INCYTE CORP (INCY) Stock Fundamental Analysis
USA - NASDAQ:INCY - US45337C1027 - Common Stock
104.15 USD
-1.26 (-1.2%)
104.106 USD
-0.04 (-0.04%)
Overall INCY gets a fundamental rating of 6 out of 10. We evaluated INCY against 533 industry peers in the Biotechnology industry. INCY gets an excellent profitability rating and is at the same time showing great financial health properties. INCY is valued quite cheap, while showing a decent growth score. This is a good combination! This makes INCY very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
INCY had positive earnings in the past year.
INCY had a positive operating cash flow in the past year.
INCY had positive earnings in 4 of the past 5 years.
INCY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
INCY has a better Return On Assets (18.78%) than 96.61% of its industry peers.
INCY's Return On Equity of 25.55% is amongst the best of the industry. INCY outperforms 96.80% of its industry peers.
INCY has a Return On Invested Capital of 19.88%. This is amongst the best in the industry. INCY outperforms 97.55% of its industry peers.
The Average Return On Invested Capital over the past 3 years for INCY is significantly below the industry average of 15.78%.
The last Return On Invested Capital (19.88%) for INCY is above the 3 year average (7.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.78% | ||
| ROE | 25.55% | ||
| ROIC | 19.88% |
ROA(3y)5.08%
ROA(5y)5.23%
ROE(3y)6.75%
ROE(5y)6.82%
ROIC(3y)7.24%
ROIC(5y)N/A
1.3 Margins
INCY has a Profit Margin of 24.69%. This is amongst the best in the industry. INCY outperforms 95.10% of its industry peers.
In the last couple of years the Profit Margin of INCY has declined.
INCY has a better Operating Margin (26.10%) than 95.86% of its industry peers.
INCY's Operating Margin has declined in the last couple of years.
INCY's Gross Margin of 93.47% is amongst the best of the industry. INCY outperforms 93.41% of its industry peers.
INCY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.1% | ||
| PM (TTM) | 24.69% | ||
| GM | 93.47% |
OM growth 3Y-50.23%
OM growth 5Y-33.03%
PM growth 3Y-71.07%
PM growth 5Y-48.24%
GM growth 3Y-0.87%
GM growth 5Y-0.53%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), INCY is creating value.
INCY has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, INCY has less shares outstanding
Compared to 1 year ago, INCY has a worse debt to assets ratio.
2.2 Solvency
INCY has an Altman-Z score of 9.22. This indicates that INCY is financially healthy and has little risk of bankruptcy at the moment.
INCY has a Altman-Z score of 9.22. This is amongst the best in the industry. INCY outperforms 82.67% of its industry peers.
The Debt to FCF ratio of INCY is 0.03, which is an excellent value as it means it would take INCY, only 0.03 years of fcf income to pay off all of its debts.
INCY has a Debt to FCF ratio of 0.03. This is amongst the best in the industry. INCY outperforms 96.42% of its industry peers.
INCY has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
INCY's Debt to Equity ratio of 0.01 is in line compared to the rest of the industry. INCY outperforms 44.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 9.22 |
ROIC/WACC2.27
WACC8.77%
2.3 Liquidity
INCY has a Current Ratio of 3.20. This indicates that INCY is financially healthy and has no problem in meeting its short term obligations.
INCY has a worse Current ratio (3.20) than 62.15% of its industry peers.
INCY has a Quick Ratio of 3.13. This indicates that INCY is financially healthy and has no problem in meeting its short term obligations.
INCY's Quick ratio of 3.13 is on the low side compared to the rest of the industry. INCY is outperformed by 60.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.2 | ||
| Quick Ratio | 3.13 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 575.79% over the past year.
Measured over the past years, INCY shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.21% on average per year.
Looking at the last year, INCY shows a quite strong growth in Revenue. The Revenue has grown by 18.09% in the last year.
The Revenue has been growing by 14.46% on average over the past years. This is quite good.
EPS 1Y (TTM)575.79%
EPS 3Y-21.7%
EPS 5Y-14.21%
EPS Q2Q%111.21%
Revenue 1Y (TTM)18.09%
Revenue growth 3Y12.41%
Revenue growth 5Y14.46%
Sales Q2Q%20.05%
3.2 Future
Based on estimates for the next years, INCY will show a very strong growth in Earnings Per Share. The EPS will grow by 29.50% on average per year.
Based on estimates for the next years, INCY will show a small growth in Revenue. The Revenue will grow by 0.60% on average per year.
EPS Next Y427.7%
EPS Next 2Y144.97%
EPS Next 3Y89.5%
EPS Next 5Y29.5%
Revenue Next Year18%
Revenue Next 2Y14.17%
Revenue Next 3Y12.54%
Revenue Next 5Y0.6%
3.3 Evolution
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.22 indicates a correct valuation of INCY.
INCY's Price/Earnings ratio is rather cheap when compared to the industry. INCY is cheaper than 95.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of INCY to the average of the S&P500 Index (25.89), we can say INCY is valued slightly cheaper.
With a Price/Forward Earnings ratio of 13.15, INCY is valued correctly.
Based on the Price/Forward Earnings ratio, INCY is valued cheaply inside the industry as 96.61% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.59. INCY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.15 |
4.2 Price Multiples
INCY's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. INCY is cheaper than 95.67% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, INCY is valued cheaper than 95.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.99 | ||
| EV/EBITDA | 12.58 |
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.
INCY has a very decent profitability rating, which may justify a higher PE ratio.
INCY's earnings are expected to grow with 89.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y144.97%
EPS Next 3Y89.5%
5. Dividend
5.1 Amount
INCY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
104.15
-1.26 (-1.2%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners103.23%
Inst Owner Change1.15%
Ins Owners1.85%
Ins Owner Change-8.76%
Market Cap20.34B
Revenue(TTM)4.81B
Net Income(TTM)1.19B
Analysts73.33
Price Target87.59 (-15.9%)
Short Float %4.9%
Short Ratio5.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.23%
Min EPS beat(2)4.72%
Max EPS beat(2)33.74%
EPS beat(4)3
Avg EPS beat(4)10.09%
Min EPS beat(4)-10.01%
Max EPS beat(4)33.74%
EPS beat(8)3
Avg EPS beat(8)-1.54%
EPS beat(12)6
Avg EPS beat(12)-3.05%
EPS beat(16)7
Avg EPS beat(16)-8.28%
Revenue beat(2)2
Avg Revenue beat(2)5.08%
Min Revenue beat(2)3.45%
Max Revenue beat(2)6.72%
Revenue beat(4)4
Avg Revenue beat(4)3.8%
Min Revenue beat(4)1.09%
Max Revenue beat(4)6.72%
Revenue beat(8)5
Avg Revenue beat(8)1.4%
Revenue beat(12)7
Avg Revenue beat(12)0.24%
Revenue beat(16)9
Avg Revenue beat(16)0.48%
PT rev (1m)1.97%
PT rev (3m)5.62%
EPS NQ rev (1m)6.9%
EPS NQ rev (3m)6.87%
EPS NY rev (1m)10.4%
EPS NY rev (3m)17.82%
Revenue NQ rev (1m)2.53%
Revenue NQ rev (3m)2.84%
Revenue NY rev (1m)2.51%
Revenue NY rev (3m)5.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.22 | ||
| Fwd PE | 13.15 | ||
| P/S | 4.23 | ||
| P/FCF | 16.99 | ||
| P/OCF | 16.25 | ||
| P/B | 4.37 | ||
| P/tB | 4.65 | ||
| EV/EBITDA | 12.58 |
EPS(TTM)6.42
EY6.16%
EPS(NY)7.92
Fwd EY7.61%
FCF(TTM)6.13
FCFY5.89%
OCF(TTM)6.41
OCFY6.15%
SpS24.65
BVpS23.82
TBVpS22.41
PEG (NY)0.04
PEG (5Y)N/A
Graham Number58.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.78% | ||
| ROE | 25.55% | ||
| ROCE | 25.17% | ||
| ROIC | 19.88% | ||
| ROICexc | 48.14% | ||
| ROICexgc | 55.55% | ||
| OM | 26.1% | ||
| PM (TTM) | 24.69% | ||
| GM | 93.47% | ||
| FCFM | 24.87% |
ROA(3y)5.08%
ROA(5y)5.23%
ROE(3y)6.75%
ROE(5y)6.82%
ROIC(3y)7.24%
ROIC(5y)N/A
ROICexc(3y)25.32%
ROICexc(5y)N/A
ROICexgc(3y)31.6%
ROICexgc(5y)N/A
ROCE(3y)9.17%
ROCE(5y)N/A
ROICexgc growth 3Y-34.92%
ROICexgc growth 5Y-33.44%
ROICexc growth 3Y-36.33%
ROICexc growth 5Y-29.08%
OM growth 3Y-50.23%
OM growth 5Y-33.03%
PM growth 3Y-71.07%
PM growth 5Y-48.24%
GM growth 3Y-0.87%
GM growth 5Y-0.53%
F-Score7
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.03 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 59.08% | ||
| Cap/Sales | 1.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.81% | ||
| Profit Quality | 100.71% | ||
| Current Ratio | 3.2 | ||
| Quick Ratio | 3.13 | ||
| Altman-Z | 9.22 |
F-Score7
WACC8.77%
ROIC/WACC2.27
Cap/Depr(3y)83.51%
Cap/Depr(5y)185.09%
Cap/Sales(3y)1.73%
Cap/Sales(5y)3.66%
Profit Quality(3y)367.72%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)575.79%
EPS 3Y-21.7%
EPS 5Y-14.21%
EPS Q2Q%111.21%
EPS Next Y427.7%
EPS Next 2Y144.97%
EPS Next 3Y89.5%
EPS Next 5Y29.5%
Revenue 1Y (TTM)18.09%
Revenue growth 3Y12.41%
Revenue growth 5Y14.46%
Sales Q2Q%20.05%
Revenue Next Year18%
Revenue Next 2Y14.17%
Revenue Next 3Y12.54%
Revenue Next 5Y0.6%
EBIT growth 1Y6374.01%
EBIT growth 3Y-44.05%
EBIT growth 5Y-23.34%
EBIT Next Year352.21%
EBIT Next 3Y84.5%
EBIT Next 5Y26.81%
FCF growth 1Y106.03%
FCF growth 3Y-24.05%
FCF growth 5Y-17.01%
OCF growth 1Y97.88%
OCF growth 3Y-23.52%
OCF growth 5Y-13.95%
INCYTE CORP / INCY FAQ
What is the fundamental rating for INCY stock?
ChartMill assigns a fundamental rating of 7 / 10 to INCY.
What is the valuation status for INCY stock?
ChartMill assigns a valuation rating of 8 / 10 to INCYTE CORP (INCY). This can be considered as Undervalued.
How profitable is INCYTE CORP (INCY) stock?
INCYTE CORP (INCY) has a profitability rating of 7 / 10.
What is the valuation of INCYTE CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for INCYTE CORP (INCY) is 16.22 and the Price/Book (PB) ratio is 4.37.
What is the earnings growth outlook for INCYTE CORP?
The Earnings per Share (EPS) of INCYTE CORP (INCY) is expected to grow by 427.7% in the next year.