How does it rank on fundamental metrics?
Exelixis, Inc. (EXEL) receives a strong evaluation score of 75 from Investors Observer Analysis. Our proprietary rating system takes into account the overall health of the business by examining the stock’s price, earnings and growth rate to determine if it represents good value. EXEL holds better value than 75% of the shares at its current price. Investors who focus on long-term growth through buy and hold investments will find the valuation ranking particularly relevant when allocating their assets.
EXEL has a twelve-month price-to-earnings (PE) ratio of 108. The historical average of around 15 shows low value for EXEL stock, as investors pay higher stock prices relative to the company’s earnings. business. EXEL’s high PE ratio shows that the company has recently traded above its fair market value. Its 12-month earnings per share (EPS) of 0.20 does not justify the current share price. However, leakage PE ratios do not take into account the company’s projected growth rate, so many newer companies have high PE ratios due to high growth potential attracting investors despite insufficient profits.
EXEL has a 12-month PE to Growth Futures (PEG) ratio of 1.48. The markets are undervaluing EXEL relative to its projected growth because its PEG ratio is currently below fair market value of 1. The PEG of 0.200000002 comes from the fact that its forward price / earnings ratio is divided by its rate. growth. PEG ratios are one of the most used valuation metrics due to the incorporation of more fundamental business metrics and the focus on the future of the business rather than its past.
EXEL’s valuation metrics are low at its current price due to an overvalued PEG ratio despite strong growth. EXEL’s PE and PEG are below the market average, resulting in a below-average valuation score.
Click here for the full stock valuation report of Exelixis, Inc. (EXEL).