Investors should take notice of NASDAQ:BMRN—it offers a great deal for the fundamentals it presents.

Discover BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN)—an undervalued stock our stock screener has picked out. NASDAQ:BMRN demonstrates solid fundamentals, including health and profitability, all while staying attractively priced. Let's explore the details.

Evaluating Valuation: NASDAQ:BMRN

ChartMill assigns a Valuation Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing different valuation elements, such as price to earnings and free cash flow, both in absolute terms and relative to the market and industry. In the case of NASDAQ:BMRN, the assigned 7 reflects its valuation:

• 94.89% of the companies in the same industry are more expensive than BMRN, based on the Price/Earnings ratio.
• BMRN's Price/Forward Earnings ratio is rather cheap when compared to the industry. BMRN is cheaper than 94.37% of the companies in the same industry.
• 94.54% of the companies in the same industry are more expensive than BMRN, based on the Enterprise Value to EBITDA ratio.
• BMRN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BMRN is cheaper than 94.54% of the companies in the same industry.
• BMRN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The decent profitability rating of BMRN may justify a higher PE ratio.
• A more expensive valuation may be justified as BMRN's earnings are expected to grow with 65.82% in the coming years.

Profitability Examination 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 3.63%, BMRN belongs to the top of the industry, outperforming 94.72% of the companies in the same industry.
• Looking at the Return On Equity, with a value of 4.85%, BMRN belongs to the top of the industry, outperforming 94.89% of the companies in the same industry.
• With an excellent Return On Invested Capital value of 3.66%, BMRN belongs to the best of the industry, outperforming 94.37% of the companies in the same industry.
• The Profit Margin of BMRN (9.91%) is better than 95.77% of its industry peers.
• With an excellent Operating Margin value of 10.73%, BMRN belongs to the best of the industry, outperforming 94.89% of the companies in the same industry.
• BMRN has a better Gross Margin (80.07%) than 86.80% of its industry peers.

Understanding NASDAQ:BMRN's Health Score

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:

• BMRN has an Altman-Z score of 5.24. This indicates that BMRN is financially healthy and has little risk of bankruptcy at the moment.
• The Altman-Z score of BMRN (5.24) is better than 80.99% of its industry peers.
• BMRN has a Debt to FCF ratio of 5.12. This is amongst the best in the industry. BMRN outperforms 94.89% of its industry peers.
• 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 Growth: NASDAQ:BMRN

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:

• The Earnings Per Share has grown by an impressive 171.15% over the past year.
• The Revenue has grown by 15.84% in the past year. This is quite good.
• 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 49.08% on average per year.
• The Revenue is expected to grow by 11.86% on average over the next years. This is quite good.
• The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

More Decent Value stocks can be found in our Decent Value screener.

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

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.