ELAN Elanco Animal Health Incorporated
Platform & Compounding FCF
F 30.0 / 100 pillar composite

AlphaQuality composite grade, weighted for platform & compounding fcf businesses.

⚠ 4 of the last 5 fiscal years showed negative net income — AlphaQuality will not grade above F for persistent unprofitability in a platform & compounding fcf business.

Grade overrides the 30.0 pillar composite — hard gates always win.

Profitability

Weight: 25%
F 17
  • 5yr Avg ROIC -0.1%
  • Operating Margin Trend -0.51 pp/yr

Capital Efficiency

Weight: 15%
F 10
  • 5yr Avg ROE -5.1%
  • 5yr Share-Count CAGR 2.4%

Growth Quality

Weight: 25%
B+ 75
  • 5yr Revenue CAGR 7.6%
  • Revenue-Growth Years (5) 4/5

Cash Generation

Weight: 20%
B 73
  • 5yr FCF Margin 5.9%
  • 5yr FCF/NI Conversion 1.17x

Balance Sheet

Weight: 10%
F 12
  • Net Debt / EBITDA 5.14x
  • Interest Coverage (EBIT/Int) -0.02x
  • Altman Z-Score 1.37

Stability

Weight: 5%
C- 46
  • EPS Volatility (σ/μ) 0.70
  • Negative-Revenue Years (5) 1/5
  • Piotroski F-Score 6

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Trimming

3 of 3 gurus held; 1 added; 2 trimmed; 1 full exit.

Holders
3
Avg Δ position
-0.6%
New buys
0
Full exits
1
As of Q2 2026