ALKS Valuation

Alkermes Plc

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29.750

+0.69(2.374%)1D

Overview
Forecast
Valuation
Earnings

ALKS Relative Valuation

ALKS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ALKS is overvalued; if below, it's undervalued.

Historical Valuation

Alkermes Plc (ALKS) is now in the Undervalued zone, suggesting that its current forward PS ratio of 3.40 is considered Undervalued compared with the five-year average of 97.60. The fair price of Alkermes Plc (ALKS) is between 735.91 to 747.86 according to relative valuation methord. Compared to the current price of 29.75 USD , Alkermes Plc is Undervalued By 95.96%.

Relative Value

Fair Zone

735.91-747.86

Current Price：29.75

95.96%

Undervalued

21.58

Trailing

Forward

12.13

EV/EBITDA

Alkermes Plc. (ALKS) has a current EV/EBITDA of 12.13. The 5-year average EV/EBITDA is 1.46. The thresholds are as follows: Strongly Undervalued below -146.16, Undervalued between -146.16 and -72.35, Fairly Valued between 75.26 and -72.35, Overvalued between 75.26 and 149.07, and Strongly Overvalued above 149.07. The current Forward EV/EBITDA of 12.13 falls within the Historic Trend Line -Fairly Valued range.

26.64

EV/EBIT

Alkermes Plc. (ALKS) has a current EV/EBIT of 26.64. The 5-year average EV/EBIT is -5.12. The thresholds are as follows: Strongly Undervalued below -90.63, Undervalued between -90.63 and -47.88, Fairly Valued between 37.63 and -47.88, Overvalued between 37.63 and 80.39, and Strongly Overvalued above 80.39. The current Forward EV/EBIT of 26.64 falls within the Historic Trend Line -Fairly Valued range.

3.40

Alkermes Plc. (ALKS) has a current PS of 3.40. The 5-year average PS is 3.57. The thresholds are as follows: Strongly Undervalued below 1.86, Undervalued between 1.86 and 2.71, Fairly Valued between 4.42 and 2.71, Overvalued between 4.42 and 5.28, and Strongly Overvalued above 5.28. The current Forward PS of 3.40 falls within the Historic Trend Line -Fairly Valued range.

11.30

P/OCF

Alkermes Plc. (ALKS) has a current P/OCF of 11.30. The 5-year average P/OCF is 16.76. The thresholds are as follows: Strongly Undervalued below -21.79, Undervalued between -21.79 and -2.52, Fairly Valued between 36.03 and -2.52, Overvalued between 36.03 and 55.30, and Strongly Overvalued above 55.30. The current Forward P/OCF of 11.30 falls within the Historic Trend Line -Fairly Valued range.

15.24

P/FCF

Alkermes Plc. (ALKS) has a current P/FCF of 15.24. The 5-year average P/FCF is 27.06. The thresholds are as follows: Strongly Undervalued below -190.92, Undervalued between -190.92 and -81.93, Fairly Valued between 136.05 and -81.93, Overvalued between 136.05 and 245.05, and Strongly Overvalued above 245.05. The current Forward P/FCF of 15.24 falls within the Historic Trend Line -Fairly Valued range.

Alkermes Plc (ALKS) has a current Price-to-Book (P/B) ratio of 2.95. Compared to its 3-year average P/B ratio of 3.71 , the current P/B ratio is approximately -20.37% higher. Relative to its 5-year average P/B ratio of 3.66, the current P/B ratio is about -19.26% higher. Alkermes Plc (ALKS) has a Forward Free Cash Flow (FCF) yield of approximately 10.03%. Compared to its 3-year average FCF yield of 5.20%, the current FCF yield is approximately 92.88% lower. Relative to its 5-year average FCF yield of 3.73% , the current FCF yield is about 168.86% lower.

2.95

P/B

Median3y

3.71

Median5y

3.66

10.03

FCF Yield

Median3y

5.20

Median5y

3.73

Competitors Valuation Multiple

The average P/S ratio for ALKS's competitors is 356.32, providing a benchmark for relative valuation. Alkermes Plc Corp (ALKS) exhibits a P/S ratio of 3.40, which is -99.05% above the industry average. Given its robust revenue growth of -2.12%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Viking Therapeutics Inc

ACADIA Pharmaceuticals Inc

Performance Decomposition

Market capitalization of ALKS increased by 4.57% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 12.42 to 14.00.

The secondary factor is the Revenue Growth, contributed -2.12%to the performance.

Overall, the performance of ALKS in the past 1 year is driven by P/E Change. Which is more unsustainable.

-2.12%

399.13M → 390.66M

Revenue Growth

-5.99%

23.72 → 22.30

Margin Expansion

12.68%

12.42 → 14.00

P/E Change

4.57%