Have you been paying attention to shares of Adma Biologics (ADMA)? Shares have been on the move with the stock up 37.3% over the past month. The stock hit a new 52-week high of $23.64 in the previous session. Adma Biologics has gained 397.4% since the start of the year compared to the 4.7% move for the Zacks Medical sector and the 0.7% return for the Zacks Medical - Biomedical and Genetics industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 7, 2024, Adma Biologics reported EPS of $0.15 versus consensus estimate of $0.13 while it beat the consensus revenue estimate by 11.74%.

For the current fiscal year, Adma Biologics is expected to post earnings of $0.52 per share on $425.6 million in revenues. Meanwhile, for the next fiscal year, the company is expected to earn $0.77 per share on $492.67 million in revenues. This represents a year-over-year change of 49.68% and 15.76%, respectively.

Valuation Metrics

Adma Biologics may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

Adma Biologics has a Value Score of D. The stock's Growth and Momentum Scores are A and D, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 43.5X current fiscal year EPS estimates, which is a premium to the peer industry average of 25.4X. On a trailing cash flow basis, the stock currently trades at 442.4X versus its peer group's average of 18X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks Rank

We also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Adma Biologics currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.