For those who appreciate growth without the sticker shock, EXELIXIS INC (NASDAQ:EXEL) is worth considering.

EXELIXIS INC (NASDAQ:EXEL) was identified as an affordable growth stock by our stock screener. EXEL is showing great growth, but also scores well on profitability, solvency and liquidity. At the same time it seems to be priced reasonably. We'll explore this a bit deeper below.

Analyzing Growth Metrics

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. EXEL boasts a 8 out of 10:

• The Earnings Per Share has grown by an impressive 189.06% over the past year.
• EXEL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.65% yearly.
• EXEL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.50%.
• Measured over the past years, EXEL shows a quite strong growth in Revenue. The Revenue has been growing by 17.51% on average per year.
• Based on estimates for the next years, EXEL will show a very strong growth in Earnings Per Share. The EPS will grow by 26.65% on average per year.
• Based on estimates for the next years, EXEL will show a quite strong growth in Revenue. The Revenue will grow by 10.95% on average per year.
• The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

Analyzing Valuation Metrics

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. EXEL boasts a 6 out of 10:

• Based on the Price/Earnings ratio, EXEL is valued cheaply inside the industry as 96.11% of the companies are valued more expensively.
• Compared to an average S&P500 Price/Earnings ratio of 28.78, EXEL is valued a bit cheaper.
• EXEL's Price/Forward Earnings ratio is rather cheap when compared to the industry. EXEL is cheaper than 94.70% of the companies in the same industry.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EXEL indicates a rather cheap valuation: EXEL is cheaper than 96.64% of the companies listed in the same industry.
• Based on the Price/Free Cash Flow ratio, EXEL is valued cheaper than 96.47% of the companies in the same industry.
• The excellent profitability rating of EXEL may justify a higher PE ratio.
• A more expensive valuation may be justified as EXEL's earnings are expected to grow with 20.93% in the coming years.

Assessing Health Metrics for EXEL

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. EXEL has achieved a 9 out of 10:

• An Altman-Z score of 10.69 indicates that EXEL is not in any danger for bankruptcy at the moment.
• With an excellent Altman-Z score value of 10.69, EXEL belongs to the best of the industry, outperforming 89.22% of the companies in the same industry.
• EXEL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
• A Current Ratio of 3.63 indicates that EXEL has no problem at all paying its short term obligations.
• EXEL has a Quick Ratio of 3.58. This indicates that EXEL is financially healthy and has no problem in meeting its short term obligations.

A Closer Look at Profitability for 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. EXEL scores a 8 out of 10:

• Looking at the Return On Assets, with a value of 17.68%, EXEL belongs to the top of the industry, outperforming 97.70% of the companies in the same industry.
• With an excellent Return On Equity value of 23.23%, EXEL belongs to the best of the industry, outperforming 97.70% of the companies in the same industry.
• The Return On Invested Capital of EXEL (21.31%) is better than 98.76% of its industry peers.
• The 3 year average ROIC (10.78%) for EXEL is below the current ROIC(21.31%), indicating increased profibility in the last year.
• EXEL has a better Profit Margin (24.04%) than 97.00% of its industry peers.
• EXEL's Operating Margin of 31.81% is amongst the best of the industry. EXEL outperforms 98.23% of its industry peers.
• Looking at the Gross Margin, with a value of 96.49%, EXEL belongs to the top of the industry, outperforming 95.41% of the companies in the same industry.

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

Check the latest full fundamental report of EXEL 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.