EXELIXIS INC (NASDAQ:EXEL) was identified by our Decent Value stock screener as a company with solid fundamentals and an attractive valuation. The biotech firm specializes in developing treatments for difficult-to-treat cancers and currently has four marketed products, including its flagship drug cabozantinib.
Valuation Highlights
EXEL scores an 8/10 on valuation, indicating it may be priced below its intrinsic value:
P/E Ratio: At 19.83, it trades below both the industry average (72.42) and the S&P 500 (27.21).
Forward P/E: 16.44, cheaper than 93.9% of biotech peers.
Enterprise Value/EBITDA: Ranks better than 96% of the industry, suggesting undervaluation.
Price/Free Cash Flow: More affordable than 95% of competitors.
Financial Health
With a 9/10 health rating, EXEL maintains a strong balance sheet:
No Debt: A rare advantage in biotech, eliminating interest expenses and default risk.
Liquidity: Current ratio of 3.50 and quick ratio of 3.44 ensure short-term obligations are easily met.