NASDAQ:EXEL is showing decent growth, but is still valued reasonably.

Last update: Dec 16, 2024

Discover EXELIXIS INC (NASDAQ:EXEL), an undervalued growth gem identified by our stock screener. NASDAQ:EXEL is shining in terms of growth metrics, and it's also displaying strong financial health and profitability. What's more, it retains an appealing valuation. We'll break it down further.

What does the Growth looks like for NASDAQ:EXEL

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:EXEL scores a 7 out of 10:

The Earnings Per Share has grown by an impressive 485.71% over the past year.
Looking at the last year, EXEL shows a quite strong growth in Revenue. The Revenue has grown by 17.31% in the last year.
EXEL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.47% yearly.
EXEL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 40.97% yearly.
The Revenue is expected to grow by 10.44% 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.

Valuation Examination for NASDAQ:EXEL

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:EXEL scores a 8 out of 10:

Based on the Price/Earnings ratio, EXEL is valued cheaper than 95.40% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.00. EXEL is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio, EXEL is valued cheaper than 95.04% of the companies in the same industry.
Based on the Enterprise Value to EBITDA ratio, EXEL is valued cheaply inside the industry as 96.99% of the companies are valued more expensively.
96.11% of the companies in the same industry are more expensive than EXEL, based on the Price/Free Cash Flow ratio.
EXEL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EXEL has an outstanding profitability rating, which may justify a higher PE ratio.
EXEL's earnings are expected to grow with 52.07% in the coming years. This may justify a more expensive valuation.

Unpacking NASDAQ:EXEL's Health Rating

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NASDAQ:EXEL, the assigned 8 reflects its health status:

An Altman-Z score of 10.57 indicates that EXEL is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 10.57, EXEL belongs to the top of the industry, outperforming 86.55% of the companies in the same industry.
There is no outstanding debt for EXEL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
EXEL has a Current Ratio of 3.93. This indicates that EXEL is financially healthy and has no problem in meeting its short term obligations.
EXEL has a Quick Ratio of 3.88. This indicates that EXEL is financially healthy and has no problem in meeting its short term obligations.

Evaluating Profitability: NASDAQ:EXEL

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:EXEL scores a 8 out of 10:

EXEL has a better Return On Assets (15.77%) than 98.23% of its industry peers.
Looking at the Return On Equity, with a value of 20.52%, EXEL belongs to the top of the industry, outperforming 97.35% of the companies in the same industry.
EXEL has a Return On Invested Capital of 18.78%. This is amongst the best in the industry. EXEL outperforms 97.88% of its industry peers.
The last Return On Invested Capital (18.78%) for EXEL is above the 3 year average (7.03%), which is a sign of increasing profitability.
Looking at the Profit Margin, with a value of 22.43%, EXEL belongs to the top of the industry, outperforming 97.52% of the companies in the same industry.
Looking at the Operating Margin, with a value of 29.22%, EXEL belongs to the top of the industry, outperforming 98.58% of the companies in the same industry.
EXEL has a better Gross Margin (96.25%) than 96.64% 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 EXEL

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.