Now trading at a price of $21.6, Exelixis has moved 0.5% so far today.
Exelixis returned gains of 39.0% last year, with its stock price reaching a high of $22.8 and a low of $14.87. Over the same period, the stock outperformed the S&P 500 index by 17.0%. More recently, the company's 50-day average price was $21.6. Exelixis, Inc., an oncology-focused biotechnology company, focuses on the discovery, development, and commercialization of new medicines to treat cancers in the United States. Based in Alameda, CA, the mid-cap Health Care company has 1,223 full time employees. Exelixis has not offered a dividend during the last year.
An Exceptionally Strong Balance Sheet:
| 2018-02-26 | 2019-02-22 | 2020-02-25 | 2021-02-11 | 2022-02-18 | 2023-02-07 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $452 | $854 | $968 | $988 | $1,435 | $1,611 |
| Operating Margins | 37% | 51% | 38% | 11% | 20% | 13% |
| Net Margins | 34.0% | 81.0% | 33.0% | 11.0% | 16.0% | 11.0% |
| Net Income (MM) | $154 | $690 | $321 | $112 | $231 | $182 |
| Net Interest Expense (MM) | -$9 | $13 | $28 | $20 | $8 | $33 |
| Depreciation & Amort. (MM) | -$1 | -$5 | -$8 | -$9 | -$14 | -$21 |
| Earnings Per Share | $0.49 | $2.21 | $1.02 | $0.35 | $0.72 | $0.56 |
| EPS Growth | n/a | 351.02% | -53.85% | -65.69% | 105.71% | -22.22% |
| Diluted Shares (MM) | 312 | 313 | 315 | 318 | 322 | 325 |
| Free Cash Flow (MM) | $187 | $449 | $540 | $239 | $455 | $390 |
| Capital Expenditures (MM) | -$21 | -$33 | -$13 | -$30 | -$54 | -$28 |
| Net Current Assets (MM) | $115 | $762 | $811 | n/a | n/a | n/a |
Exelixis has an excellent current ratio, decent operating margins with a negative growth trend, and positive EPS growth. Furthermore, Exelixis has weak revenue growth and a flat capital expenditure trend and irregular cash flows.
A Lower P/B Ratio Than Its Sector Average but Trades Above Its Graham Number:
Exelixis has a trailing twelve month P/E ratio of 42.4, compared to an average of 24.45 for the Health Care sector. Based on its EPS guidance of $0.93, the company has a forward P/E ratio of 23.2. The company doesn't issue forward earnings guidance, and the compound average growth rate of its last 6 years of reported EPS is 0.7%. On this basis, the company's PEG ratio is 63.3, which suggests that it is overpriced. In contrast, the market is likely undervaluing Exelixis in terms of its equity because its P/B ratio is 2.74 while the sector average is 4.16. The company's shares are currently trading 119.7% above their Graham number.
Exelixis Has an Average Rating of Buy:
The 17 analysts following Exelixis have set target prices ranging from $18.0 to $32.0 per share, for an average of $25.65 with a buy rating. As of April 2023, the company is trading -15.8% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Exelixis has an average amount of shares sold short because 3.0% of the company's shares are sold short. Institutions own 89.0% of the company's shares, and the insider ownership rate stands at 1.97%, suggesting a small amount of insider investors. The largest shareholder is Blackrock Inc., whose 11% stake in the company is worth $764,366,190.
