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Investors should take note of NASDAQ:BMRN, a growth stock that remains attractively priced.

By Mill Chart

Last update: Sep 26, 2024

Our stock screening tool has pinpointed BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN) as a growth stock that isn't overvalued. NASDAQ:BMRN is excelling in various growth indicators while maintaining a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.


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Looking at the Growth

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:

  • The Earnings Per Share has grown by an impressive 171.15% over the past year.
  • BMRN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.84%.
  • The Revenue has been growing by 10.16% on average over the past years. This is quite good.
  • The Earnings Per Share is expected to grow by 49.08% on average over the next years. This is a very strong growth
  • BMRN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.86% yearly.
  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

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 7 for valuation:

  • Based on the Price/Earnings ratio, BMRN is valued cheaper than 94.72% of the companies in the same industry.
  • Based on the Price/Forward Earnings ratio, BMRN is valued cheaper than 94.37% of the companies in the same industry.
  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 94.54% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, BMRN is valued 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.
  • BMRN has a very decent profitability rating, which may justify a higher PE ratio.
  • BMRN's earnings are expected to grow with 65.82% in the coming years. This may justify a more expensive valuation.

Evaluating Health: NASDAQ:BMRN

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NASDAQ:BMRN has achieved a 5 out of 10:

  • An Altman-Z score of 5.21 indicates that BMRN is not in any danger for bankruptcy at the moment.
  • BMRN's Altman-Z score of 5.21 is amongst the best of the industry. BMRN outperforms 81.16% of its industry peers.
  • Looking at the Debt to FCF ratio, with a value of 5.12, BMRN belongs to the top 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.

A Closer Look at Profitability for 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:

  • With an excellent Return On Assets value of 3.63%, BMRN belongs to the best of the industry, outperforming 94.72% of the companies in the same industry.
  • BMRN's Return On Equity of 4.85% is amongst the best of the industry. BMRN outperforms 94.89% of its industry peers.
  • The Return On Invested Capital of BMRN (3.66%) is better than 94.37% of its industry peers.
  • With an excellent Profit Margin value of 9.91%, BMRN belongs to the best of the industry, outperforming 95.77% of the companies in the same industry.
  • BMRN's Operating Margin of 10.73% is amongst the best of the industry. BMRN outperforms 94.89% of its industry peers.
  • The Gross Margin of BMRN (80.07%) is better than 86.80% of its industry peers.

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

For an up to date full fundamental analysis you can check the fundamental report of BMRN

Disclaimer

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.

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