ARGENX SE (1AE.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:1AE - NL0010832176 - Common Stock
701.4 EUR
+3.2 (+0.46%)
We assign a fundamental rating of 6 out of 10 to 1AE. 1AE was compared to 85 industry peers in the Biotechnology industry. While 1AE has a great health rating, its profitability is only average at the moment. 1AE is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make 1AE a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
- 1AE had positive earnings in the past year.
- 1AE had a positive operating cash flow in the past year.
- 1AE had negative earnings in 4 of the past 5 years.
- In the past 5 years 1AE always reported negative operating cash flow.
1.2 Ratios
- 1AE has a better Return On Assets (17.84%) than 93.18% of its industry peers.
- 1AE has a better Return On Equity (21.00%) than 90.91% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 5.36%, 1AE is in the better half of the industry, outperforming 78.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.84% | ||
| ROE | 21% | ||
| ROIC | 5.36% |
ROA(3y)-5.23%
ROA(5y)-11.34%
ROE(3y)-5.76%
ROE(5y)-13.95%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of 1AE (41.97%) is better than 93.18% of its industry peers.
- 1AE has a better Operating Margin (15.30%) than 80.68% of its industry peers.
- 1AE's Gross Margin of 89.40% is amongst the best of the industry. 1AE outperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.3% | ||
| PM (TTM) | 41.97% | ||
| GM | 89.4% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1AE is destroying value.
- 1AE has more shares outstanding than it did 1 year ago.
- 1AE has more shares outstanding than it did 5 years ago.
- 1AE has a worse debt/assets ratio than last year.
2.2 Solvency
- 1AE has an Altman-Z score of 29.75. This indicates that 1AE is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 29.75, 1AE belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
- The Debt to FCF ratio of 1AE is 0.14, which is an excellent value as it means it would take 1AE, only 0.14 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 0.14, 1AE belongs to the best of the industry, outperforming 92.05% of the companies in the same industry.
- 1AE has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
- 1AE's Debt to Equity ratio of 0.01 is amongst the best of the industry. 1AE outperforms 84.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.14 | ||
| Altman-Z | 29.75 |
ROIC/WACC0.72
WACC7.43%
2.3 Liquidity
- 1AE has a Current Ratio of 5.60. This indicates that 1AE is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 5.60, 1AE belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- A Quick Ratio of 5.27 indicates that 1AE has no problem at all paying its short term obligations.
- The Quick ratio of 1AE (5.27) is better than 82.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.6 | ||
| Quick Ratio | 5.27 |
3. Growth
3.1 Past
- 1AE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1512.50%, which is quite impressive.
- 1AE shows a strong growth in Revenue. In the last year, the Revenue has grown by 64.71%.
- Measured over the past years, 1AE shows a very strong growth in Revenue. The Revenue has been growing by 94.61% on average per year.
EPS 1Y (TTM)1512.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%272.66%
Revenue 1Y (TTM)64.71%
Revenue growth 3Y63.92%
Revenue growth 5Y94.61%
Sales Q2Q%100.85%
3.2 Future
- Based on estimates for the next years, 1AE will show a very strong growth in Earnings Per Share. The EPS will grow by 105.80% on average per year.
- Based on estimates for the next years, 1AE will show a very strong growth in Revenue. The Revenue will grow by 35.42% on average per year.
EPS Next Y934.93%
EPS Next 2Y316.29%
EPS Next 3Y180.77%
EPS Next 5Y105.8%
Revenue Next Year95.19%
Revenue Next 2Y63.47%
Revenue Next 3Y48.27%
Revenue Next 5Y35.42%
3.3 Evolution
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 66.23, the valuation of 1AE can be described as expensive.
- 76.14% of the companies in the same industry are more expensive than 1AE, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of 1AE to the average of the S&P500 Index (27.21), we can say 1AE is valued expensively.
- With a Price/Forward Earnings ratio of 27.47, 1AE can be considered very expensive at the moment.
- 1AE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1AE is cheaper than 79.55% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, 1AE is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.23 | ||
| Fwd PE | 27.47 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1AE indicates a somewhat cheap valuation: 1AE is cheaper than 72.73% of the companies listed in the same industry.
- 1AE's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1AE is cheaper than 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 165.09 | ||
| EV/EBITDA | 92.55 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- 1AE's earnings are expected to grow with 180.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.07
PEG (5Y)N/A
EPS Next 2Y316.29%
EPS Next 3Y180.77%
5. Dividend
5.1 Amount
- No dividends for 1AE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ARGENX SE / 1AE.DE FAQ
What is the ChartMill fundamental rating of ARGENX SE (1AE.DE) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1AE.DE.
Can you provide the valuation status for ARGENX SE?
ChartMill assigns a valuation rating of 5 / 10 to ARGENX SE (1AE.DE). This can be considered as Fairly Valued.
How profitable is ARGENX SE (1AE.DE) stock?
ARGENX SE (1AE.DE) has a profitability rating of 5 / 10.
Can you provide the financial health for 1AE stock?
The financial health rating of ARGENX SE (1AE.DE) is 8 / 10.
Can you provide the expected EPS growth for 1AE stock?
The Earnings per Share (EPS) of ARGENX SE (1AE.DE) is expected to grow by 934.93% in the next year.