INCYTE CORP (INCY)
US45337C1027 - Common Stock
Taking everything into account, INCY scores 7 out of 10 in our fundamental rating. INCY was compared to 568 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making INCY a very profitable company, without any liquidiy or solvency issues. INCY is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make INCY suitable 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.
Of the past 5 years INCY 4 years were profitable.
Of the past 5 years INCY 4 years had a positive operating cash flow.
1.2 Ratios
INCY's Return On Assets of 0.65% is amongst the best of the industry. INCY outperforms 92.74% of its industry peers.
The Return On Equity of INCY (1.02%) is better than 93.63% of its industry peers.
INCY has a Return On Invested Capital of 0.38%. This is amongst the best in the industry. INCY outperforms 93.27% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for INCY is below the industry average of 13.59%.
The 3 year average ROIC (9.11%) for INCY is well above the current ROIC(0.38%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 1.02% | ||
| ROIC | 0.38% |
ROA(3y)11.29%
ROA(5y)7.72%
ROE(3y)14.82%
ROE(5y)10.07%
ROIC(3y)9.11%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 0.80%, INCY belongs to the top of the industry, outperforming 93.27% of the companies in the same industry.
In the last couple of years the Profit Margin of INCY has grown nicely.
INCY's Operating Margin of 0.48% is amongst the best of the industry. INCY outperforms 93.45% of its industry peers.
INCY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 93.37%, INCY belongs to the top of the industry, outperforming 94.51% of the companies in the same industry.
INCY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.48% | ||
| PM (TTM) | 0.8% | ||
| GM | 93.37% |
OM growth 3YN/A
OM growth 5Y16.39%
PM growth 3YN/A
PM growth 5Y22.68%
GM growth 3Y-0.76%
GM growth 5Y-0.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so INCY is destroying value.
Compared to 1 year ago, INCY has more shares outstanding
Compared to 5 years ago, INCY has more shares outstanding
INCY has a better debt/assets ratio than last year.
2.2 Solvency
INCY has an Altman-Z score of 4.99. This indicates that INCY is financially healthy and has little risk of bankruptcy at the moment.
INCY has a Altman-Z score of 4.99. This is amongst the best in the industry. INCY outperforms 80.53% of its industry peers.
The Debt to FCF ratio of INCY is 1.05, which is an excellent value as it means it would take INCY, only 1.05 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of INCY (1.05) is better than 95.75% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that INCY is not too dependend on debt financing.
INCY has a Debt to Equity ratio (0.01) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 1.05 | ||
| Altman-Z | 4.99 |
ROIC/WACC0.03
WACC11.9%
2.3 Liquidity
INCY has a Current Ratio of 1.87. This is a normal value and indicates that INCY is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.87, INCY is doing worse than 77.17% of the companies in the same industry.
INCY has a Quick Ratio of 1.82. This is a normal value and indicates that INCY is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.82, INCY is doing worse than 76.11% of the companies in the same industry.
The current and quick ratio evaluation for INCY is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.87 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
INCY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -69.16%.
Measured over the past years, INCY shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.86% on average per year.
Looking at the last year, INCY shows a quite strong growth in Revenue. The Revenue has grown by 12.94% in the last year.
The Revenue has been growing by 14.45% on average over the past years. This is quite good.
EPS 1Y (TTM)-69.16%
EPS 3YN/A
EPS 5Y27.86%
EPS Q2Q%-2.73%
Revenue 1Y (TTM)12.94%
Revenue growth 3Y11.49%
Revenue growth 5Y14.45%
Sales Q2Q%23.81%
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 23.93% on average per year.
The Revenue is expected to grow by 9.85% on average over the next years. This is quite good.
EPS Next Y-62.16%
EPS Next 2Y33.39%
EPS Next 3Y30.91%
EPS Next 5Y23.93%
Revenue Next Year14%
Revenue Next 2Y12.13%
Revenue Next 3Y11.66%
Revenue Next 5Y9.85%
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 stable.
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
A Price/Earnings ratio of 72.46 indicates a quite expensive valuation of INCY.
Compared to the rest of the industry, the Price/Earnings ratio of INCY indicates a rather cheap valuation: INCY is cheaper than 93.98% of the companies listed in the same industry.
INCY is valuated expensively when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 10.99, which indicates a very decent valuation of INCY.
INCY's Price/Forward Earnings ratio is rather cheap when compared to the industry. INCY is cheaper than 97.70% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, INCY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 72.46 | ||
| Fwd PE | 10.99 |
4.2 Price Multiples
93.27% of the companies in the same industry are more expensive than INCY, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, INCY is valued cheaply inside the industry as 92.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 432.82 | ||
| EV/EBITDA | 99.42 |
4.3 Compensation for Growth
The excellent profitability rating of INCY may justify a higher PE ratio.
INCY's earnings are expected to grow with 30.91% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)2.6
EPS Next 2Y33.39%
EPS Next 3Y30.91%
5. Dividend
5.1 Amount
No dividends for INCY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
INCYTE CORP
NASDAQ:INCY (12/20/2024, 8:18:30 PM)
After market: 68.82 -0.02 (-0.03%)68.84
+1.78 (+2.65%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners106.24%
Inst Owner Change-6.03%
Ins Owners1.97%
Ins Owner Change0.43%
Market Cap13.26B
Analysts76.88
Price Target79.08 (14.88%)
Short Float %3.18%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.48%
Min EPS beat(2)-14.75%
Max EPS beat(2)-2.22%
EPS beat(4)0
Avg EPS beat(4)-13.17%
Min EPS beat(4)-25.52%
Max EPS beat(4)-2.22%
EPS beat(8)3
Avg EPS beat(8)-9.61%
EPS beat(12)4
Avg EPS beat(12)-14.4%
EPS beat(16)8
Avg EPS beat(16)-5.5%
Revenue beat(2)1
Avg Revenue beat(2)1.66%
Min Revenue beat(2)-0.21%
Max Revenue beat(2)3.54%
Revenue beat(4)1
Avg Revenue beat(4)-1%
Min Revenue beat(4)-6.49%
Max Revenue beat(4)3.54%
Revenue beat(8)3
Avg Revenue beat(8)-1.54%
Revenue beat(12)5
Avg Revenue beat(12)-0.63%
Revenue beat(16)8
Avg Revenue beat(16)0.45%
PT rev (1m)4.83%
PT rev (3m)5.39%
EPS NQ rev (1m)0%
EPS NQ rev (3m)25.08%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.18%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)1.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 72.46 | ||
| Fwd PE | 10.99 | ||
| P/S | 3.25 | ||
| P/FCF | 432.82 | ||
| P/OCF | 130.27 | ||
| P/B | 4.18 | ||
| P/tB | 4.58 | ||
| EV/EBITDA | 99.42 |
EPS(TTM)0.95
EY1.38%
EPS(NY)6.26
Fwd EY9.1%
FCF(TTM)0.16
FCFY0.23%
OCF(TTM)0.53
OCFY0.77%
SpS21.16
BVpS16.46
TBVpS15.03
PEG (NY)N/A
PEG (5Y)2.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 1.02% | ||
| ROCE | 0.55% | ||
| ROIC | 0.38% | ||
| ROICexc | 0.76% | ||
| ROICexgc | 0.9% | ||
| OM | 0.48% | ||
| PM (TTM) | 0.8% | ||
| GM | 93.37% | ||
| FCFM | 0.75% |
ROA(3y)11.29%
ROA(5y)7.72%
ROE(3y)14.82%
ROE(5y)10.07%
ROIC(3y)9.11%
ROIC(5y)N/A
ROICexc(3y)27.99%
ROICexc(5y)N/A
ROICexgc(3y)34.55%
ROICexgc(5y)N/A
ROCE(3y)13.4%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y8.18%
ROICexc growth 3YN/A
ROICexc growth 5Y17.85%
OM growth 3YN/A
OM growth 5Y16.39%
PM growth 3YN/A
PM growth 5Y22.68%
GM growth 3Y-0.76%
GM growth 5Y-0.51%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 1.05 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 80.62% | ||
| Cap/Sales | 1.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.54% | ||
| Profit Quality | 94.33% | ||
| Current Ratio | 1.87 | ||
| Quick Ratio | 1.82 | ||
| Altman-Z | 4.99 |
F-Score5
WACC11.9%
ROIC/WACC0.03
Cap/Depr(3y)155.68%
Cap/Depr(5y)194.42%
Cap/Sales(3y)3.08%
Cap/Sales(5y)3.98%
Profit Quality(3y)133.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-69.16%
EPS 3YN/A
EPS 5Y27.86%
EPS Q2Q%-2.73%
EPS Next Y-62.16%
EPS Next 2Y33.39%
EPS Next 3Y30.91%
EPS Next 5Y23.93%
Revenue 1Y (TTM)12.94%
Revenue growth 3Y11.49%
Revenue growth 5Y14.45%
Sales Q2Q%23.81%
Revenue Next Year14%
Revenue Next 2Y12.13%
Revenue Next 3Y11.66%
Revenue Next 5Y9.85%
EBIT growth 1Y-96.41%
EBIT growth 3YN/A
EBIT growth 5Y33.21%
EBIT Next Year-45.48%
EBIT Next 3Y33.24%
EBIT Next 5Y18.9%
FCF growth 1Y-95.69%
FCF growth 3YN/A
FCF growth 5Y12.05%
OCF growth 1Y-87.3%
OCF growth 3YN/A
OCF growth 5Y8.11%