NASDAQ:BMRN stands out as a stock that provides good value for the fundamentals it showcases.

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.

Valuation Examination for NASDAQ:BMRN

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NASDAQ:BMRN has earned a 7 for valuation:

• 94.31% of the companies in the same industry are more expensive than BMRN, based on the Price/Earnings ratio.
• Based on the Price/Forward Earnings ratio, BMRN is valued cheaper than 94.66% of the companies in the same industry.
• 95.20% 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 94.84% 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.
• 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 61.96% in the coming years.

Understanding NASDAQ:BMRN's Profitability

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:BMRN scores a 7 out of 10:

• BMRN's Return On Assets of 4.70% is amongst the best of the industry. BMRN outperforms 94.66% of its industry peers.
• Looking at the Return On Equity, with a value of 5.95%, BMRN belongs to the top of the industry, outperforming 94.66% of the companies in the same industry.
• The Return On Invested Capital of BMRN (5.27%) is better than 94.84% of its industry peers.
• BMRN has a better Profit Margin (11.71%) than 95.55% of its industry peers.
• The Operating Margin of BMRN (14.88%) is better than 95.91% of its industry peers.
• BMRN has a better Gross Margin (78.95%) than 86.48% of its industry peers.

Assessing Health Metrics 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 7 out of 10:

• An Altman-Z score of 6.27 indicates that BMRN is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 6.27, BMRN belongs to the best of the industry, outperforming 82.56% of the companies in the same industry.
• The Debt to FCF ratio of BMRN is 1.98, which is an excellent value as it means it would take BMRN, only 1.98 years of fcf income to pay off all of its debts.
• The Debt to FCF ratio of BMRN (1.98) is better than 95.20% of its industry peers.
• BMRN has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
• Although BMRN does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
• BMRN has a Current Ratio of 4.27. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.
• BMRN has a Quick Ratio of 2.62. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.

How do we evaluate the Growth for NASDAQ:BMRN?

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NASDAQ:BMRN scores a 7 out of 10:

• The Earnings Per Share has grown by an impressive 127.27% over the past year.
• Looking at the last year, BMRN shows a quite strong growth in Revenue. The Revenue has grown by 19.14% 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 47.29% on average per year.
• BMRN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.25% yearly.
• 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.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

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

Keep in mind

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.