BIOGEN INC (BIIB) Stock Fundamental Analysis
NASDAQ:BIIB - Nasdaq - US09062X1037 - Common Stock - Currency: USD
Overall BIIB gets a fundamental rating of 5 out of 10. We evaluated BIIB against 561 industry peers in the Biotechnology industry. BIIB has an excellent profitability rating, but there are some minor concerns on its financial health. BIIB has a bad growth rate and is valued cheaply. These ratings could make BIIB a good candidate for value investing.
1. Profitability
1.1 Basic Checks
BIIB had positive earnings in the past year.
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
The Return On Assets of BIIB (5.28%) is better than 92.69% of its industry peers.
BIIB has a better Return On Equity (8.71%) than 93.58% of its industry peers.
BIIB has a better Return On Invested Capital (9.95%) than 95.01% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BIIB is significantly below the industry average of 15.87%.
| 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
With an excellent Profit Margin value of 15.07%, BIIB belongs to the best of the industry, outperforming 94.30% of the companies in the same industry.
BIIB's Profit Margin has declined in the last couple of years.
BIIB has a better Operating Margin (26.30%) than 96.61% of its industry peers.
In the last couple of years the Operating Margin of BIIB has declined.
BIIB has a Gross Margin of 75.58%. This is amongst the best in the industry. BIIB outperforms 82.71% of its industry peers.
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
BIIB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BIIB has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.76 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 (2.76) than 74.69% of its industry peers.
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.
Looking at the Debt to FCF ratio, with a value of 2.74, BIIB belongs to the top of the industry, outperforming 94.30% of the companies in the same industry.
BIIB has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.27, BIIB is doing worse than 71.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.74 | ||
| Altman-Z | 2.76 |
ROIC/WACC1.06
WACC9.42%
2.3 Liquidity
A Current Ratio of 1.44 indicates that BIIB should not have too much problems paying its short term obligations.
BIIB has a Current ratio of 1.44. This is amonst the worse of the industry: BIIB underperforms 83.07% of its industry peers.
BIIB has a Quick Ratio of 1.01. This is a normal value and indicates that BIIB is financially healthy and should not expect problems in meeting its short term obligations.
BIIB has a Quick ratio of 1.01. This is amonst the worse of the industry: BIIB underperforms 88.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.06% over the past 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 1.59% in the past year.
BIIB shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -7.62% yearly.
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 1.94% yearly.
BIIB is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.29% yearly.
EPS Next Y-7.16%
EPS Next 2Y-2.11%
EPS Next 3Y0.35%
EPS Next 5Y1.94%
Revenue Next Year-3.85%
Revenue Next 2Y-2.85%
Revenue Next 3Y-1.54%
Revenue Next 5Y-0.29%
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
The Price/Earnings ratio is 8.25, which indicates a very decent valuation of BIIB.
97.86% of the companies in the same industry are more expensive than BIIB, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.60, BIIB is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.27, the valuation of BIIB can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BIIB indicates a rather cheap valuation: BIIB is cheaper than 96.97% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.43, BIIB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.25 | ||
| Fwd PE | 8.27 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BIIB indicates a rather cheap valuation: BIIB is cheaper than 98.22% of the companies listed in the same industry.
BIIB's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BIIB is cheaper than 98.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.33 | ||
| EV/EBITDA | 6.89 |
4.3 Compensation for Growth
The decent profitability rating of BIIB may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.11%
EPS Next 3Y0.35%
5. Dividend
5.1 Amount
BIIB does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
130.55
+1.11 (+0.86%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners94.24%
Inst Owner Change-1.61%
Ins Owners0.12%
Ins Owner Change4.76%
Market Cap19.13B
Analysts72.56
Price Target175.1 (34.12%)
Short Float %2.19%
Short Ratio1.79
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)-12.77%
PT rev (3m)-24.68%
EPS NQ rev (1m)-0.51%
EPS NQ rev (3m)-0.46%
EPS NY rev (1m)-4.93%
EPS NY rev (3m)-5.93%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-0.34%
Revenue NY rev (1m)0.5%
Revenue NY rev (3m)-1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.25 | ||
| Fwd PE | 8.27 | ||
| P/S | 1.95 | ||
| P/FCF | 8.33 | ||
| P/OCF | 7.41 | ||
| P/B | 1.13 | ||
| P/tB | 20.86 | ||
| EV/EBITDA | 6.89 |
EPS(TTM)15.82
EY12.12%
EPS(NY)15.78
Fwd EY12.09%
FCF(TTM)15.67
FCFY12%
OCF(TTM)17.62
OCFY13.5%
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 | 2.76 |
F-Score6
WACC9.42%
ROIC/WACC1.06
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-7.16%
EPS Next 2Y-2.11%
EPS Next 3Y0.35%
EPS Next 5Y1.94%
Revenue 1Y (TTM)1.59%
Revenue growth 3Y-4.13%
Revenue growth 5Y-7.62%
Sales Q2Q%6.13%
Revenue Next Year-3.85%
Revenue Next 2Y-2.85%
Revenue Next 3Y-1.54%
Revenue Next 5Y-0.29%
EBIT growth 1Y21.69%
EBIT growth 3Y-8.8%
EBIT growth 5Y-18.9%
EBIT Next Year14.01%
EBIT Next 3Y5.48%
EBIT Next 5Y5.69%
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%