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Astrazeneca Plc (AZN)
NASDAQ:AZN
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AstraZeneca
(NASDAQ:AZN)
Rating:79Outperform
Price Target:
$84.00
▲(12.62%Upside)
Positive Factors
Oncology Segment Performance
Total oncology product sales of $5.854bn beating consensus by ~8%.
Regulatory Filings
Regulatory filings accepted for multiple products in the US, EU, and Japan.
Negative Factors
Clinical Trial Discontinuation
The discontinuation of the CAPItello-280 Ph 3 trial evaluating Truqap in patients with metastatic castration-resistant prostate cancer was announced.
Clinical Trial Outcomes
The clinical program evaluating anselamimab did not achieve statistical significance in the overall population for the primary endpoint.
Sales Performance
Total Product Sales of $12,875 bn missing consensus estimates by ~2% and missing Leerink Partners' estimate by ~1%.
AstraZeneca (AZN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$228.65B
Dividend Yield2.08%
Average Volume (3M)4.96M
Price to Earnings (P/E)27.5
Beta (1Y)0.31
Revenue Growth15.17%
EPS Growth29.15%
CountryUS
Employees94,300
SectorHealthcare
Sector Strength39
IndustryDrug Manufacturers - General
Share Statistics
EPS (TTM)1.08
Shares Outstanding3,101,341,300
10 Day Avg. Volume7,407,623
30 Day Avg. Volume4,958,209
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)0.00
Price to Sales (P/S)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap1.07
Enterprise Value/Revenue4.30
Enterprise Value/Gross Profit5.42
Enterprise Value/Ebitda13.10
Forecast
1Y Price Target
$93.00Price Target Upside24.68% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
AstraZeneca Business Overview & Revenue Model
Company DescriptionAstraZeneca PLC, a biopharmaceutical company, focuses on the discovery, development, manufacture, and commercialization of prescription medicines. The company's marketed products include Tagrisso, Imfinzi, Lynparza, Calquence, Enhertu, Orpathys, Truqap, Zoladex, Faslodex, Farxiga, Brilinta, Lokelma, Roxadustat, Andexxa, Crestor, Seloken, Onglyza, Bydureon, Fasenra, Breztri, Symbicort, Saphnelo, Tezspire, Pulmicort, Bevespi, and Daliresp for cardiovascular, renal, metabolism, and oncology. Its marketed products also comprise Vaxzevria, Beyfortus, Synagis, FluMist, Soliris, Ultomiris, Strensiq, Koselugo, and Kanuma for covid-19 and rare disease. The company serves primary care and specialty care physicians through distributors and local representative offices in the United Kingdom, rest of Europe, the Americas, Asia, Africa, and Australasia. It has a collaboration agreement with Neurimmune AG to develop and commercialize NI006; BenevolentAI for drug discovery for systemic lupus erythematosus; Lunit for developing AI-Powered Digital Pathology Risk Assessment Tools for NSCLC; and Absci Corporation for AI-driven drug discovery against an oncology target. The company was formerly known as Zeneca Group PLC and changed its name to AstraZeneca PLC in April 1999. AstraZeneca PLC was incorporated in 1992 and is headquartered in Cambridge, the United Kingdom.
How the Company Makes MoneyAstraZeneca makes money through the research, development, and sale of pharmaceutical products. Its revenue model is largely based on the sales of prescription drugs across its core therapeutic areas. Key revenue streams include the sale of branded pharmaceutical products, royalties from licensing agreements, and strategic collaborations with other pharmaceutical companies. AstraZeneca also engages in partnerships with research institutions and biotech firms to enhance its product offerings and expand its market reach. Additionally, the company invests in its pipeline to develop new drugs, which are critical to sustaining long-term growth and profitability. Factors contributing to its earnings include successful drug approvals, patent protections, and the ability to penetrate emerging markets.
AstraZeneca Key Performance Indicators (KPIs)
Any
Revenue by Therapy Areas
Examines revenue from various therapy areas, indicating AstraZeneca's strengths in specific medical fields and potential for innovation and market expansion.
Examines revenue from various therapy areas, indicating AstraZeneca's strengths in specific medical fields and potential for innovation and market expansion.
Data provided by:
Main Street Data
Main Street DataAstraZeneca Earnings Call Summary
Earnings Call Date:Jul 29, 2025
(Q2-2025)
| % Change Since: 3.84%|
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Positive
AstraZeneca's earnings call presented a strong performance with significant revenue and EPS growth, driven by robust demand across oncology and biopharmaceuticals. The company achieved numerous regulatory approvals and positive clinical trial results, indicating a successful pipeline and future growth potential. However, challenges such as the impact of Medicare Part D redesign, Soliris biosimilar competition, and growth rate issues in China were noted. Overall, the positive highlights outweigh the challenges, suggesting a promising outlook.Q2-2025 Updates
Positive Updates
Strong Revenue and Core EPS Growth
Total revenue grew by 11% in the first half of 2025, driven by demand for innovative medicines. Core EPS increased by 17%.
Regulatory Approvals and Pipeline Success
Achieved 19 regulatory approvals in key regions. Announced results of 12 positive Phase III trials, including pivotal data for 5 new molecular entities.
Oncology and Biopharmaceuticals Growth
Double-digit growth in oncology and biopharmaceuticals. Rare disease business returned to growth with a 7% increase in the second quarter.
Positive Trial Results in Oncology
Positive results for camizestrant in SERENA-6, Enhertu in DESTINY-Breast09 and DESTINY-Breast11, and Tagrisso in FLAURA2 trial.
Successful Launches and New Indications
Strong launches for new Imfinzi regimens and continued momentum in established lung and liver indications. Enhertu revenues grew by 42%.
Record Patient Recruitment in Clinical Trials
Over 56,000 patients recruited in clinical trials by the end of Q2 2025. More than 50% of trials recruiting ahead of plan.
Continued Investment in R&D and Transformative Technologies
Significant investments in R&D and transformative technologies, including IO bispecifics and ADCs.
Negative Updates
Impact of Medicare Part D Redesign
Total revenue core gross margin expected to decline by 60 to 70 basis points due to Medicare Part D redesign, Soliris biosimilar competition, and increased profit share.
Challenges in China
Growth rate in China affected by Pulmicort generics. Farxiga revenues in China expected to be impacted by VBP implementation in the second half of 2025.
Anselamimab Trial Results
Phase III CARES program for anselamimab in severe light-chain amyloidosis did not achieve statistical significance for the primary endpoint in the overall patient population.
Increased Operating Expenses
Total operating expenses increased by 9%, with core R&D costs rising by 17% due to accelerated recruitment and additional costs related to business development.
Company Guidance
During AstraZeneca's H1 and Q2 2025 investor call, the company provided several key metrics indicating strong performance and future growth prospects. Total revenue grew by 11% in the first half of the year, driven by a 10% increase in product sales and a 38% rise in alliance revenue. The company reported a core EPS growth of 17% and a gross margin of 83%, reflecting favorable sales mix and exchange rates. AstraZeneca achieved 19 regulatory approvals across key regions and announced positive results from 12 Phase III trials, including five new molecular entities. Oncology and biopharmaceuticals saw double-digit growth, with rare diseases returning to a 7% growth in Q2. The company reiterated its guidance for a high single-digit percentage increase in revenue and a low double-digit percentage increase in EPS for the year. Significant investment continues in R&D, with costs representing 23% of total revenue, supported by a robust pipeline poised to generate over $10 billion in peak year revenue on a risk-adjusted basis. The company remains confident in achieving its $80 billion revenue target by 2030.AstraZeneca Financial Statement Overview
Summary
AstraZeneca exhibits strong financial health across all verticals. The income statement reflects solid growth and profitability improvements with a revenue growth rate of 16.15% and a net profit margin of 14.14%. The balance sheet is stable with a moderate debt-to-equity ratio and improved return on equity. Cash flow metrics indicate efficient cash generation, with a free cash flow growth rate of 25.63%.Income Statement
AstraZeneca shows strong income statement performance with a consistent revenue growth trajectory, evidenced by a revenue growth rate of 16.15% from 2023 to TTM. The gross profit margin is robust at 81.38% TTM, indicating efficient cost management. The net profit margin also improved to 14.14% TTM, reflecting enhanced profitability. EBIT margin at 19.21% and EBITDA margin at 32.19% TTM suggest solid operational efficiency. Overall, AstraZeneca's income statement reflects a strong growth trend with improving profitability metrics.85
Very Positive
Balance Sheet
AstraZeneca maintains a stable balance sheet with a moderate debt-to-equity ratio of 0.76 TTM, indicating manageable leverage levels. The equity ratio stands at 38.62% TTM, providing a stable equity base. Return on equity improved to 18.94% TTM, highlighting effective utilization of shareholder funds. The balance sheet reflects a healthy financial structure, though attention to debt levels remains prudent.78
Positive
Cash Flow
AstraZeneca demonstrates strong cash flow performance with a free cash flow growth rate of 25.63% from 2023 to TTM, indicating robust cash generation. The operating cash flow to net income ratio is favorable at 1.68 TTM, showing efficient conversion of earnings to cash. The free cash flow to net income ratio of 1.18 TTM underscores solid cash flow management. Overall, cash flows are well-aligned with income, supporting financial flexibility.82
Very Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 56.67B | 54.07B | 45.81B | 44.35B | 37.42B | 26.62B |
| Gross Profit | 44.99B | 43.87B | 33.88B | 31.96B | 24.98B | 21.32B |
| EBITDA | 18.60B | 15.44B | 12.98B | 9.09B | 5.11B | 8.08B |
| Net Income | 8.32B | 7.04B | 5.96B | 3.29B | 112.00M | 3.20B |
Balance Sheet | ||||||
| Total Assets | 112.42B | 104.03B | 101.12B | 96.48B | 105.36B | 66.73B |
| Cash, Cash Equivalents and Short-Term Investments | 7.11B | 5.65B | 5.86B | 6.24B | 6.40B | 7.99B |
| Total Debt | 32.84B | 30.11B | 28.62B | 29.23B | 30.78B | 20.38B |
| Total Liabilities | 67.61B | 63.16B | 61.95B | 59.42B | 66.08B | 51.09B |
| Stockholders Equity | 44.72B | 40.79B | 39.14B | 37.04B | 39.27B | 15.62B |
Cash Flow | ||||||
| Free Cash Flow | 9.56B | 7.28B | 6.57B | 7.24B | 3.76B | 2.19B |
| Operating Cash Flow | 13.51B | 11.86B | 10.35B | 9.81B | 5.96B | 4.80B |
| Investing Cash Flow | -6.15B | -7.98B | -4.06B | -2.96B | -11.06B | -285.00M |
| Financing Cash Flow | -7.01B | -4.00B | -6.57B | -6.82B | 3.65B | -2.20B |
AstraZeneca Technical Analysis
Positive
74.59
Price Trends
71.63
Positive
71.15
Positive
70.12
Positive
Market Momentum
0.94
Negative
58.09
Neutral
58.75
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AZN, the sentiment is Positive. The current price of 74.59 is above the 20-day moving average (MA) of 71.83, above the 50-day MA of 71.63, and above the 200-day MA of 70.12, indicating a bullish trend. The MACD of 0.94 indicates Negative momentum. The RSI at 58.09 is Neutral, neither overbought nor oversold. The STOCH value of 58.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AZN.
AstraZeneca Risk Analysis
AstraZeneca disclosed 19 risk factors in its most recent earnings report. AstraZeneca reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
AstraZeneca Peers Comparison
Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $228.65B | 27.55 | 19.76% | 2.08% | 15.17% | 29.15% | |
79 Outperform | $199.10B | 12.22 | 39.31% | 4.04% | 2.01% | ― | |
78 Outperform | $222.45B | 16.59 | 32.82% | 3.46% | 12.83% | -11.92% | |
74 Outperform | $74.84B | 17.29 | 23.04% | 4.27% | 3.46% | -13.29% | |
73 Outperform | $113.61B | 11.62 | 8.39% | 4.73% | -9.32% | 120.62% | |
66 Neutral | $133.55B | 17.02 | 8.62% | 7.28% | 13.38% | ― | |
51 Neutral | $7.38B | 0.36 | -65.54% | 2.37% | 16.37% | 0.39% |
* Healthcare Sector Average
Performance Comparison
AZN
AstraZeneca
74.59
-3.10
-3.99%
GSK
GlaxoSmithKline
37.68
0.60
1.62%
MRK
Merck & Company
79.86
-27.66
-25.73%
NVS
Novartis
117.83
11.01
10.31%
PFE
Pfizer
23.53
-3.87
-14.12%
SNY
Sanofi
48.05
-1.39
-2.81%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.