Merus Valuation

Is MRUS 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 MRUS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MRUS ($44.75) is trading above our estimate of fair value ($26.82)

Significantly Below Fair Value: MRUS is trading above our estimate of fair value.


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

MRUS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue50.3x
Enterprise Value/EBITDA-14.4x
PEG Ration/a

Price to Book Ratio vs Peers

How does MRUS's PB Ratio compare to its peers?

The above table shows the PB ratio for MRUS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PBEstimated GrowthMarket Cap
Peer Average5.2x
NTLA Intellia Therapeutics
2.5x31.2%US$2.6b
KYMR Kymera Therapeutics
6.2x-6.0%US$2.5b
IDYA IDEAYA Biosciences
5.2x41.5%US$3.2b
ACAD ACADIA Pharmaceuticals
6.9x41.9%US$3.0b
MRUS Merus
7.3x14.6%US$2.6b

Price-To-Book vs Peers: MRUS is expensive based on its Price-To-Book Ratio (7.3x) compared to the peer average (5.2x).


Price to Earnings Ratio vs Industry

How does MRUS's PE Ratio compare vs other companies in the US Biotechs Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.6%
n/an/an/a
No. of CompaniesPB048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.6%
n/an/an/a
No more companies

Price-To-Book vs Industry: MRUS is expensive based on its Price-To-Book Ratio (7.3x) compared to the US Biotechs industry average (2.3x).


Price to Book Ratio vs Fair Ratio

What is MRUS'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.

MRUS PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio7.3x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate MRUS'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 MRUS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$44.75
US$58.20
+30.1%
11.7%US$66.00US$44.00n/a10
Mar ’25US$51.82
US$55.00
+6.1%
15.5%US$65.00US$42.00n/a10
Feb ’25US$36.09
US$43.70
+21.1%
8.3%US$49.00US$38.00n/a10
Jan ’25US$27.50
US$43.70
+58.9%
8.3%US$49.00US$38.00n/a10
Dec ’24US$25.13
US$44.30
+76.3%
7.2%US$49.00US$40.00n/a10
Nov ’24US$20.79
US$44.90
+116.0%
6.3%US$49.00US$40.00n/a10
Oct ’24US$23.58
US$46.25
+96.1%
3.7%US$49.00US$44.00n/a8
Sep ’24US$23.22
US$46.25
+99.2%
3.7%US$49.00US$44.00n/a8
Aug ’24US$26.28
US$45.33
+72.5%
8.8%US$49.00US$35.00n/a9
Jul ’24US$26.33
US$45.44
+72.6%
8.8%US$49.00US$35.00n/a9
Jun ’24US$22.49
US$45.44
+102.1%
8.8%US$49.00US$35.00n/a9
May ’24US$19.00
US$43.56
+129.2%
10.4%US$49.00US$35.00n/a9
Apr ’24US$18.40
US$36.56
+98.7%
12.6%US$47.00US$30.00n/a9
Mar ’24US$19.46
US$36.44
+87.3%
11.9%US$46.00US$30.00US$51.829
Feb ’24US$15.36
US$36.89
+140.2%
11.6%US$46.00US$30.00US$36.099
Jan ’24US$15.47
US$36.25
+134.3%
14.9%US$46.00US$28.00US$27.508
Dec ’23US$15.17
US$36.67
+141.7%
14.7%US$47.00US$28.00US$25.139
Nov ’23US$20.50
US$41.44
+102.2%
9.7%US$47.00US$34.00US$20.799
Oct ’23US$20.03
US$41.00
+104.7%
11.7%US$47.00US$33.00US$23.589
Sep ’23US$24.57
US$41.00
+66.9%
11.7%US$47.00US$33.00US$23.229
Aug ’23US$24.76
US$42.25
+70.6%
11.1%US$47.00US$33.00US$26.288
Jul ’23US$22.33
US$41.75
+87.0%
10.4%US$45.00US$33.00US$26.338
Jun ’23US$18.78
US$41.75
+122.3%
10.4%US$45.00US$33.00US$22.498
May ’23US$20.40
US$41.88
+105.3%
10.0%US$45.00US$33.00US$19.008
Apr ’23US$27.25
US$41.88
+53.7%
10.0%US$45.00US$33.00US$18.408
Mar ’23US$28.48
US$41.75
+46.6%
9.9%US$45.00US$33.00US$19.468

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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