ARGENX SE - ADR (ARGX) Stock Fundamental Analysis
NASDAQ:ARGX - US04016X1019 - ADR
763.52 USD
+0.63 (+0.08%)
763.52 USD
0 (0%)
Taking everything into account, ARGX scores 6 out of 10 in our fundamental rating. ARGX was compared to 541 industry peers in the Biotechnology industry. While ARGX has a great health rating, its profitability is only average at the moment. ARGX is growing strongly while it is still valued neutral. This is a good combination! These ratings could make ARGX a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year ARGX was profitable.
ARGX had a positive operating cash flow in the past year.
In the past 5 years ARGX reported 4 times negative net income.
In the past 5 years ARGX always reported negative operating cash flow.
1.2 Ratios
ARGX has a better Return On Assets (17.84%) than 96.30% of its industry peers.
With an excellent Return On Equity value of 21.00%, ARGX belongs to the best of the industry, outperforming 95.56% of the companies in the same industry.
The Return On Invested Capital of ARGX (6.01%) is better than 92.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.84% | ||
| ROE | 21% | ||
| ROIC | 6.01% |
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
ARGX has a Profit Margin of 41.97%. This is amongst the best in the industry. ARGX outperforms 98.34% of its industry peers.
Looking at the Operating Margin, with a value of 15.30%, ARGX belongs to the top of the industry, outperforming 93.72% of the companies in the same industry.
ARGX's Gross Margin of 89.40% is amongst the best of the industry. ARGX outperforms 91.31% 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
ARGX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ARGX has more shares outstanding
ARGX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ARGX is higher compared to a year ago.
2.2 Solvency
ARGX has an Altman-Z score of 27.39. This indicates that ARGX is financially healthy and has little risk of bankruptcy at the moment.
ARGX's Altman-Z score of 27.39 is amongst the best of the industry. ARGX outperforms 95.19% of its industry peers.
ARGX has a debt to FCF ratio of 0.14. This is a very positive value and a sign of high solvency as it would only need 0.14 years to pay back of all of its debts.
ARGX has a better Debt to FCF ratio (0.14) than 96.30% of its industry peers.
ARGX has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
ARGX has a Debt to Equity ratio (0.01) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.14 | ||
| Altman-Z | 27.39 |
ROIC/WACC0.81
WACC7.39%
2.3 Liquidity
A Current Ratio of 5.60 indicates that ARGX has no problem at all paying its short term obligations.
ARGX has a better Current ratio (5.60) than 60.07% of its industry peers.
ARGX has a Quick Ratio of 5.27. This indicates that ARGX is financially healthy and has no problem in meeting its short term obligations.
ARGX has a Quick ratio (5.27) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.6 | ||
| Quick Ratio | 5.27 |
3. Growth
3.1 Past
ARGX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 345.45%, which is quite impressive.
Looking at the last year, ARGX shows a very strong growth in Revenue. The Revenue has grown by 56.80%.
The Revenue has been growing by 94.61% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)345.45%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%731.11%
Revenue 1Y (TTM)56.8%
Revenue growth 3Y63.92%
Revenue growth 5Y94.61%
Sales Q2Q%97.62%
3.2 Future
The Earnings Per Share is expected to grow by 102.06% on average over the next years. This is a very strong growth
ARGX is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 32.48% yearly.
EPS Next Y754%
EPS Next 2Y269.03%
EPS Next 3Y162.09%
EPS Next 5Y102.06%
Revenue Next Year81.09%
Revenue Next 2Y53.73%
Revenue Next 3Y42.43%
Revenue Next 5Y32.48%
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
The Price/Earnings ratio is 82.36, which means the current valuation is very expensive for ARGX.
Based on the Price/Earnings ratio, ARGX is valued cheaply inside the industry as 90.76% of the companies are valued more expensively.
ARGX's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.43.
With a Price/Forward Earnings ratio of 30.22, ARGX can be considered very expensive at the moment.
90.76% of the companies in the same industry are more expensive than ARGX, based on the Price/Forward Earnings ratio.
ARGX is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 82.36 | ||
| Fwd PE | 30.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ARGX is valued cheaply inside the industry as 89.83% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ARGX is valued cheaper than 91.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 151.36 | ||
| EV/EBITDA | 83.88 |
4.3 Compensation for Growth
ARGX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ARGX's earnings are expected to grow with 162.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y269.03%
EPS Next 3Y162.09%
5. Dividend
5.1 Amount
No dividends for ARGX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
763.52
+0.63 (+0.08%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners39.98%
Inst Owner Change-19%
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap46.73B
Analysts85.6
Price Target831.9 (8.96%)
Short Float %2.95%
Short Ratio4.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/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)15.16%
Min EPS beat(2)7.11%
Max EPS beat(2)23.2%
EPS beat(4)3
Avg EPS beat(4)3962.36%
Min EPS beat(4)-38.07%
Max EPS beat(4)15857.2%
EPS beat(8)5
Avg EPS beat(8)1996.71%
EPS beat(12)8
Avg EPS beat(12)1343.38%
EPS beat(16)12
Avg EPS beat(16)1012.62%
Revenue beat(2)1
Avg Revenue beat(2)3.68%
Min Revenue beat(2)-0.81%
Max Revenue beat(2)8.17%
Revenue beat(4)3
Avg Revenue beat(4)5.02%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)8.17%
Revenue beat(8)6
Avg Revenue beat(8)5.96%
Revenue beat(12)10
Avg Revenue beat(12)14.45%
Revenue beat(16)13
Avg Revenue beat(16)17.87%
PT rev (1m)-0.32%
PT rev (3m)7.06%
EPS NQ rev (1m)5.92%
EPS NQ rev (3m)62.66%
EPS NY rev (1m)26.17%
EPS NY rev (3m)25.88%
Revenue NQ rev (1m)1.14%
Revenue NQ rev (3m)20.1%
Revenue NY rev (1m)7.8%
Revenue NY rev (3m)9.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 82.36 | ||
| Fwd PE | 30.22 | ||
| P/S | 15.32 | ||
| P/FCF | 151.36 | ||
| P/OCF | 115.73 | ||
| P/B | 7.67 | ||
| P/tB | 7.95 | ||
| EV/EBITDA | 83.88 |
EPS(TTM)9.27
EY1.21%
EPS(NY)25.27
Fwd EY3.31%
FCF(TTM)5.04
FCFY0.66%
OCF(TTM)6.6
OCFY0.86%
SpS49.85
BVpS99.6
TBVpS96.03
PEG (NY)0.11
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.84% | ||
| ROE | 21% | ||
| ROCE | 7.61% | ||
| ROIC | 6.01% | ||
| ROICexc | 16.72% | ||
| ROICexgc | 18.56% | ||
| OM | 15.3% | ||
| PM (TTM) | 41.97% | ||
| GM | 89.4% | ||
| FCFM | 10.12% |
ROA(3y)-5.23%
ROA(5y)-11.34%
ROE(3y)-5.76%
ROE(5y)-13.95%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.14 | ||
| Debt/EBITDA | 0.07 | ||
| Cap/Depr | 428.74% | ||
| Cap/Sales | 3.12% | ||
| Interest Coverage | 519.07 | ||
| Cash Conversion | 82.6% | ||
| Profit Quality | 24.11% | ||
| Current Ratio | 5.6 | ||
| Quick Ratio | 5.27 | ||
| Altman-Z | 27.39 |
F-Score5
WACC7.39%
ROIC/WACC0.81
Cap/Depr(3y)176.19%
Cap/Depr(5y)545.91%
Cap/Sales(3y)10.66%
Cap/Sales(5y)13.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)345.45%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%731.11%
EPS Next Y754%
EPS Next 2Y269.03%
EPS Next 3Y162.09%
EPS Next 5Y102.06%
Revenue 1Y (TTM)56.8%
Revenue growth 3Y63.92%
Revenue growth 5Y94.61%
Sales Q2Q%97.62%
Revenue Next Year81.09%
Revenue Next 2Y53.73%
Revenue Next 3Y42.43%
Revenue Next 5Y32.48%
EBIT growth 1Y207%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year1034.03%
EBIT Next 3Y192.38%
EBIT Next 5Y113.35%
FCF growth 1Y140.74%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y161.79%
OCF growth 3YN/A
OCF growth 5YN/A