REGENERON PHARMACEUTICALS (REGN)
US75886F1075 - Common Stock
Overall REGN gets a fundamental rating of 6 out of 10. We evaluated REGN against 568 industry peers in the Biotechnology industry. REGN scores excellent points on both the profitability and health parts. This is a solid base for a good stock. REGN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year REGN was profitable.
In the past year REGN had a positive cash flow from operations.
REGN had positive earnings in each of the past 5 years.
In the past 5 years REGN always reported a positive cash flow from operatings.
1.2 Ratios
REGN has a better Return On Assets (12.43%) than 97.17% of its industry peers.
REGN has a Return On Equity of 15.87%. This is amongst the best in the industry. REGN outperforms 96.81% of its industry peers.
REGN's Return On Invested Capital of 9.81% is amongst the best of the industry. REGN outperforms 95.93% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for REGN is significantly above the industry average of 13.59%.
The 3 year average ROIC (19.85%) for REGN is well above the current ROIC(9.81%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.43% | ||
| ROE | 15.87% | ||
| ROIC | 9.81% |
ROA(3y)19.52%
ROA(5y)18.66%
ROE(3y)25.8%
ROE(5y)25.67%
ROIC(3y)19.85%
ROIC(5y)18.57%
1.3 Margins
The Profit Margin of REGN (33.61%) is better than 98.41% of its industry peers.
REGN's Profit Margin has declined in the last couple of years.
REGN's Operating Margin of 30.28% is amongst the best of the industry. REGN outperforms 98.94% of its industry peers.
REGN's Operating Margin has declined in the last couple of years.
REGN's Gross Margin of 86.86% is amongst the best of the industry. REGN outperforms 90.44% of its industry peers.
In the last couple of years the Gross Margin of REGN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.28% | ||
| PM (TTM) | 33.61% | ||
| GM | 86.86% |
OM growth 3Y-7.75%
OM growth 5Y-2.63%
PM growth 3Y-10%
PM growth 5Y-3.71%
GM growth 3Y0.05%
GM growth 5Y-1.45%
2. Health
2.1 Basic Checks
REGN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, REGN has less shares outstanding
The number of shares outstanding for REGN has been increased compared to 5 years ago.
REGN has a better debt/assets ratio than last year.
2.2 Solvency
REGN has an Altman-Z score of 8.15. This indicates that REGN is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 8.15, REGN belongs to the top of the industry, outperforming 85.13% of the companies in the same industry.
The Debt to FCF ratio of REGN is 0.81, which is an excellent value as it means it would take REGN, only 0.81 years of fcf income to pay off all of its debts.
REGN has a better Debt to FCF ratio (0.81) than 96.11% of its industry peers.
REGN has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
REGN has a Debt to Equity ratio of 0.09. This is in the lower half of the industry: REGN underperforms 64.78% of its industry peers.
Although REGN 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 | 0.09 | ||
| Debt/FCF | 0.81 | ||
| Altman-Z | 8.15 |
ROIC/WACC0.83
WACC11.77%
2.3 Liquidity
A Current Ratio of 5.28 indicates that REGN has no problem at all paying its short term obligations.
REGN's Current ratio of 5.28 is in line compared to the rest of the industry. REGN outperforms 56.46% of its industry peers.
REGN has a Quick Ratio of 4.46. This indicates that REGN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 4.46, REGN is in line with its industry, outperforming 51.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.28 | ||
| Quick Ratio | 4.46 |
3. Growth
3.1 Past
REGN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.14%.
The Earnings Per Share has been growing by 13.91% on average over the past years. This is quite good.
Looking at the last year, REGN shows a small growth in Revenue. The Revenue has grown by 5.72% in the last year.
REGN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.34% yearly.
EPS 1Y (TTM)2.14%
EPS 3Y11.42%
EPS 5Y13.91%
EPS Q2Q%7.51%
Revenue 1Y (TTM)5.72%
Revenue growth 3Y15.57%
Revenue growth 5Y14.34%
Sales Q2Q%10.65%
3.2 Future
Based on estimates for the next years, REGN will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.46% on average per year.
Based on estimates for the next years, REGN will show a small growth in Revenue. The Revenue will grow by 7.41% on average per year.
EPS Next Y4.44%
EPS Next 2Y2.59%
EPS Next 3Y5.44%
EPS Next 5Y8.46%
Revenue Next Year9.58%
Revenue Next 2Y6.66%
Revenue Next 3Y6.89%
Revenue Next 5Y7.41%
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 decreasing.
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
REGN is valuated correctly with a Price/Earnings ratio of 15.45.
Based on the Price/Earnings ratio, REGN is valued cheaper than 96.64% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.73, REGN is valued a bit cheaper.
REGN is valuated correctly with a Price/Forward Earnings ratio of 15.23.
Compared to the rest of the industry, the Price/Forward Earnings ratio of REGN indicates a rather cheap valuation: REGN is cheaper than 95.93% of the companies listed in the same industry.
REGN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.45 | ||
| Fwd PE | 15.23 |
4.2 Price Multiples
REGN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. REGN is cheaper than 96.81% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, REGN is valued cheaply inside the industry as 95.93% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.24 | ||
| EV/EBITDA | 13.5 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
REGN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.48
PEG (5Y)1.11
EPS Next 2Y2.59%
EPS Next 3Y5.44%
5. Dividend
5.1 Amount
REGN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
REGENERON PHARMACEUTICALS
NASDAQ:REGN (12/20/2024, 8:00:01 PM)
After market: 706.33 +4.48 (+0.64%)701.85
-6.4 (-0.9%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners87.07%
Inst Owner Change0.19%
Ins Owners1.91%
Ins Owner Change0.43%
Market Cap77.13B
Analysts78.33
Price Target1108.02 (57.87%)
Short Float %1.69%
Short Ratio2.19
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)2
Avg EPS beat(2)5.63%
Min EPS beat(2)4.48%
Max EPS beat(2)6.79%
EPS beat(4)3
Avg EPS beat(4)3.1%
Min EPS beat(4)-7.23%
Max EPS beat(4)8.36%
EPS beat(8)7
Avg EPS beat(8)5.83%
EPS beat(12)10
Avg EPS beat(12)6.17%
EPS beat(16)14
Avg EPS beat(16)11.05%
Revenue beat(2)1
Avg Revenue beat(2)1.16%
Min Revenue beat(2)-0.62%
Max Revenue beat(2)2.93%
Revenue beat(4)2
Avg Revenue beat(4)0.14%
Min Revenue beat(4)-4.23%
Max Revenue beat(4)2.93%
Revenue beat(8)6
Avg Revenue beat(8)1.95%
Revenue beat(12)10
Avg Revenue beat(12)2.54%
Revenue beat(16)12
Avg Revenue beat(16)4.66%
PT rev (1m)-6.97%
PT rev (3m)-6.96%
EPS NQ rev (1m)-1.17%
EPS NQ rev (3m)-8.54%
EPS NY rev (1m)-0.25%
EPS NY rev (3m)-0.5%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)0.76%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.45 | ||
| Fwd PE | 15.23 | ||
| P/S | 5.57 | ||
| P/FCF | 23.24 | ||
| P/OCF | 18.16 | ||
| P/B | 2.63 | ||
| P/tB | 2.73 | ||
| EV/EBITDA | 13.5 |
EPS(TTM)45.43
EY6.47%
EPS(NY)46.08
Fwd EY6.57%
FCF(TTM)30.21
FCFY4.3%
OCF(TTM)38.65
OCFY5.51%
SpS126.01
BVpS266.87
TBVpS256.67
PEG (NY)3.48
PEG (5Y)1.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.43% | ||
| ROE | 15.87% | ||
| ROCE | 12.41% | ||
| ROIC | 9.81% | ||
| ROICexc | 13.81% | ||
| ROICexgc | 14.49% | ||
| OM | 30.28% | ||
| PM (TTM) | 33.61% | ||
| GM | 86.86% | ||
| FCFM | 23.97% |
ROA(3y)19.52%
ROA(5y)18.66%
ROE(3y)25.8%
ROE(5y)25.67%
ROIC(3y)19.85%
ROIC(5y)18.57%
ROICexc(3y)43.62%
ROICexc(5y)35.04%
ROICexgc(3y)49.24%
ROICexgc(5y)38.42%
ROCE(3y)25.13%
ROCE(5y)23.5%
ROICexcg growth 3Y45.71%
ROICexcg growth 5Y24.6%
ROICexc growth 3Y35.5%
ROICexc growth 5Y19.28%
OM growth 3Y-7.75%
OM growth 5Y-2.63%
PM growth 3Y-10%
PM growth 5Y-3.71%
GM growth 3Y0.05%
GM growth 5Y-1.45%
F-Score7
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.81 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 197.68% | ||
| Cap/Sales | 6.7% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.1% | ||
| Profit Quality | 71.31% | ||
| Current Ratio | 5.28 | ||
| Quick Ratio | 4.46 | ||
| Altman-Z | 8.15 |
F-Score7
WACC11.77%
ROIC/WACC0.83
Cap/Depr(3y)295.5%
Cap/Depr(5y)270.26%
Cap/Sales(3y)7.93%
Cap/Sales(5y)7.3%
Profit Quality(3y)83.99%
Profit Quality(5y)80.7%
High Growth Momentum
Growth
EPS 1Y (TTM)2.14%
EPS 3Y11.42%
EPS 5Y13.91%
EPS Q2Q%7.51%
EPS Next Y4.44%
EPS Next 2Y2.59%
EPS Next 3Y5.44%
EPS Next 5Y8.46%
Revenue 1Y (TTM)5.72%
Revenue growth 3Y15.57%
Revenue growth 5Y14.34%
Sales Q2Q%10.65%
Revenue Next Year9.58%
Revenue Next 2Y6.66%
Revenue Next 3Y6.89%
Revenue Next 5Y7.41%
EBIT growth 1Y-4.86%
EBIT growth 3Y6.62%
EBIT growth 5Y11.34%
EBIT Next Year10.06%
EBIT Next 3Y7.83%
EBIT Next 5Y9.29%
FCF growth 1Y-19.98%
FCF growth 3Y22.33%
FCF growth 5Y15.14%
OCF growth 1Y-25.06%
OCF growth 3Y20.62%
OCF growth 5Y15.92%