BIOMARIN PHARMACEUTICAL INC (BMRN) Stock Fundamental Analysis
NASDAQ:BMRN - Nasdaq - US09061G1013 - Common Stock - Currency: USD
BMRN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 549 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making BMRN a very profitable company, without any liquidiy or solvency issues. BMRN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make BMRN suitable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year BMRN was profitable.
BMRN had a positive operating cash flow in the past year.
BMRN had positive earnings in 4 of the past 5 years.
BMRN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BMRN's Return On Assets of 8.81% is amongst the best of the industry. BMRN outperforms 93.26% of its industry peers.
BMRN's Return On Equity of 10.90% is amongst the best of the industry. BMRN outperforms 93.62% of its industry peers.
BMRN has a better Return On Invested Capital (10.27%) than 94.54% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BMRN is significantly below the industry average of 16.16%.
The last Return On Invested Capital (10.27%) for BMRN is above the 3 year average (3.73%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.81% | ||
| ROE | 10.9% | ||
| ROIC | 10.27% |
ROA(3y)3.59%
ROA(5y)4.88%
ROE(3y)4.67%
ROE(5y)6.69%
ROIC(3y)3.73%
ROIC(5y)N/A
1.3 Margins
BMRN has a better Profit Margin (21.45%) than 94.90% of its industry peers.
With an excellent Operating Margin value of 27.07%, BMRN belongs to the best of the industry, outperforming 96.36% of the companies in the same industry.
BMRN has a Gross Margin of 79.56%. This is amongst the best in the industry. BMRN outperforms 85.25% of its industry peers.
BMRN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.07% | ||
| PM (TTM) | 21.45% | ||
| GM | 79.56% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.25%
GM growth 5Y0.19%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BMRN is creating some value.
The number of shares outstanding for BMRN has been increased compared to 1 year ago.
BMRN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BMRN has been reduced compared to a year ago.
2.2 Solvency
BMRN has an Altman-Z score of 5.95. This indicates that BMRN is financially healthy and has little risk of bankruptcy at the moment.
BMRN's Altman-Z score of 5.95 is fine compared to the rest of the industry. BMRN outperforms 79.23% of its industry peers.
The Debt to FCF ratio of BMRN is 0.86, which is an excellent value as it means it would take BMRN, only 0.86 years of fcf income to pay off all of its debts.
BMRN has a better Debt to FCF ratio (0.86) than 94.90% of its industry peers.
BMRN has a Debt/Equity ratio of 0.10. This is a healthy value indicating a solid balance between debt and equity.
BMRN has a Debt to Equity ratio of 0.10. This is in the lower half of the industry: BMRN underperforms 64.12% of its industry peers.
Although BMRN does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.86 | ||
| Altman-Z | 5.95 |
ROIC/WACC1.09
WACC9.4%
2.3 Liquidity
BMRN has a Current Ratio of 5.56. This indicates that BMRN is financially healthy and has no problem in meeting its short term obligations.
BMRN has a Current ratio of 5.56. This is comparable to the rest of the industry: BMRN outperforms 59.20% of its industry peers.
A Quick Ratio of 3.60 indicates that BMRN has no problem at all paying its short term obligations.
BMRN has a Quick ratio (3.60) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.56 | ||
| Quick Ratio | 3.6 |
3. Growth
3.1 Past
BMRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 139.01%, which is quite impressive.
Looking at the last year, BMRN shows a quite strong growth in Revenue. The Revenue has grown by 18.36% in the last year.
BMRN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.86% yearly.
EPS 1Y (TTM)139.01%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%119.64%
Revenue 1Y (TTM)18.36%
Revenue growth 3Y15.62%
Revenue growth 5Y10.86%
Sales Q2Q%15.92%
3.2 Future
Based on estimates for the next years, BMRN will show a very strong growth in Earnings Per Share. The EPS will grow by 28.47% on average per year.
BMRN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.65% yearly.
EPS Next Y59.3%
EPS Next 2Y41.07%
EPS Next 3Y33.34%
EPS Next 5Y28.47%
Revenue Next Year11.47%
Revenue Next 2Y10.74%
Revenue Next 3Y10.01%
Revenue Next 5Y7.65%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.04, the valuation of BMRN can be described as rather expensive.
Based on the Price/Earnings ratio, BMRN is valued cheaply inside the industry as 94.72% of the companies are valued more expensively.
BMRN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.06, which indicates a correct valuation of BMRN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BMRN indicates a rather cheap valuation: BMRN is cheaper than 95.63% of the companies listed in the same industry.
BMRN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.24.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.04 | ||
| Fwd PE | 13.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BMRN is valued cheaply inside the industry as 96.90% of the companies are valued more expensively.
95.63% of the companies in the same industry are more expensive than BMRN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.94 | ||
| EV/EBITDA | 10.91 |
4.3 Compensation for Growth
BMRN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BMRN has a very decent profitability rating, which may justify a higher PE ratio.
BMRN's earnings are expected to grow with 33.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.29
PEG (5Y)N/A
EPS Next 2Y41.07%
EPS Next 3Y33.34%
5. Dividend
5.1 Amount
BMRN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
57.44
-0.1 (-0.17%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners99.84%
Inst Owner Change-0.36%
Ins Owners0.66%
Ins Owner Change9%
Market Cap11.02B
Analysts82.86
Price Target97.7 (70.09%)
Short Float %2.71%
Short Ratio2.29
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)37.96%
Min EPS beat(2)31.48%
Max EPS beat(2)44.44%
EPS beat(4)4
Avg EPS beat(4)24.64%
Min EPS beat(4)4.22%
Max EPS beat(4)44.44%
EPS beat(8)6
Avg EPS beat(8)18.75%
EPS beat(12)9
Avg EPS beat(12)-3.48%
EPS beat(16)13
Avg EPS beat(16)0.88%
Revenue beat(2)1
Avg Revenue beat(2)2.55%
Min Revenue beat(2)-1.37%
Max Revenue beat(2)6.48%
Revenue beat(4)3
Avg Revenue beat(4)3.05%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)6.48%
Revenue beat(8)4
Avg Revenue beat(8)1.05%
Revenue beat(12)5
Avg Revenue beat(12)0.21%
Revenue beat(16)7
Avg Revenue beat(16)-0.31%
PT rev (1m)-0.16%
PT rev (3m)-0.28%
EPS NQ rev (1m)-28.94%
EPS NQ rev (3m)-24.34%
EPS NY rev (1m)0%
EPS NY rev (3m)1.85%
Revenue NQ rev (1m)-1.36%
Revenue NQ rev (3m)-0.64%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.04 | ||
| Fwd PE | 13.06 | ||
| P/S | 3.6 | ||
| P/FCF | 15.94 | ||
| P/OCF | 14.37 | ||
| P/B | 1.83 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 10.91 |
EPS(TTM)3.37
EY5.87%
EPS(NY)4.4
Fwd EY7.66%
FCF(TTM)3.6
FCFY6.27%
OCF(TTM)4
OCFY6.96%
SpS15.97
BVpS31.43
TBVpS29.15
PEG (NY)0.29
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.81% | ||
| ROE | 10.9% | ||
| ROCE | 12.25% | ||
| ROIC | 10.27% | ||
| ROICexc | 13.02% | ||
| ROICexgc | 14.18% | ||
| OM | 27.07% | ||
| PM (TTM) | 21.45% | ||
| GM | 79.56% | ||
| FCFM | 22.56% |
ROA(3y)3.59%
ROA(5y)4.88%
ROE(3y)4.67%
ROE(5y)6.69%
ROIC(3y)3.73%
ROIC(5y)N/A
ROICexc(3y)4.34%
ROICexc(5y)N/A
ROICexgc(3y)4.77%
ROICexgc(5y)N/A
ROCE(3y)4.44%
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 3Y2.25%
GM growth 5Y0.19%
F-Score7
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.86 | ||
| Debt/EBITDA | 0.65 | ||
| Cap/Depr | 90.83% | ||
| Cap/Sales | 2.47% | ||
| Interest Coverage | 93.49 | ||
| Cash Conversion | 84.01% | ||
| Profit Quality | 105.16% | ||
| Current Ratio | 5.56 | ||
| Quick Ratio | 3.6 | ||
| Altman-Z | 5.95 |
F-Score7
WACC9.4%
ROIC/WACC1.09
Cap/Depr(3y)111.01%
Cap/Depr(5y)114.82%
Cap/Sales(3y)4.71%
Cap/Sales(5y)5.6%
Profit Quality(3y)57.85%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)139.01%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%119.64%
EPS Next Y59.3%
EPS Next 2Y41.07%
EPS Next 3Y33.34%
EPS Next 5Y28.47%
Revenue 1Y (TTM)18.36%
Revenue growth 3Y15.62%
Revenue growth 5Y10.86%
Sales Q2Q%15.92%
Revenue Next Year11.47%
Revenue Next 2Y10.74%
Revenue Next 3Y10.01%
Revenue Next 5Y7.65%
EBIT growth 1Y198.51%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year99.59%
EBIT Next 3Y41.32%
EBIT Next 5Y23.56%
FCF growth 1Y1589.89%
FCF growth 3Y36.9%
FCF growth 5YN/A
OCF growth 1Y375.67%
OCF growth 3Y23.45%
OCF growth 5Y63.99%