56.065 USD
-0.62 (-1.09%)
BMRN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 525 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making BMRN a very profitable company, without any liquidiy or solvency issues. BMRN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make BMRN a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
- BMRN had positive earnings in the past year.
- BMRN had a positive operating cash flow in the past year.
- BMRN had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years BMRN had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.83%, BMRN belongs to the top of the industry, outperforming 92.76% of the companies in the same industry.
- With an excellent Return On Equity value of 8.59%, BMRN belongs to the best of the industry, outperforming 92.19% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 7.69%, BMRN belongs to the top of the industry, outperforming 94.10% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for BMRN is significantly below the industry average of 18.07%.
- The 3 year average ROIC (3.73%) for BMRN is below the current ROIC(7.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 8.59% | ||
| ROIC | 7.69% |
ROA(3y)3.59%
ROA(5y)4.88%
ROE(3y)4.67%
ROE(5y)6.69%
ROIC(3y)3.73%
ROIC(5y)N/A
1.3 Margins
- BMRN's Profit Margin of 16.82% is amongst the best of the industry. BMRN outperforms 92.76% of its industry peers.
- BMRN's Operating Margin of 20.21% is amongst the best of the industry. BMRN outperforms 94.67% of its industry peers.
- BMRN has a better Gross Margin (81.32%) than 85.33% of its industry peers.
- In the last couple of years the Gross Margin of BMRN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.21% | ||
| PM (TTM) | 16.82% | ||
| GM | 81.32% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.25%
GM growth 5Y0.19%
2. Health
2.1 Basic Checks
- BMRN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- BMRN has more shares outstanding than it did 1 year ago.
- BMRN has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, BMRN has an improved debt to assets ratio.
2.2 Solvency
- BMRN has an Altman-Z score of 5.39. This indicates that BMRN is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of BMRN (5.39) is better than 73.52% of its industry peers.
- BMRN has a debt to FCF ratio of 0.72. This is a very positive value and a sign of high solvency as it would only need 0.72 years to pay back of all of its debts.
- The Debt to FCF ratio of BMRN (0.72) is better than 94.48% of its industry peers.
- A Debt/Equity ratio of 0.10 indicates that BMRN is not too dependend on debt financing.
- The Debt to Equity ratio of BMRN (0.10) is worse than 62.67% of its industry peers.
- 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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.72 | ||
| Altman-Z | 5.39 |
ROIC/WACC0.91
WACC8.44%
2.3 Liquidity
- BMRN has a Current Ratio of 4.83. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.
- BMRN's Current ratio of 4.83 is in line compared to the rest of the industry. BMRN outperforms 55.62% of its industry peers.
- BMRN has a Quick Ratio of 3.10. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.
- BMRN has a worse Quick ratio (3.10) than 60.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.83 | ||
| Quick Ratio | 3.1 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 52.00% over the past year.
- Looking at the last year, BMRN shows a quite strong growth in Revenue. The Revenue has grown by 12.39% in the last year.
- Measured over the past years, BMRN shows a quite strong growth in Revenue. The Revenue has been growing by 10.86% on average per year.
EPS 1Y (TTM)52%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-129.09%
Revenue 1Y (TTM)12.39%
Revenue growth 3Y15.62%
Revenue growth 5Y10.86%
Sales Q2Q%4.08%
3.2 Future
- The Earnings Per Share is expected to grow by 28.19% on average over the next years. This is a very strong growth
- Based on estimates for the next years, BMRN will show a small growth in Revenue. The Revenue will grow by 7.22% on average per year.
EPS Next Y28.21%
EPS Next 2Y44.96%
EPS Next 3Y35.45%
EPS Next 5Y28.19%
Revenue Next Year12.62%
Revenue Next 2Y11.16%
Revenue Next 3Y10.75%
Revenue Next 5Y7.22%
3.3 Evolution
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 21.08, the valuation of BMRN can be described as rather expensive.
- BMRN's Price/Earnings ratio is rather cheap when compared to the industry. BMRN is cheaper than 94.67% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.60. BMRN is valued slightly cheaper when compared to this.
- The Price/Forward Earnings ratio is 12.07, which indicates a correct valuation of BMRN.
- Based on the Price/Forward Earnings ratio, BMRN is valued cheaply inside the industry as 97.52% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. BMRN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.08 | ||
| Fwd PE | 12.07 |
4.2 Price Multiples
- 95.05% of the companies in the same industry are more expensive than BMRN, based on the Enterprise Value to EBITDA ratio.
- 97.33% of the companies in the same industry are more expensive than BMRN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.04 | ||
| EV/EBITDA | 13.81 |
4.3 Compensation for Growth
- The 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 35.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.75
PEG (5Y)N/A
EPS Next 2Y44.96%
EPS Next 3Y35.45%
5. Dividend
5.1 Amount
- No dividends for BMRN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIOMARIN PHARMACEUTICAL INC / BMRN FAQ
Can you provide the ChartMill fundamental rating for BIOMARIN PHARMACEUTICAL INC?
ChartMill assigns a fundamental rating of 6 / 10 to BMRN.
What is the valuation status for BMRN stock?
ChartMill assigns a valuation rating of 8 / 10 to BIOMARIN PHARMACEUTICAL INC (BMRN). This can be considered as Undervalued.
Can you provide the profitability details for BIOMARIN PHARMACEUTICAL INC?
BIOMARIN PHARMACEUTICAL INC (BMRN) has a profitability rating of 7 / 10.
What is the financial health of BIOMARIN PHARMACEUTICAL INC (BMRN) stock?
The financial health rating of BIOMARIN PHARMACEUTICAL INC (BMRN) is 7 / 10.
What is the expected EPS growth for BIOMARIN PHARMACEUTICAL INC (BMRN) stock?
The Earnings per Share (EPS) of BIOMARIN PHARMACEUTICAL INC (BMRN) is expected to grow by 28.21% in the next year.