therapeutic areas, Viatris has identified dermatology, ophthalmology, and gastroenterology as its three key areas of focus for future innovations.
Executives
Rajiv Malik director, officer: President BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HERTFORDSHIRE X0 AL10 9UL
Brian Roman officer: Global General Counsel 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Anthony Mauro officer: See Remarks BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HERTFORDSHIRE X0 AL10 9UL
Paul Campbell officer: See Remarks BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HERTFORDSHIRE X0 AL10 9UL
Dillon Joellen Lyons director BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HARTFORDSHIRE X0 AL 109UL
Xiangyang (sean) Ni officer: President, Greater China 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Andrew Cuneo officer: See Remarks 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Leo Frans Groothuis director 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Scott Andrew Smith director C/O CELGENE CORPORATION, 86 MORRIS AVENUE, SUMMIT NJ 07901
Elisha W Finney director C/O VARIAN MEDICAL SYSTEMS, INC, 3100 HANSEN WAY M/S E-327, PALO ALTO CA 94304
Van Der Meer Mohr Pauline director 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Menassie Taddese officer: See Remarks 1000 MYLAN BOULEVARD, CANONSBURG PA 15317
Robert J Coury director, officer: Executive Chairman BUILDING 4, TRIDENT PLACE, MOSQUITO WAY, HATFIELD, HERTFORDSHIRE X0 AL10 9UL
W Don Cornwell director
James M Kilts director 120 PARK AVE, NEW YORK NY 10017