BIOMARIN PHARMACEUTICAL INC (NASDAQ:BMRN) was identified by our Decent Value stock screener as a potential opportunity for value investors. The company specializes in therapies for rare diseases and shows a combination of solid fundamentals and attractive valuation metrics.
Valuation
BMRN stands out with a Valuation Rating of 8/10, indicating it may be priced below its intrinsic value. Key points:
- The Price/Earnings (P/E) ratio of 21.63 is lower than 95% of its biotechnology peers.
- Its Price/Forward Earnings ratio of 13.28 is well below the S&P 500 average of 36.06.
- The Enterprise Value to EBITDA and Price/Free Cash Flow ratios suggest the stock is trading at a discount relative to industry standards.
Profitability
With a Profitability Rating of 7/10, BMRN demonstrates strong earnings potential:
- Profit Margin of 17.76% outperforms 95% of industry competitors.
- Operating Margin of 24.13% ranks in the top 4% of biotech firms.
- Gross Margin of 79.44% reflects efficient cost management.
Financial Health
BMRN earns a Health Rating of 7/10, supported by:
- A strong Current Ratio of 5.52, indicating ample liquidity.
- Low Debt/Equity ratio of 0.10, reducing financial risk.
- Positive cash flow over the past five years.
Growth Prospects
The Growth Rating of 5/10 reflects steady expansion:
- Revenue grew 19.36% year-over-year, with a 10.86% annualized growth rate over recent years.
- EPS surged 136.84% in the past year, with expected annual growth of 28.03% moving forward.
Our Decent Value screener lists more stocks with similar characteristics. For a deeper look, review the full fundamental report on BMRN.
Disclaimer
This is not investing advice! The article highlights observations at the time of writing, but you should conduct your own research before making investment decisions.
