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HALO

Halozyme Therapeutics NasdaqGS:HALO Stock Report

Last Price

US$44.48

Market Cap

US$6.1b

7D

2.7%

1Y

9.2%

Updated

16 Aug, 2022

Data

Company Financials +
HALO fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance4/6
Financial Health3/6
Dividends0/6

HALO Stock Overview

Halozyme Therapeutics, Inc. operates as a biopharma technology platform company in the United States, Switzerland, Ireland, Belgium, Japan, and internationally.

Halozyme Therapeutics, Inc. Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Halozyme Therapeutics
Historical stock prices
Current Share PriceUS$44.48
52 Week HighUS$52.98
52 Week LowUS$31.36
Beta1.2
1 Month Change-9.52%
3 Month Change3.44%
1 Year Change9.23%
3 Year Change170.07%
5 Year Change267.60%
Change since IPO971.81%

Recent News & Updates

Aug 16

Halozyme Therapeutics raises $625M through convertible senior notes due 2028

Halozyme Therapeutics (NASDAQ:HALO) has priced upsized offering of $625M of 1.00% convertible senior unsecured notes due  August 15, 2028. The offering was upsized from an originally announced $500M. Initial purchasers granted an option to purchase up to an additional $95M of Convertible Notes. Interest will be payable semi-annually in arrears. The company expects to close the offering on August 18, 2022. The company also entered into capped call transactions with certain of the initial purchasers of the Convertible Notes. The capped call transactions are expected generally to reduce potential dilution to holders of the company's common stock on any conversion of the Convertible Notes. The cap price of the capped call transactions is initially $75.41 per share of the company's common stock, representing a premium of 75% above the last reported sale price of $43.09 per share on August 15, 2022. The company will receive net proceeds from the offering of approximately $608.7M (or approximately $701.4M if the initial purchasers exercise their option). The company expects to use approximately $60M of the net proceeds to fund the cost of entering into the capped call transactions and approximately $77.6M of the net proceeds to enter into privately negotiated agreements with certain holders of its outstanding 1.25% convertible senior notes due 2024. The company also expects to use a portion of the net proceeds to repurchase $200M shares of its common stock and approximately $90M to repurchase approximately 2.09M of its shares. Further, the company expects to use a portion of the net proceeds to repay all of its outstanding $250M term loan facility due 2026 and the remainder for general corporate purposes.

Aug 03

Halozyme Therapeutics: One To Put On Your 'Shopping List' For The Next Market Sell-Off

Today, we take a look at Halozyme Therapeutics for the first time in many years. The company has a fairly unique business model within the healthcare space and is delivering consistent growth. An investment analysis follows in the paragraphs below. Evil is a choice one makes, not a natural state of being. ― Morgan Rhodes Today, at the request of a Seeking Alpha follower, we are circling back on Halozyme Therapeutics (HALO) for the first time in many years. The stock is up more than sixfold since we first gave it a 'thumbs up' nearly eight years ago. The company's business model is delivering consistent growth in an uncertain market. Is the stock a buy at current levels, however? We give our take after the following analysis. Seeking Alpha Company Overview: Halozyme Therapeutics is a biotech concern based just outside of San Diego. The company's products are based on the ENHANZE drug delivery technology, a patented recombinant human hyaluronidase enzyme (rHuPH20) that enables the subcutaneous delivery of injectable biologics, such as monoclonal antibodies and other therapeutic molecules, as well as small molecules and fluids. The stock sells for around $48.00 a share and sports an approximate market capitalization of $6.6 billion. The company's business model is based enhancing the delivery of other injected drugs via an advantageous subcutaneous formulation that improves infusion times. Halozyme partners with major drug makers like Roche (OTCQX:RHHBY) and Johnson & Johnson (JNJ) to employ the company's ENHANZE platform to improve blockbuster drugs. For this Halozyme earns both royalties and milestone payouts. Since these drugs have already gone through the FDA approval process and are established in their current form, Halozyme development process is streamlined. May Company Presentation The company has numerous 'reformulated' products on the market and myriad others in development. In June, Halozyme announce the launch of TLANDO™ (testosterone undecanoate), an oral treatment indicated for testosterone replacement therapy in adult males. This is the second hormone replacement therapy the company has launched after Xyosted was approved in 2018. TLANDO was acquired in the Antares Pharma purchase (See section below). May Company Presentation Recent Developments: In March, In March 2022, the company announced it has entered into a global collaboration and license agreement for ENHANZE® technology with Chugai Pharmaceutical. Halozyme received an upfront payments of $25 million from Chugai and is eligible to receive additional future payments of up to $160 million as well as royalties on commercialized sales. In Spring, Halozyme purchased Antares Pharma (ATRS) for just under $1 billion that included an approximate 50% buyout premium. The acquisition marries Antares' auto-injector technology Halozyme's ENHANZE formulations. This should the injection of larger volumes as well as faster injections. An article in May does a good job explaining the benefits of the deal. May Company Presentation On May 10th, the company posted first quarter earnings results. The company had a net GAAP profit of 47 cents a share as revenues rose nearly 32% on year-over-year basis to just over $117 million. Both top and bottom line numbers missed the consensus at the time. $69.6 million of overall revenue came from royalties, primarily driven by sales of Darzalex. May Company Presentation Leadership sees between $530 million to $560 million in overall sales in FY2022, representing 20% to 26% growth over FY2021. Management also projects operating income of between $350 million to $380 million in FY2022, 27% to 38& above FY2021 levels. As of yet, guidance does include the recent purchase of Antares Pharma. May Company Presentation Analyst Commentary & Balance Sheet: The analyst community is just so-so on the company's prospects at the moment. So far in 2022, eight analyst firms including Goldman Sachs and JP Morgan have reissued Buy or Outperform ratings on the stock. However, price targets proffered only range from $45 to $60 a share. Piper Sandler currently has a Hold rating on the stock with a $42 price target. There has been no insider activity in the shares so far in 2022. About one out of every 16 shares outstanding is currently held short. The company cash and marketable securities balance increased by just over $45 million during the first quarter to just over $785 million, prior to the Antares' purchase. Verdict: The current consensus has Halozyme earnings roughly $2.25 a share in FY2022 as revenues rise more than 35% to $610 million. In FY2023, the analyst community has the company earnings some three bucks a share as revenues hit $800 million.

Shareholder Returns

HALOUS BiotechsUS Market
7D2.7%1.8%4.5%
1Y9.2%-22.2%-8.9%

Return vs Industry: HALO exceeded the US Biotechs industry which returned -19.6% over the past year.

Return vs Market: HALO exceeded the US Market which returned -9.6% over the past year.

Price Volatility

Is HALO's price volatile compared to industry and market?
HALO volatility
HALO Average Weekly Movement5.6%
Biotechs Industry Average Movement12.5%
Market Average Movement7.6%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.1%

Stable Share Price: HALO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: HALO's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1998145Helen Torleyhttps://www.halozyme.com

Halozyme Therapeutics, Inc. operates as a biopharma technology platform company in the United States, Switzerland, Ireland, Belgium, Japan, and internationally. The company’s products are based on the ENHANZE drug delivery technology, a patented recombinant human hyaluronidase enzyme (rHuPH20) that enables the subcutaneous delivery of injectable biologics, such as monoclonal antibodies and other therapeutic molecules, as well as small molecules and fluids. Its flagship product is Hylenex recombinant, a formulation of rHuPH20 to facilitate subcutaneous fluid administration for achieving hydration to enhance the dispersion and absorption of other injected drugs in subcutaneous urography and to improve resorption of radiopaque agents.

Halozyme Therapeutics, Inc. Fundamentals Summary

How do Halozyme Therapeutics's earnings and revenue compare to its market cap?
HALO fundamental statistics
Market CapUS$6.13b
Earnings (TTM)US$366.15m
Revenue (TTM)US$487.48m

16.7x

P/E Ratio

12.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HALO income statement (TTM)
RevenueUS$487.48m
Cost of RevenueUS$135.97m
Gross ProfitUS$351.51m
Other Expenses-US$14.64m
EarningsUS$366.15m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.66
Gross Margin72.11%
Net Profit Margin75.11%
Debt/Equity Ratio425.1%

How did HALO perform over the long term?

See historical performance and comparison