We've been asking ourselves recently if the market has placed a fair valuation on Genmab A/S ADS. Let's dive into some of the fundamental values of this Large-Cap Health Care company to determine if there might be an opportunity here for value-minded investors.
Genmab A/S ADS Is Potentially Undervalued and Its Shares Are on Sale:
Genmab A/S, a biotechnology company, develops antibody-based products and product candidates for the treatment of cancer and other diseases in Denmark. The company belongs to the Health Care sector, which has an average price to earnings (P/E) ratio of 22.94 and an average price to book (P/B) ratio of 3.19. In contrast, Genmab A/S ADS has a trailing 12 month P/E ratio of 12.6 and a P/B ratio of 0.26.
Genmab A/S ADS has moved -17.3% over the last year compared to 10.5% for the S&P 500 — a difference of -27.8%. Genmab A/S ADS has a 52 week high of $28.56 and a 52 week low of $17.23.
Exceptional EPS Growth and an Excellent Current Ratio:
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $5,366 | $10,111 | $8,417 | $14,505 | $16,474 | $21,526 |
| Operating Margins | 49% | 62% | 35% | 43% | 32% | 31% |
| Net Margins | 40% | 47% | 35% | 38% | 26% | 36% |
| Net Income (M) | $2,166 | $4,758 | $2,957 | $5,452 | $4,352 | $7,844 |
| Net Interest Expense (M) | $221 | -$409 | $965 | $678 | $316 | $2,461 |
| Earnings Per Share | $34.03 | $72.21 | $44.77 | $82.59 | $66.02 | $121.36 |
| EPS Growth | n/a | 112.2% | -38.0% | 84.48% | -20.06% | 83.82% |
| Free Cash Flow (M) | $1,326 | $6,433 | $2,228 | $3,912 | $7,380 | $7,771 |
| Current Ratio | 14.88 | 15.0 | 14.44 | 15.48 | 13.34 | 5.25 |
Genmab A/S ADS has exceptional EPS growth, generally positive cash flows, and an excellent current ratio of 5.25. Furthermore, Genmab A/S ADS has decent operating margins with a negative growth trend.
