Revolution Medicines, Inc.

DB:42Z Stock Report

Market Cap: €7.1b

Revolution Medicines Valuation

Is 42Z undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 42Z when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate 42Z's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 42Z's fair value for valuation analysis.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 42Z?

Key metric: As 42Z barely has revenue we use its Price-To-Book Ratio for relative valuation analysis.

The above table shows the Price to Book ratio for 42Z. This is calculated by dividing 42Z's market cap by their current book value.
What is 42Z's PB Ratio?
PB Ratio4.7x
BookUS$1.57b
Market CapUS$7.44b

Price to Book Ratio vs Peers

How does 42Z's PB Ratio compare to its peers?

The above table shows the PB ratio for 42Z vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PBEstimated GrowthMarket Cap
Peer Average3x
BIO3 Biotest
2x29.3%€1.4b
FYB Formycon
1.6x30.6%€928.8m
HPHA Heidelberg Pharma
2.9x-33.0%€103.5m
SRT3 Sartorius
5.6x35.2%€13.7b
42Z Revolution Medicines
4.7x7.2%€7.4b

Price-To-Book vs Peers: 42Z is expensive based on its Price-To-Book Ratio (4.7x) compared to the peer average (3x).

Price to Book Ratio vs Industry

How does 42Z's PB Ratio compare vs other companies in the DE Biotechs Industry?

3 CompaniesPrice / BookEstimated GrowthMarket Cap
V9Z Aceragen
0.1xn/aUS$3.12m
V9Z Aceragen
0.1xn/aUS$2.18m
O7P NeuBase Therapeutics
0.1xn/aUS$1.39m
No more companies available in this PB range
42Z 4.7xIndustry Avg. 2.3xNo. of Companies3PB00.61.21.82.43+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Book vs Industry: 42Z is expensive based on its Price-To-Book Ratio (4.7x) compared to the European Biotechs industry average (2.3x).

Price to Book Ratio vs Fair Ratio

What is 42Z's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

42Z PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio4.7x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate 42Z's Price-To-Book Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 42Z forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€43.00
€69.96
+62.7%
10.2%€83.38€59.42n/a14
Dec ’25€56.00
€66.64
+19.0%
9.5%€80.24€58.78n/a14
Nov ’25€49.00
€58.10
+18.6%
13.0%€75.96€50.03n/a14
Oct ’25€40.40
€53.42
+32.2%
10.1%€65.38€48.36n/a14
Sep ’25€37.40
€54.23
+45.0%
10.4%€66.86€49.46n/a14
Aug ’25€41.80
€54.66
+30.8%
10.2%€67.06€49.60n/a14
Jul ’25€36.00
€42.00
+16.7%
6.3%€46.41€37.13n/a12
Jun ’25€35.20
€42.00
+19.3%
6.3%€46.41€37.13n/a12
May ’25€34.40
€38.89
+13.1%
9.0%€44.85€31.77n/a13
Apr ’25€29.20
€35.51
+21.6%
8.8%€40.23€31.09n/a12
Mar ’25€27.20
€34.14
+25.5%
10.8%€39.68€25.84n/a11
Feb ’25€25.60
€33.20
+29.7%
13.8%€39.56€23.92n/a11
Jan ’25€26.40
€31.70
+20.1%
16.1%€39.08€23.63n/a8
Dec ’24€21.40
€31.01
+44.9%
16.2%€39.65€23.98€56.008
Nov ’24€18.60
€34.66
+86.4%
15.5%€44.37€28.32€49.007
Oct ’24€26.80
€34.43
+28.5%
15.4%€44.08€28.13€40.407
Sep ’24€31.20
€31.37
+0.5%
8.9%€36.44€27.33€37.407
Aug ’24€23.60
€29.66
+25.7%
6.7%€31.87€27.32€41.807
Jul ’24€24.00
€28.97
+20.7%
13.2%€35.01€21.19€36.009
Jun ’24€23.20
€28.97
+24.9%
13.2%€35.01€21.19€35.209
May ’24€20.60
€29.08
+41.1%
14.2%€34.41€20.83€34.409
Apr ’24€19.50
€30.53
+56.6%
15.1%€35.64€21.57€29.209
Mar ’24€25.00
€30.53
+22.1%
15.1%€35.64€21.57€27.209
Feb ’24€24.40
€27.19
+11.4%
16.0%€34.82€18.33€25.609
Jan ’24€22.20
€27.66
+24.6%
16.0%€35.57€18.72€26.409
Dec ’23€22.40
€28.91
+29.1%
16.8%€37.72€19.85€21.408

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/29 08:49
End of Day Share Price 2024/12/27 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Revolution Medicines, Inc. is covered by 17 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Peter LawsonBarclays
Alec StranahanBofA Global Research
Chris ShibutaniGoldman Sachs