Seagen Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: SGEN ($228.74) is trading above our estimate of fair value ($199.98)

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


Key Valuation Metric

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

Key metric: As SGEN is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SGEN. This is calculated by dividing SGEN's market cap by their current revenue.
What is SGEN's PS Ratio?
PS Ratio18.8x
SalesUS$2.30b
Market CapUS$43.15b

Price to Sales Ratio vs Peers

How does SGEN's PS Ratio compare to its peers?

The above table shows the PS ratio for SGEN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.8x
REGN Regeneron Pharmaceuticals
5.5x7.0%US$76.2b
BIIB Biogen
2.2x1.3%US$21.5b
GILD Gilead Sciences
4.1x2.5%US$113.5b
HZNP Horizon Therapeutics
7.3x8.3%US$26.6b
SGEN Seagen
18.8x22.6%US$43.2b

Price-To-Sales vs Peers: SGEN is expensive based on its Price-To-Sales Ratio (18.8x) compared to the peer average (5.6x).


Price to Sales Ratio vs Industry

How does SGEN's PS Ratio compare vs other companies in the US Biotechs Industry?

134 CompaniesPrice / SalesEstimated GrowthMarket Cap
BIIB Biogen
2.2x1.3%US$21.48b
MRNA Moderna
3x5.8%US$15.22b
INCY Incyte
3.3x8.9%US$12.92b
ALKS Alkermes
3.2x-0.7%US$4.85b
SGEN 18.8xIndustry Avg. 9.7xNo. of Companies134PS01632486480+
134 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: SGEN is expensive based on its Price-To-Sales Ratio (18.8x) compared to the US Biotechs industry average (11.1x).


Price to Sales Ratio vs Fair Ratio

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

SGEN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio18.8x
Fair PS Ratio4.5x

Price-To-Sales vs Fair Ratio: SGEN is expensive based on its Price-To-Sales Ratio (18.8x) compared to the estimated Fair Price-To-Sales Ratio (4.5x).


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 SGEN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Dec ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Nov ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Oct ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Sep ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Aug ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Jul ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Jun ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
May ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Apr ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Mar ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Feb ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Jan ’25n/a
US$228.91
0%
0.1%US$229.00US$228.00n/a13
Dec ’24US$212.72
US$225.41
+6.0%
5.6%US$229.00US$180.00n/a14
Nov ’24US$214.37
US$225.41
+5.2%
5.6%US$229.00US$180.00n/a14
Oct ’24US$212.15
US$225.41
+6.3%
5.6%US$229.00US$180.00n/a14
Sep ’24US$207.91
US$225.41
+8.4%
5.6%US$229.00US$180.00n/a14
Aug ’24US$192.45
US$225.41
+17.1%
5.6%US$229.00US$180.00n/a14
Jul ’24US$192.46
US$225.65
+17.2%
5.4%US$229.00US$180.00n/a15
Jun ’24US$194.67
US$220.60
+13.3%
9.9%US$229.00US$153.00n/a15
May ’24US$199.16
US$220.60
+10.8%
9.9%US$229.00US$153.00n/a15
Apr ’24US$202.47
US$215.80
+6.6%
12.4%US$229.00US$153.00n/a15
Mar ’24US$178.23
US$167.90
-5.8%
11.4%US$215.00US$141.00n/a21
Feb ’24US$139.03
US$160.67
+15.6%
12.2%US$213.00US$135.00n/a21
Jan ’24US$128.51
US$164.73
+28.2%
12.9%US$213.00US$135.00n/a22
Dec ’23US$121.02
US$164.77
+36.2%
12.9%US$213.00US$135.00US$212.7222

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2023/12/15 22:45
End of Day Share Price 2023/12/13 00:00
Earnings2023/09/30
Annual Earnings2022/12/31

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

Seagen Inc. is covered by 34 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Emily BodnarBerenberg
George FarmerBMO Capital Markets Equity Research