BIOGEN INC (BIIB) Stock Fundamental Analysis
NASDAQ:BIIB - Nasdaq - US09062X1037 - Common Stock - Currency: USD
Taking everything into account, BIIB scores 5 out of 10 in our fundamental rating. BIIB was compared to 555 industry peers in the Biotechnology industry. While BIIB has a great profitability rating, there are some minor concerns on its financial health. BIIB is cheap, but on the other hand it scores bad on growth. These ratings would make BIIB suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year BIIB was profitable.
In the past year BIIB had a positive cash flow from operations.
Each year in the past 5 years BIIB has been profitable.
Each year in the past 5 years BIIB had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 5.28%, BIIB belongs to the best of the industry, outperforming 92.25% of the companies in the same industry.
BIIB has a Return On Equity of 8.71%. This is amongst the best in the industry. BIIB outperforms 93.69% of its industry peers.
With an excellent Return On Invested Capital value of 9.95%, BIIB belongs to the best of the industry, outperforming 95.32% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for BIIB is below the industry average of 14.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.28% | ||
| ROE | 8.71% | ||
| ROIC | 9.95% |
ROA(3y)7.52%
ROA(5y)9.06%
ROE(3y)13.45%
ROE(5y)18.41%
ROIC(3y)10.57%
ROIC(5y)13.65%
1.3 Margins
BIIB's Profit Margin of 15.07% is amongst the best of the industry. BIIB outperforms 93.87% of its industry peers.
In the last couple of years the Profit Margin of BIIB has declined.
The Operating Margin of BIIB (26.30%) is better than 97.12% of its industry peers.
BIIB's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 75.58%, BIIB belongs to the top of the industry, outperforming 83.24% of the companies in the same industry.
BIIB's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.3% | ||
| PM (TTM) | 15.07% | ||
| GM | 75.58% |
OM growth 3Y-4.87%
OM growth 5Y-12.22%
PM growth 3Y5.99%
PM growth 5Y-16.26%
GM growth 3Y-1.51%
GM growth 5Y-2.23%
2. Health
2.1 Basic Checks
BIIB has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, BIIB has more shares outstanding
The number of shares outstanding for BIIB has been reduced compared to 5 years ago.
Compared to 1 year ago, BIIB has an improved debt to assets ratio.
2.2 Solvency
BIIB has an Altman-Z score of 2.79. This is not the best score and indicates that BIIB is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.79, BIIB is doing good in the industry, outperforming 72.79% of the companies in the same industry.
The Debt to FCF ratio of BIIB is 2.74, which is a good value as it means it would take BIIB, 2.74 years of fcf income to pay off all of its debts.
BIIB's Debt to FCF ratio of 2.74 is amongst the best of the industry. BIIB outperforms 94.05% of its industry peers.
BIIB has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
BIIB's Debt to Equity ratio of 0.27 is on the low side compared to the rest of the industry. BIIB is outperformed by 71.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.74 | ||
| Altman-Z | 2.79 |
ROIC/WACC1.34
WACC7.43%
2.3 Liquidity
BIIB has a Current Ratio of 1.44. This is a normal value and indicates that BIIB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.44, BIIB is doing worse than 81.98% of the companies in the same industry.
A Quick Ratio of 1.01 indicates that BIIB should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.01, BIIB is doing worse than 87.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
BIIB shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.06%.
Measured over the past years, BIIB shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -13.31% on average per year.
Looking at the last year, BIIB shows a small growth in Revenue. The Revenue has grown by 1.59% in the last year.
Measured over the past years, BIIB shows a decrease in Revenue. The Revenue has been decreasing by -7.62% on average per year.
EPS 1Y (TTM)3.06%
EPS 3Y-4.95%
EPS 5Y-13.31%
EPS Q2Q%-17.71%
Revenue 1Y (TTM)1.59%
Revenue growth 3Y-4.13%
Revenue growth 5Y-7.62%
Sales Q2Q%6.13%
3.2 Future
BIIB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.48% yearly.
Based on estimates for the next years, BIIB will show a decrease in Revenue. The Revenue will decrease by -0.48% on average per year.
EPS Next Y-7.32%
EPS Next 2Y-2.24%
EPS Next 3Y0.31%
EPS Next 5Y1.48%
Revenue Next Year-3.8%
Revenue Next 2Y-2.86%
Revenue Next 3Y-1.51%
Revenue Next 5Y-0.48%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.42 indicates a reasonable valuation of BIIB.
Based on the Price/Earnings ratio, BIIB is valued cheaper than 97.66% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.28, BIIB is valued rather cheaply.
A Price/Forward Earnings ratio of 8.46 indicates a reasonable valuation of BIIB.
Based on the Price/Forward Earnings ratio, BIIB is valued cheaper than 97.30% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BIIB to the average of the S&P500 Index (21.76), we can say BIIB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.42 | ||
| Fwd PE | 8.46 |
4.2 Price Multiples
98.38% of the companies in the same industry are more expensive than BIIB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BIIB is valued cheaply inside the industry as 98.02% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.5 | ||
| EV/EBITDA | 7.05 |
4.3 Compensation for Growth
BIIB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.24%
EPS Next 3Y0.31%
5. Dividend
5.1 Amount
No dividends for BIIB!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
133.19
+3.12 (+2.4%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners92.86%
Inst Owner Change-1.63%
Ins Owners0.13%
Ins Owner Change7.57%
Market Cap19.52B
Analysts73.02
Price Target173.34 (30.14%)
Short Float %2.32%
Short Ratio2.2
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)8.97%
Min EPS beat(2)0.67%
Max EPS beat(2)17.28%
EPS beat(4)4
Avg EPS beat(4)13.01%
Min EPS beat(4)0.67%
Max EPS beat(4)28.61%
EPS beat(8)8
Avg EPS beat(8)8.78%
EPS beat(12)12
Avg EPS beat(12)10.47%
EPS beat(16)14
Avg EPS beat(16)9.94%
Revenue beat(2)2
Avg Revenue beat(2)3.39%
Min Revenue beat(2)0.11%
Max Revenue beat(2)6.67%
Revenue beat(4)3
Avg Revenue beat(4)1.89%
Min Revenue beat(4)-0.68%
Max Revenue beat(4)6.67%
Revenue beat(8)5
Avg Revenue beat(8)0.61%
Revenue beat(12)8
Avg Revenue beat(12)1.03%
Revenue beat(16)11
Avg Revenue beat(16)1.28%
PT rev (1m)-1.01%
PT rev (3m)-14.13%
EPS NQ rev (1m)-0.25%
EPS NQ rev (3m)-0.01%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)-5.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.13%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.42 | ||
| Fwd PE | 8.46 | ||
| P/S | 1.99 | ||
| P/FCF | 8.5 | ||
| P/OCF | 7.56 | ||
| P/B | 1.15 | ||
| P/tB | 21.28 | ||
| EV/EBITDA | 7.05 |
EPS(TTM)15.82
EY11.88%
EPS(NY)15.74
Fwd EY11.82%
FCF(TTM)15.67
FCFY11.76%
OCF(TTM)17.62
OCFY13.23%
SpS66.99
BVpS115.87
TBVpS6.26
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.28% | ||
| ROE | 8.71% | ||
| ROCE | 11.36% | ||
| ROIC | 9.95% | ||
| ROICexc | 11.23% | ||
| ROICexgc | 55.5% | ||
| OM | 26.3% | ||
| PM (TTM) | 15.07% | ||
| GM | 75.58% | ||
| FCFM | 23.39% |
ROA(3y)7.52%
ROA(5y)9.06%
ROE(3y)13.45%
ROE(5y)18.41%
ROIC(3y)10.57%
ROIC(5y)13.65%
ROICexc(3y)12.43%
ROICexc(5y)16.11%
ROICexgc(3y)38.35%
ROICexgc(5y)40.12%
ROCE(3y)12.07%
ROCE(5y)15.58%
ROICexcg growth 3Y14.15%
ROICexcg growth 5Y-5.35%
ROICexc growth 3Y-15.93%
ROICexc growth 5Y-20.8%
OM growth 3Y-4.87%
OM growth 5Y-12.22%
PM growth 3Y5.99%
PM growth 5Y-16.26%
GM growth 3Y-1.51%
GM growth 5Y-2.23%
F-Score6
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.74 | ||
| Debt/EBITDA | 1.38 | ||
| Cap/Depr | 40.34% | ||
| Cap/Sales | 2.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.44% | ||
| Profit Quality | 155.18% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 2.79 |
F-Score6
WACC7.43%
ROIC/WACC1.34
Cap/Depr(3y)54.43%
Cap/Depr(5y)68.89%
Cap/Sales(3y)3.09%
Cap/Sales(5y)3.21%
Profit Quality(3y)99.34%
Profit Quality(5y)120.98%
High Growth Momentum
Growth
EPS 1Y (TTM)3.06%
EPS 3Y-4.95%
EPS 5Y-13.31%
EPS Q2Q%-17.71%
EPS Next Y-7.32%
EPS Next 2Y-2.24%
EPS Next 3Y0.31%
EPS Next 5Y1.48%
Revenue 1Y (TTM)1.59%
Revenue growth 3Y-4.13%
Revenue growth 5Y-7.62%
Sales Q2Q%6.13%
Revenue Next Year-3.8%
Revenue Next 2Y-2.86%
Revenue Next 3Y-1.51%
Revenue Next 5Y-0.48%
EBIT growth 1Y21.69%
EBIT growth 3Y-8.8%
EBIT growth 5Y-18.9%
EBIT Next Year9.62%
EBIT Next 3Y4.45%
EBIT Next 5Y5.34%
FCF growth 1Y61.56%
FCF growth 3Y-9.06%
FCF growth 5Y-17.06%
OCF growth 1Y53.87%
OCF growth 3Y-7.56%
OCF growth 5Y-16.49%