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 550 industry peers in the Biotechnology industry. BIIB scores excellent on profitability, but there are some minor concerns on its financial health. BIIB is cheap, but on the other hand it scores bad on growth. These ratings could make BIIB a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year BIIB was profitable.
BIIB had a positive operating cash flow in the past year.
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
Looking at the Return On Assets, with a value of 5.40%, BIIB belongs to the top of the industry, outperforming 91.82% of the companies in the same industry.
The Return On Equity of BIIB (8.68%) is better than 92.91% of its industry peers.
The Return On Invested Capital of BIIB (9.52%) is better than 94.91% of its industry peers.
BIIB had an Average Return On Invested Capital over the past 3 years of 10.57%. This is below the industry average of 15.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 8.68% | ||
| ROIC | 9.52% |
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
The Profit Margin of BIIB (15.31%) is better than 93.64% of its industry peers.
BIIB's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 27.35%, BIIB belongs to the best of the industry, outperforming 96.91% of the companies in the same industry.
BIIB's Operating Margin has declined in the last couple of years.
BIIB has a better Gross Margin (75.43%) than 83.27% of its industry peers.
In the last couple of years the Gross Margin of BIIB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.35% | ||
| PM (TTM) | 15.31% | ||
| GM | 75.43% |
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
Compared to 5 years ago, BIIB has less shares outstanding
Compared to 1 year ago, BIIB has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.98 indicates that BIIB is not a great score, but indicates only limited risk for bankruptcy at the moment.
BIIB has a better Altman-Z score (2.98) than 72.36% of its industry peers.
The Debt to FCF ratio of BIIB is 3.40, which is a good value as it means it would take BIIB, 3.40 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.40, BIIB belongs to the top of the industry, outperforming 93.82% of the companies in the same industry.
BIIB has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.36, BIIB is doing worse than 72.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 3.4 | ||
| Altman-Z | 2.98 |
ROIC/WACC1.02
WACC9.37%
2.3 Liquidity
BIIB has a Current Ratio of 2.50. This indicates that BIIB is financially healthy and has no problem in meeting its short term obligations.
BIIB has a worse Current ratio (2.50) than 70.18% of its industry peers.
BIIB has a Quick Ratio of 1.79. This is a normal value and indicates that BIIB is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.79, BIIB is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.79 |
3. Growth
3.1 Past
The earnings per share for BIIB have decreased by -3.61% in the last year.
The earnings per share for BIIB have been decreasing by -13.31% on average. This is quite bad
The Revenue has been growing slightly by 3.36% in the past year.
The Revenue has been decreasing by -7.62% on average over the past years.
EPS 1Y (TTM)-3.61%
EPS 3Y-4.95%
EPS 5Y-13.31%
EPS Q2Q%3.6%
Revenue 1Y (TTM)3.36%
Revenue growth 3Y-4.13%
Revenue growth 5Y-7.62%
Sales Q2Q%7.33%
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.
The Revenue is expected to decrease by -0.48% on average over the next years.
EPS Next Y-7.3%
EPS Next 2Y-2.23%
EPS Next 3Y0.32%
EPS Next 5Y1.48%
Revenue Next Year-3.89%
Revenue Next 2Y-2.99%
Revenue Next 3Y-1.68%
Revenue Next 5Y-0.48%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.44 indicates a reasonable valuation of BIIB.
BIIB's Price/Earnings ratio is rather cheap when compared to the industry. BIIB is cheaper than 97.09% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.11, BIIB is valued rather cheaply.
The Price/Forward Earnings ratio is 8.59, which indicates a very decent valuation of BIIB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BIIB indicates a rather cheap valuation: BIIB is cheaper than 98.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.78, BIIB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.44 | ||
| Fwd PE | 8.59 |
4.2 Price Multiples
BIIB's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BIIB is cheaper than 98.00% of the companies in the same industry.
BIIB's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BIIB is cheaper than 97.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.73 | ||
| EV/EBITDA | 6.71 |
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-2.23%
EPS Next 3Y0.32%
5. Dividend
5.1 Amount
No dividends for BIIB!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
135.19
+6.26 (+4.86%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners92.67%
Inst Owner Change-0.9%
Ins Owners0.14%
Ins Owner Change1.85%
Market Cap19.81B
Analysts72.09
Price Target172.86 (27.86%)
Short Float %2.66%
Short Ratio2.8
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)28.1%
Min EPS beat(2)17.28%
Max EPS beat(2)38.92%
EPS beat(4)4
Avg EPS beat(4)15.59%
Min EPS beat(4)0.67%
Max EPS beat(4)38.92%
EPS beat(8)8
Avg EPS beat(8)13.06%
EPS beat(12)12
Avg EPS beat(12)11.49%
EPS beat(16)14
Avg EPS beat(16)10.96%
Revenue beat(2)2
Avg Revenue beat(2)9.15%
Min Revenue beat(2)6.67%
Max Revenue beat(2)11.62%
Revenue beat(4)3
Avg Revenue beat(4)4.43%
Min Revenue beat(4)-0.68%
Max Revenue beat(4)11.62%
Revenue beat(8)5
Avg Revenue beat(8)1.84%
Revenue beat(12)8
Avg Revenue beat(12)1.78%
Revenue beat(16)11
Avg Revenue beat(16)1.73%
PT rev (1m)-0.28%
PT rev (3m)-1.28%
EPS NQ rev (1m)-2.6%
EPS NQ rev (3m)-4.54%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.08%
Revenue NQ rev (1m)2.33%
Revenue NQ rev (3m)1.5%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.44 | ||
| Fwd PE | 8.59 | ||
| P/S | 1.98 | ||
| P/FCF | 10.73 | ||
| P/OCF | 9.36 | ||
| P/B | 1.12 | ||
| P/tB | 11.84 | ||
| EV/EBITDA | 6.71 |
EPS(TTM)16.01
EY11.84%
EPS(NY)15.74
Fwd EY11.65%
FCF(TTM)12.6
FCFY9.32%
OCF(TTM)14.45
OCFY10.69%
SpS68.22
BVpS120.34
TBVpS11.42
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.4% | ||
| ROE | 8.68% | ||
| ROCE | 10.87% | ||
| ROIC | 9.52% | ||
| ROICexc | 10.7% | ||
| ROICexgc | 37.26% | ||
| OM | 27.35% | ||
| PM (TTM) | 15.31% | ||
| GM | 75.43% | ||
| FCFM | 18.47% |
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 | 0.36 | ||
| Debt/FCF | 3.4 | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 36.28% | ||
| Cap/Sales | 2.7% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.86% | ||
| Profit Quality | 120.66% | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.79 | ||
| Altman-Z | 2.98 |
F-Score6
WACC9.37%
ROIC/WACC1.02
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)-3.61%
EPS 3Y-4.95%
EPS 5Y-13.31%
EPS Q2Q%3.6%
EPS Next Y-7.3%
EPS Next 2Y-2.23%
EPS Next 3Y0.32%
EPS Next 5Y1.48%
Revenue 1Y (TTM)3.36%
Revenue growth 3Y-4.13%
Revenue growth 5Y-7.62%
Sales Q2Q%7.33%
Revenue Next Year-3.89%
Revenue Next 2Y-2.99%
Revenue Next 3Y-1.68%
Revenue Next 5Y-0.48%
EBIT growth 1Y23.31%
EBIT growth 3Y-8.8%
EBIT growth 5Y-18.9%
EBIT Next Year9.29%
EBIT Next 3Y4.38%
EBIT Next 5Y5.34%
FCF growth 1Y64.41%
FCF growth 3Y-9.06%
FCF growth 5Y-17.06%
OCF growth 1Y48.2%
OCF growth 3Y-7.56%
OCF growth 5Y-16.49%