DB:EX9

Stock Analysis Report

Executive Summary

Exelixis, Inc., an oncology-focused biotechnology company, focuses on the discovery, development, and commercialization of new medicines to treat cancers in the United States.

Rewards

Trading at 54.8% below its fair value

Earnings are forecast to grow 19.23% per year

Earnings grew by 66.2% over the past year

Risk Analysis

High level of non-cash earnings

Highly volatile share price over past 3 months



Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Exelixis's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: EX9's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

10.6%

EX9

1.0%

DE Biotechs

2.0%

DE Market


1 Year Return

-2.4%

EX9

6.8%

DE Biotechs

15.1%

DE Market

Return vs Industry: EX9 underperformed the German Biotechs industry which returned 6.2% over the past year.

Return vs Market: EX9 underperformed the German Market which returned 15% over the past year.


Shareholder returns

EX9IndustryMarket
7 Day10.6%1.0%2.0%
30 Day4.7%-1.2%1.0%
90 Day31.2%7.4%3.8%
1 Year-2.4%-2.4%7.1%6.8%18.6%15.1%
3 Year-15.4%-15.4%48.3%46.6%16.8%6.6%
5 Year705.6%705.6%11.4%9.0%23.7%6.7%

Price Volatility Vs. Market

How volatile is Exelixis's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Exelixis undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EX9 (€19.03) is trading below our estimate of fair value (€42.08)

Significantly Below Fair Value: EX9 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: EX9 is good value based on its PE Ratio (10.2x) compared to the Biotechs industry average (43.8x).

PE vs Market: EX9 is good value based on its PE Ratio (10.2x) compared to the German market (21.1x).


Price to Earnings Growth Ratio

PEG Ratio: EX9 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: EX9 is overvalued based on its PB Ratio (3.9x) compared to the DE Biotechs industry average (3.5x).


Next Steps

Future Growth

How is Exelixis forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

19.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EX9's forecast earnings growth (19.2% per year) is above the savings rate (-0.4%).

Earnings vs Market: EX9's earnings (19.2% per year) are forecast to grow faster than the German market (13.3% per year).

High Growth Earnings: EX9's earnings are forecast to grow, but not significantly.

Revenue vs Market: EX9's revenue (16.1% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: EX9's revenue (16.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EX9's Return on Equity is forecast to be low in 3 years time (14.5%).


Next Steps

Past Performance

How has Exelixis performed over the past 5 years?

74.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EX9 has a high level of non-cash earnings.

Growing Profit Margin: EX9's current net profit margins (64%) are higher than last year (49.4%).


Past Earnings Growth Analysis

Earnings Trend: EX9 has become profitable over the past 5 years, growing earnings by 74.3% per year.

Accelerating Growth: EX9's earnings growth over the past year (66.2%) is below its 5-year average (74.3% per year).

Earnings vs Industry: EX9 earnings growth over the past year (66.2%) exceeded the Biotechs industry -4.7%.


Return on Equity

High ROE: EX9's Return on Equity (38.2%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Exelixis's financial position?


Financial Position Analysis

Short Term Liabilities: EX9's short term assets ($972.1M) exceed its short term liabilities ($141.1M).

Long Term Liabilities: EX9's short term assets ($972.1M) exceed its long term liabilities ($40.1M).


Debt to Equity History and Analysis

Debt Level: EX9 is debt free.

Reducing Debt: EX9 currently has no debt however we can't compare to 5 years ago as we have no data for that period.

Debt Coverage: EX9 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: EX9 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: EX9 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if EX9's debt is covered by short term assets.


Next Steps

Dividend

What is Exelixis's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.0%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate EX9's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate EX9's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if EX9's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if EX9's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of EX9's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Michael Morrissey (58yo)

9.6yrs

Tenure

US$7,977,535

Compensation

Dr. Michael M. Morrissey, Ph.D., has been the Chief Executive Officer and President of Exelixis, Inc. since July 2010. Dr. Morrissey served as the President of Research and Development at Exelixis Inc. sin ...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD7.98M) is above average for companies of similar size in the German market ($USD3.37M).

Compensation vs Earnings: Michael's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Stelios Papadopoulos
Co-Founder & Chairman22.1yrsUS$421.05k0.34% $20.0m
Michael Morrissey
CEO, President & Director9.6yrsUS$7.98m0.11% $6.5m
Christopher Senner
Executive VP & CFO4.6yrsUS$3.39m0.024% $1.4m
Peter Lamb
Executive VP of Scientific Strategy & Chief Scientific Officer13.1yrsUS$3.17m0.033% $1.9m
Jeffrey Hessekiel
Executive VP6yrsUS$2.73m0.066% $3.9m
Gisela Schwab
President of Product Development & Medical Affairs and Chief Medical Officer14yrsUS$3.60m0.094% $5.5m
Dana Aftab
Executive Vice President of Business Operations4yrsno datano data
Susan Hubbard
Executive Vice President of Public Affairs & Investor Relations3.2yrsno datano data
Jonathan Berndt
Vice President of Sales4.4yrsno datano data
Gregg Bernier
Vice President of Marketing4.4yrsno datano data

4.6yrs

Average Tenure

58yo

Average Age

Experienced Management: EX9's management team is considered experienced (4.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stelios Papadopoulos
Co-Founder & Chairman22.1yrsUS$421.05k0.34% $20.0m
Michael Morrissey
CEO, President & Director9.6yrsUS$7.98m0.11% $6.5m
Jack Wyszomierski
Independent Director16yrsUS$406.05k0.040% $2.3m
Charles Cohen
Independent Director24.3yrsUS$408.70k0.0069% $401.9k
George Poste
Independent Director15.5yrsUS$396.05k0.034% $2.0m
Lance Willsey
Independent Director22.8yrsUS$384.70k0.12% $7.1m
George Scangos
Independent Director23.3yrsUS$375.70k0.34% $19.9m
Vincent Marchesi
Independent Director18.8yrsUS$391.05k0.024% $1.4m
Alan Garber
Independent Director15.1yrsUS$390.70k0.016% $936.1k
José Baselga
Member of Scientific Advisory Board13.1yrsno datano data

17.4yrs

Average Tenure

65.5yo

Average Age

Experienced Board: EX9's board of directors are seasoned and experienced ( 17.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Exelixis, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Exelixis, Inc.
  • Ticker: EX9
  • Exchange: DB
  • Founded: 1994
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$6.311b
  • Listing Market Cap: US$5.825b
  • Shares outstanding: 303.85m
  • Website: https://www.exelixis.com

Number of Employees


Location

  • Exelixis, Inc.
  • 1851 Harbor Bay Parkway
  • Alameda
  • California
  • 94502
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EXELNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 2000
EX9DB (Deutsche Boerse AG)YesCommon StockDEEURApr 2000
0IJOLSE (London Stock Exchange)YesCommon StockGBUSDApr 2000

Biography

Exelixis, Inc., an oncology-focused biotechnology company, focuses on the discovery, development, and commercialization of new medicines to treat cancers in the United States. The company’s products include CABOMETYX tablets for the treatment of patients with advanced renal cell carcinoma who received prior anti-angiogenic therapy; and COMETRIQ capsules for the treatment of patients with progressive and metastatic medullary thyroid cancer. Its CABOMETYX and COMETRIQ are derived from cabozantinib, an inhibitor of multiple tyrosine kinases, including MET, AXL, RET, and VEGF receptors. The company also offers COTELLIC, an inhibitor of MEK as a combination regimen to treat advanced melanoma; and MINNEBRO, an oral non-steroidal selective blocker of the mineralocorticoid receptor for the treatment of hypertension in Japan. Exelixis, Inc. has collaboration and license agreement with Ipsen Pharma SAS, Genentech, Inc., GlaxoSmithKline, Bristol-Myers Squibb Company, Merck, Invenra, Inc., StemSynergy Therapeutics, Inc., and Daiichi Sankyo Company, Limited. The company was formerly known as Exelixis Pharmaceuticals, Inc. and changed its name to Exelixis, Inc. in February 2000. Exelixis, Inc. was founded in 1994 and is headquartered in Alameda, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 20:53
End of Day Share Price2020/02/17 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.