NasdaqGS:BIIB

Stock Analysis Report

Executive Summary

Biogen Inc. discovers, develops, manufactures, and delivers therapies for treating neurological and neurodegenerative diseases worldwide.

Snowflake

Fundamentals

Solid track record and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

NasdaqGS:BIIB

1.7%

US Biotechs

2.1%

US Market


1 Year Return

-32.1%

NasdaqGS:BIIB

-9.1%

US Biotechs

-0.04%

US Market

BIIB underperformed the Biotechs industry which returned -8.8% over the past year.

BIIB underperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

BIIBIndustryMarket
7 Day1.9%1.7%2.1%
30 Day-4.8%0.7%-3.2%
90 Day2.2%2.4%2.8%
1 Year-32.1%-32.1%-8.3%-9.1%2.2%-0.04%
3 Year-17.9%-24.4%11.9%8.1%41.5%32.3%
5 Year-26.2%-32.0%5.2%0.3%55.0%37.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Biogen undervalued based on future cash flows and its price relative to the stock market?

29%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Biogen's share price is below the future cash flow value, and at a moderate discount (> 20%).

Biogen's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Biogen is good value based on earnings compared to the US Biotechs industry average.

Biogen is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Biogen earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Biogen is overvalued based on assets compared to the US Biotechs industry average.


Next Steps

Future Growth

How is Biogen expected to perform in the next 1 to 3 years based on estimates from 27 analysts?

-1.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Biogen's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Biogen's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Biogen's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Biogen's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Biogen's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Biogen is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Biogen performed over the past 5 years?

7.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Biogen's year on year earnings growth rate has been positive over the past 5 years.

Biogen's 1-year earnings growth exceeds its 5-year average (78.4% vs 7.5%)

Biogen's earnings growth has not exceeded the US Biotechs industry average in the past year (78.4% vs 83.4%).


Return on Equity

Biogen made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%).


Return on Assets

Biogen used its assets more efficiently than the US Biotechs industry average last year based on Return on Assets.


Return on Capital Employed

Biogen has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Biogen's financial position?


Financial Position Analysis

Biogen is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Biogen's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Biogen's level of debt (45.9%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (6.2% vs 45.9% today).

Debt is well covered by operating cash flow (118.6%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 93.3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.3x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Biogen's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Biogen's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Biogen has not reported any payouts.

Unable to verify if Biogen's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Biogen has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Biogen's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Biogen's salary, the management and board of directors tenure and is there insider trading?

2.1yrs

Average management tenure


CEO

Michel Vounatsos (57yo)

2.6yrs

Tenure

US$16,168,646

Compensation

Mr. Michel Vounatsos has been the Chief Executive Officer of Biogen Inc. since January 6, 2017. Mr. Vounatsos served as the Chief Commercial Officer and Executive Vice President of Biogen Inc. since April  ...


CEO Compensation Analysis

Michel's remuneration is higher than average for companies of similar size in United States of America.

Michel's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.1yrs

Average Tenure

54yo

Average Age

The tenure for the Biogen management team is about average.


Board Age and Tenure

10.2yrs

Average Tenure

63yo

Average Age

The average tenure for the Biogen board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$27,211,82402 May 19
Sarissa Capital Management
EntityCompany
Shares118,342
Max PriceUS$231.24
BuyUS$1,007,16902 May 19
Michel Vounatsos
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares4,351
Max PriceUS$231.48
BuyUS$20,572,40601 Feb 19
Sarissa Capital Management
EntityCompany
Shares62,800
Max PriceUS$330.52

Ownership Breakdown


Management Team

  • Susan Alexander (62yo)

    Executive VP

    • Tenure: 2.4yrs
    • Compensation: US$6.35m
  • Jeff Capello (54yo)

    Executive VP & CFO

    • Tenure: 1.7yrs
    • Compensation: US$4.48m
  • Mark Hernon (55yo)

    Senior VP & Chief Information Officer

    • Tenure: 1.7yrs
  • Ginger Gregory (51yo)

    Executive VP & Chief Human Resources Officer

    • Tenure: 2.1yrs
  • Mike Ehlers (50yo)

    Executive VP and Head of Research & Development

    • Tenure: 3.3yrs
    • Compensation: US$7.05m
  • Al Sandrock (61yo)

    Executive VP & Chief Medical Officer

    • Tenure: 7.5yrs
    • Compensation: US$8.17m
  • Robin Kramer (53yo)

    VP & Chief Accounting Officer

    • Tenure: 0.8yrs
  • Michel Vounatsos (57yo)

    CEO & Director

    • Tenure: 2.6yrs
    • Compensation: US$16.17m
  • Daniel Karp (41yo)

    Executive Vice President of Corporate Development

    • Tenure: 1.2yrs
  • Joe Mara

    VP of Finance and Head of Investor Relations

    • Tenure: 0.0yrs

Board Members

  • Caroline Dorsa (60yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$412.45k
  • Stelios Papadopoulos (71yo)

    Independent Chairman

    • Tenure: 5.2yrs
    • Compensation: US$613.48k
  • Robert Pangia (69yo)

    Independent Director

    • Tenure: 21.9yrs
    • Compensation: US$482.71k
  • Lynn Schenk (74yo)

    Independent Director

    • Tenure: 24.3yrs
    • Compensation: US$428.45k
  • Brian Posner (58yo)

    Independent Director

    • Tenure: 11.1yrs
    • Compensation: US$452.45k
  • Nancy Leaming (71yo)

    Independent Director

    • Tenure: 11.6yrs
    • Compensation: US$400.23k
  • Eric Rowinsky (62yo)

    Independent Director

    • Tenure: 9.4yrs
    • Compensation: US$407.95k
  • Alex Denner (50yo)

    Independent Director

    • Tenure: 10.2yrs
    • Compensation: US$413.45k
  • Richard Mulligan (64yo)

    Independent Director

    • Tenure: 10.2yrs
    • Compensation: US$407.95k
  • Michel Vounatsos (57yo)

    CEO & Director

    • Tenure: 2.6yrs
    • Compensation: US$16.17m

Company Information

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


Key Information

  • Name: Biogen Inc.
  • Ticker: BIIB
  • Exchange: NasdaqGS
  • Founded: 1978
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$42.803b
  • Shares outstanding: 184.45m
  • Website: https://www.biogen.com

Number of Employees


Location

  • Biogen Inc.
  • 225 Binney Street
  • Cambridge
  • Massachusetts
  • 2142
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BIIBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 1991
IDPDB (Deutsche Boerse AG)YesCommon StockDEEURSep 1991
IDPXTRA (XETRA Trading Platform)YesCommon StockDEEURSep 1991
BIIBSNSE (Santiago Stock Exchange)YesCommon StockCLUSDSep 1991
BIIB *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNSep 1991
BIIBSWX (SIX Swiss Exchange)YesCommon StockCHCHFSep 1991
BIIBWBAG (Wiener Boerse AG)YesCommon StockATEURSep 1991
BIIB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1/6 COM USD0.0005BRBRLApr 2016
BIIBBASE (Buenos Aires Stock Exchange)CEDEAR EACH 13 REP 1 COM USD0.0005ARARSApr 2019

Biography

Biogen Inc. discovers, develops, manufactures, and delivers therapies for treating neurological and neurodegenerative diseases worldwide. The company offers TECFIDERA, AVONEX, PLEGRIDY, TYSABRI, and FAMPYR ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 23:49
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
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.