NASDAQ:BMRN is showing good growth, while it is not too expensive.

Last update: Sep 4, 2024

Consider BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN) as an affordable growth stock, identified by our stock screening tool. NASDAQ:BMRN is showcasing impressive growth figures and is well-positioned in terms of profitability, solvency, and liquidity. Moreover, it seems to be priced reasonably. Let's dive deeper into the analysis.

Understanding NASDAQ:BMRN's Growth Score

ChartMill assigns a Growth Rating to each stock, ranging from 0 to 10. This rating is determined by analyzing different growth elements, including EPS and revenue growth, spanning both historical and future figures. In the case of NASDAQ:BMRN, the assigned 7 reflects its growth potential:

BMRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 171.15%, which is quite impressive.
BMRN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.84%.
Measured over the past years, BMRN shows a quite strong growth in Revenue. The Revenue has been growing by 10.16% on average per year.
The Earnings Per Share is expected to grow by 49.08% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 11.86% 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.

Valuation Assessment of NASDAQ:BMRN

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NASDAQ:BMRN was assigned a score of 6 for valuation:

Compared to the rest of the industry, the Price/Earnings ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 94.89% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 93.13% of the companies listed in the same industry.
94.37% of the companies in the same industry are more expensive than BMRN, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 94.19% of the companies listed 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.
A more expensive valuation may be justified as BMRN's earnings are expected to grow with 63.89% in the coming years.

Analyzing Health Metrics

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NASDAQ:BMRN was assigned a score of 5 for health:

BMRN has an Altman-Z score of 6.64. This indicates that BMRN is financially healthy and has little risk of bankruptcy at the moment.
BMRN has a better Altman-Z score (6.64) than 82.57% of its industry peers.
With an excellent Debt to FCF ratio value of 5.12, BMRN belongs to the best of the industry, outperforming 94.89% of the companies in the same industry.
A Debt/Equity ratio of 0.11 indicates that BMRN is not too dependend on debt financing.
BMRN has a Current Ratio of 3.05. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.

Evaluating Profitability: NASDAQ:BMRN

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NASDAQ:BMRN, the assigned 7 is a significant indicator of profitability:

BMRN has a Return On Assets of 3.63%. This is amongst the best in the industry. BMRN outperforms 95.07% of its industry peers.
With an excellent Return On Equity value of 4.85%, BMRN belongs to the best of the industry, outperforming 95.25% of the companies in the same industry.
BMRN's Return On Invested Capital of 3.66% is amongst the best of the industry. BMRN outperforms 94.54% of its industry peers.
With an excellent Profit Margin value of 9.91%, BMRN belongs to the best of the industry, outperforming 96.13% of the companies in the same industry.
The Operating Margin of BMRN (10.73%) is better than 95.07% of its industry peers.
The Gross Margin of BMRN (80.07%) is better than 86.97% of its industry peers.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

Check the latest full fundamental report of BMRN for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.