NASDAQ:BMRN is not too expensive for the growth it is showing.

Here's BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN) for you, a growth stock our stock screener believes is undervalued. NASDAQ:BMRN is scoring impressively in terms of growth while demonstrating strong financials. On top of that, it remains attractively priced. Let's break it down further.

Growth Analysis for NASDAQ:BMRN

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NASDAQ:BMRN has received a 7 out of 10:

• BMRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 200.00%, which is quite impressive.
• Looking at the last year, BMRN shows a quite strong growth in Revenue. The Revenue has grown by 13.74% in the last year.
• The Revenue has been growing by 10.16% on average over the past years. This is quite good.
• Based on estimates for the next years, BMRN will show a very strong growth in Earnings Per Share. The EPS will grow by 47.80% on average per year.
• The Revenue is expected to grow by 11.74% on average over the next years. This is quite good.
• When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

How do we evaluate the Valuation for NASDAQ:BMRN?

ChartMill assigns a Valuation Rating to every stock. This score ranges from 0 to 10 and evaluates the different valuation aspects and compares the price to earnings and cash flows, while taking into account profitability and growth. NASDAQ:BMRN scores a 6 out of 10:

• Based on the Price/Earnings ratio, BMRN is valued cheaper than 94.85% of the companies in the same industry.
• 93.83% of the companies in the same industry are more expensive than BMRN, based on the Price/Forward Earnings ratio.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 94.34% of the companies listed in the same industry.
• Based on the Price/Free Cash Flow ratio, BMRN is valued cheaper than 95.54% of the companies in the same industry.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• BMRN has a very decent profitability rating, which may justify a higher PE ratio.
• BMRN's earnings are expected to grow with 61.93% in the coming years. This may justify a more expensive valuation.

Assessing Health for NASDAQ:BMRN

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:BMRN has earned a 5 out of 10:

• An Altman-Z score of 5.55 indicates that BMRN is not in any danger for bankruptcy at the moment.
• BMRN has a Altman-Z score of 5.55. This is in the better half of the industry: BMRN outperforms 79.25% of its industry peers.
• Looking at the Debt to FCF ratio, with a value of 6.67, BMRN belongs to the top of the industry, outperforming 95.20% of the companies in the same industry.
• BMRN has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
• A Current Ratio of 2.74 indicates that BMRN has no problem at all paying its short term obligations.

A Closer Look at Profitability for NASDAQ:BMRN

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NASDAQ:BMRN was assigned a score of 7 for profitability:

• Looking at the Return On Assets, with a value of 2.99%, BMRN belongs to the top of the industry, outperforming 94.85% of the companies in the same industry.
• The Return On Equity of BMRN (4.05%) is better than 95.03% of its industry peers.
• The Return On Invested Capital of BMRN (2.42%) is better than 94.51% of its industry peers.
• Looking at the Profit Margin, with a value of 8.31%, BMRN belongs to the top of the industry, outperforming 95.54% of the companies in the same industry.
• BMRN has a better Operating Margin (7.17%) than 94.68% of its industry peers.
• The Gross Margin of BMRN (79.23%) is better than 87.48% of its industry peers.

More Affordable Growth stocks can be found in our Affordable Growth screener.

Our latest full fundamental report of BMRN contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.