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While growth is established for NASDAQ:BMRN, the stock's valuation remains reasonable.

By Mill Chart

Last update: Mar 18, 2024

BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN) has caught the eye of our stock screener as an affordable growth stock. NASDAQ:BMRN is displaying robust growth metrics and also excels in terms of profitability, solvency, and liquidity. Additionally, it appears to be reasonably priced. Let's delve into the details.

A Closer Look at Growth for NASDAQ:BMRN

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NASDAQ:BMRN scores a 7 out of 10:

  • The Earnings Per Share has grown by an impressive 227.59% over the past year.
  • Looking at the last year, BMRN shows a quite strong growth in Revenue. The Revenue has grown by 15.42% in the last year.
  • The Revenue has been growing by 10.16% on average over the past years. This is quite good.
  • The Earnings Per Share is expected to grow by 49.53% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, BMRN will show a quite strong growth in Revenue. The Revenue will grow by 13.54% on average per year.
  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Assessing Valuation Metrics for NASDAQ:BMRN

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:BMRN has earned a 6 for valuation:

  • BMRN's Price/Earnings ratio is rather cheap when compared to the industry. BMRN is cheaper than 94.07% of the companies in the same industry.
  • Based on the Price/Forward Earnings ratio, BMRN is valued cheaply inside the industry as 94.24% of the companies are valued more expensively.
  • BMRN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BMRN is cheaper than 94.58% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 93.90% of the companies listed in the same industry.
  • BMRN has a very decent profitability rating, which may justify a higher PE ratio.
  • BMRN's earnings are expected to grow with 62.29% in the coming years. This may justify a more expensive valuation.

Evaluating Health: NASDAQ:BMRN

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:BMRN has earned a 5 out of 10:

  • BMRN has an Altman-Z score of 5.64. This indicates that BMRN is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of BMRN (5.64) is better than 79.66% of its industry peers.
  • Looking at the Debt to FCF ratio, with a value of 21.05, BMRN belongs to the top of the industry, outperforming 93.73% of the companies in the same industry.
  • BMRN has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
  • A Current Ratio of 2.51 indicates that BMRN has no problem at all paying its short term obligations.

Exploring NASDAQ:BMRN's Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NASDAQ:BMRN was assigned a score of 7 for profitability:

  • BMRN's Return On Assets of 2.45% is amongst the best of the industry. BMRN outperforms 94.92% of its industry peers.
  • BMRN has a Return On Equity of 3.39%. This is amongst the best in the industry. BMRN outperforms 95.08% of its industry peers.
  • The Return On Invested Capital of BMRN (2.21%) is better than 94.75% of its industry peers.
  • BMRN has a better Profit Margin (6.93%) than 95.59% of its industry peers.
  • The Operating Margin of BMRN (6.54%) is better than 94.92% of its industry peers.
  • Looking at the Gross Margin, with a value of 78.72%, BMRN belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

Check the latest full fundamental report of BMRN for a complete fundamental analysis.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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BIOMARIN PHARMACEUTICAL INC

NASDAQ:BMRN (7/9/2024, 8:02:02 PM)

After market: 82.98 0 (0%)

82.98

+0.3 (+0.36%)

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