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

Last update: Oct 28, 2024

Take a closer look at GENMAB A/S -SP ADR (NASDAQ:GMAB), an affordable growth stock uncovered by our stock screener. NASDAQ:GMAB boasts strong growth prospects and excels in financial health indicators, all while maintaining a reasonable valuation. Let's break it down further.

Growth Assessment of NASDAQ:GMAB

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:GMAB has received a 8 out of 10:

The Earnings Per Share has grown by an nice 16.52% over the past year.
GMAB shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.70% yearly.
Looking at the last year, GMAB shows a quite strong growth in Revenue. The Revenue has grown by 15.89% in the last year.
The Revenue has been growing by 40.35% on average over the past years. This is a very strong growth!
The Earnings Per Share is expected to grow by 23.65% on average over the next years. This is a very strong growth
GMAB is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.51% yearly.

Assessing Valuation Metrics for NASDAQ:GMAB

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:GMAB has earned a 8 for valuation:

96.61% of the companies in the same industry are more expensive than GMAB, based on the Price/Earnings ratio.
GMAB's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 30.92.
96.61% of the companies in the same industry are more expensive than GMAB, based on the Price/Forward Earnings ratio.
GMAB's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.41.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GMAB indicates a rather cheap valuation: GMAB is cheaper than 97.15% of the companies listed in the same industry.
GMAB's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GMAB is cheaper than 97.68% of the companies in the same industry.
GMAB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of GMAB may justify a higher PE ratio.
GMAB's earnings are expected to grow with 24.30% in the coming years. This may justify a more expensive valuation.

Assessing Health for NASDAQ:GMAB

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:GMAB has achieved a 7 out of 10:

An Altman-Z score of 10.14 indicates that GMAB is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 10.14, GMAB belongs to the best of the industry, outperforming 84.49% of the companies in the same industry.
The Debt to FCF ratio of GMAB is 0.16, which is an excellent value as it means it would take GMAB, only 0.16 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GMAB (0.16) is better than 97.68% of its industry peers.
GMAB has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
GMAB has a Current Ratio of 5.03. This indicates that GMAB is financially healthy and has no problem in meeting its short term obligations.
A Quick Ratio of 5.02 indicates that GMAB has no problem at all paying its short term obligations.

A Closer Look at Profitability for NASDAQ:GMAB

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:GMAB, the assigned 8 is a significant indicator of profitability:

GMAB's Return On Assets of 14.25% is amongst the best of the industry. GMAB outperforms 97.86% of its industry peers.
GMAB has a better Return On Equity (17.77%) than 96.61% of its industry peers.
With an excellent Return On Invested Capital value of 13.65%, GMAB belongs to the best of the industry, outperforming 96.61% of the companies in the same industry.
The last Return On Invested Capital (13.65%) for GMAB is above the 3 year average (13.32%), which is a sign of increasing profitability.
GMAB has a better Profit Margin (29.01%) than 98.04% of its industry peers.
GMAB has a Operating Margin of 31.65%. This is amongst the best in the industry. GMAB outperforms 98.75% of its industry peers.
GMAB has a Gross Margin of 96.83%. This is amongst the best in the industry. GMAB outperforms 96.97% of its industry peers.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

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

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.