Genmab (GMAB) AI Stock Analysis

• Market Cap: $17.90B
• Dividend Yield: N/A
• Average Volume (3M): 2.77M
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.44
• Revenue Growth: 24.98%
• EPS Growth: 127.06%
• Country: US
• Employees: 2,638
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.65
• Shares Outstanding: 642,063,500
• 10 Day Avg. Volume: 2,348,071
• 30 Day Avg. Volume: 2,773,499
• PEG Ratio: 0.15
• Price to Book (P/B): 2.65
• Price to Sales (P/S): 4.51
• P/FCF Ratio: 12.81
• Enterprise Value/Market Cap: 0.88
• Enterprise Value/Revenue: 1.12
• Enterprise Value/Gross Profit: 1.19
• Enterprise Value/Ebitda: 2.64
• 1Y Price Target: $41.00
• Price Target Upside: 34.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: $34.00 ▲(11.59% Upside)

Genmab's strong financial performance and positive earnings call sentiment are the primary drivers of its score. The company's strategic initiatives and solid valuation further support its potential, despite some technical indicators suggesting caution.

Positive Factors

Strong Financial Position

A robust cash position provides Genmab with the flexibility to invest in growth opportunities, fund R&D, and weather economic uncertainties, supporting long-term stability.

Strategic Acquisition

The acquisition of Merus enhances Genmab's pipeline and market position, potentially accelerating growth and expanding its portfolio with high-value assets.

Revenue Growth

Strong revenue and profit growth indicate effective business strategies and product demand, reinforcing Genmab's competitive position in the biotechnology sector.

Negative Factors

Decline in Revenue Growth Rate

A declining revenue growth rate could signal challenges in maintaining momentum, potentially impacting future financial performance and market confidence.

Free Cash Flow Decline

Reduced free cash flow growth may constrain Genmab's ability to fund new projects and investments, affecting long-term strategic initiatives and liquidity.

Challenges with GEN1042 Development

Halting GEN1042 development highlights potential setbacks in R&D, which could impact Genmab's innovation pipeline and future growth prospects.

Genmab Business Overview & Revenue Model

Company Description

Genmab (GMAB) is a global biotechnology company specializing in the development of differentiated antibody therapeutics for the treatment of cancer. Founded in 1999 and headquartered in Copenhagen, Denmark, Genmab focuses on creating innovative treatments that leverage its proprietary antibody technology platform. The company has engaged in multiple partnerships with pharmaceutical firms to enhance its research and development capabilities, resulting in a robust pipeline of product candidates, including both fully owned and partnered assets.

How the Company Makes Money

Genmab generates revenue primarily through collaborations and partnerships with major pharmaceutical companies, where it receives upfront payments, milestone payments based on the progress of drug development, and royalties on sales of commercialized products. The company has significant collaborations with firms such as Johnson & Johnson and AbbVie, which contribute to its earnings through shared development costs and revenue from successful products. Additionally, Genmab also earns revenue from the sale of its own proprietary products, such as Darzalex (daratumumab), which is marketed for multiple myeloma, contributing to a steady stream of income from sales. These diverse revenue streams, including both collaboration agreements and product sales, form the backbone of Genmab's financial model.

Genmab Financial Statement Overview

Summary

Genmab demonstrates strong financial health with high profitability margins and a robust balance sheet characterized by low leverage. However, recent revenue and free cash flow declines in the TTM period pose potential risks. The company needs to address these challenges to sustain its financial performance. Overall, Genmab remains a financially stable entity with opportunities for improvement in revenue growth and cash flow generation.

Income Statement

Genmab's income statement shows a strong gross profit margin consistently above 95%, indicating efficient cost management. However, the TTM data reveals a significant revenue decline of 20.06%, impacting net profit margins, which decreased from 36.44% in 2024 to 30.09% in the TTM period. Despite this, the company maintains healthy EBIT and EBITDA margins, reflecting operational efficiency. The recent revenue contraction poses a risk to future profitability.

Balance Sheet

Genmab's balance sheet is robust, with a low debt-to-equity ratio consistently below 0.03, indicating minimal leverage and financial stability. The return on equity is strong at 25.61% in the TTM period, showcasing effective use of equity to generate profits. The equity ratio remains healthy, suggesting a solid capital structure. Overall, the balance sheet reflects financial strength and low risk.

Cash Flow

The cash flow statement highlights a decline in free cash flow growth by 22.60% in the TTM period, raising concerns about cash generation. However, the operating cash flow to net income ratio is strong at 8.66, indicating efficient cash conversion. The free cash flow to net income ratio remains close to 1, suggesting that the company effectively translates earnings into cash. Despite recent declines, cash flow management remains solid.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.04B	21.53B	16.47B	14.51B	8.42B	10.11B
Gross Profit	13.24B	20.54B	16.25B	14.51B	8.42B	10.11B
EBITDA	5.96B	9.70B	5.95B	7.35B	4.18B	6.16B
Net Income	6.57B	7.84B	4.35B	5.45B	2.96B	4.76B
Balance Sheet
Total Assets	7.02B	45.81B	35.29B	30.12B	24.63B	21.14B
Cash, Cash Equivalents and Short-Term Investments	3.41B	21.10B	28.14B	22.32B	19.34B	16.08B
Total Debt	142.00M	1.03B	770.00M	597.00M	425.00M	319.00M
Total Liabilities	1.27B	9.11B	3.68B	2.84B	2.43B	2.02B
Stockholders Equity	5.75B	36.70B	31.61B	27.28B	22.20B	19.12B
Cash Flow
Free Cash Flow	5.23B	7.58B	7.00B	3.60B	1.98B	6.13B
Operating Cash Flow	5.59B	7.77B	7.38B	3.91B	2.23B	6.43B
Investing Cash Flow	-99.40M	-9.91B	-1.28B	-2.76B	-961.00M	-2.35B
Financing Cash Flow	-2.68B	-3.92B	-606.00M	-789.00M	-420.00M	71.00M

Genmab Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 30.47
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GMAB, the sentiment is Positive. The current price of 30.47 is above the 20-day moving average (MA) of 29.73, above the 50-day MA of 29.85, and above the 200-day MA of 23.41, indicating a bullish trend. The MACD of -0.16 indicates Negative momentum. The RSI at 57.39 is Neutral, neither overbought nor oversold. The STOCH value of 84.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GMAB.

Genmab Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INCY	81 Outperform	$21.25B	18.16	30.39%	―	18.09%	3563.21%
RPRX	80 Outperform	$22.85B	22.64	11.51%	2.20%	3.72%	-31.46%
GMAB	76 Outperform	$17.90B	12.77	28.20%	―	24.98%	127.06%
BMRN	73 Outperform	$10.12B	20.58	9.07%	―	12.31%	60.21%
BNTX	53 Neutral	$26.86B	―	-2.94%	―	7.04%	-25.24%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ASND	46 Neutral	$11.87B	―	―	―	55.77%	46.81%

Genmab Corporate Events

Genmab Announces $2.5 Billion Note Offering for Merus Acquisition

On November 10, 2025, Genmab A/S announced a proposed private offering of $1.5 billion in senior secured notes due 2032 and $1.0 billion in senior unsecured notes due 2033, alongside the syndication of a new $2.0 billion senior secured term loan facility. The funds raised will be used to finance the acquisition of Merus N.V., a strategic move expected to enhance Genmab’s market position in the biotechnology sector. The offering is part of a broader financing strategy that includes previously syndicated credit facilities, and it underscores Genmab’s commitment to expanding its operational capabilities and market reach.

Genmab Reports Strong Financial Growth and Announces Acquisition of Merus

On November 6, 2025, Genmab announced its financial results for the first nine months of 2025, reporting a 21% increase in revenue to $2,662 million, driven by higher royalties from DARZALEX and Kesimpta. The company also revealed its proposed acquisition of Merus N.V., a move expected to enhance its late-stage portfolio and accelerate its growth as a global biotechnology leader. This acquisition, valued at approximately $8 billion, is anticipated to close by early 2026, subject to customary conditions.

Genmab Reports Strong Q3 2025 DARZALEX® Sales

On October 14, 2025, Genmab A/S announced that the net sales of DARZALEX® (daratumumab) for the third quarter of 2025 totaled USD 3,672 million, with USD 2,088 million from the U.S. and USD 1,584 million from the rest of the world. Genmab receives royalties on these sales from Johnson & Johnson, which holds the exclusive worldwide license to develop, manufacture, and commercialize daratumumab. This announcement highlights Genmab’s strong market presence and the significant impact of DARZALEX® on its financial performance.

Genmab A/S Updates Articles of Association to Enhance Growth Strategy

On September 30, 2025, Genmab A/S announced updates to its Articles of Association, detailing authorizations for capital increases and issuance of warrants and convertible debt instruments. These changes, approved by the Board of Directors, aim to support the company’s strategic growth and operational flexibility, potentially impacting shareholder rights and market positioning.

Genmab to Acquire Merus, Expanding Pipeline and Strategic Growth

On September 29, 2025, Genmab A/S announced its intention to acquire Merus N.V., a clinical-stage biotechnology company, for approximately USD 8.0 billion in an all-cash transaction. This acquisition, unanimously approved by both companies’ boards, is expected to enhance Genmab’s late-stage pipeline and accelerate its transition to a wholly owned model. The addition of Merus’ lead asset, petosemtamab, which has received two Breakthrough Therapy Designations, aligns with Genmab’s strategic focus and is anticipated to drive significant growth, with potential new drug launches by 2027. The transaction is expected to close by early 2026 and is projected to be accretive to EBITDA by 2029, with substantial revenue potential thereafter.

Genmab Grants Stock Units and Warrants to Employees

On September 26, 2025, Genmab A/S announced the grant of 14,353 restricted stock units and 9,681 warrants to its employees and subsidiaries. These awards are part of Genmab’s strategy to incentivize its workforce, with restricted stock units and warrants vesting over three years. The initiative underscores Genmab’s commitment to employee engagement and aligns with its long-term growth and innovation goals in the biotechnology sector.

Genmab Announces Major Shareholder Update with Orbis Investment

On September 23, 2025, Genmab A/S announced that Orbis Investment Management Limited now controls 5.03% of its share capital and voting rights, as of September 19, 2025. This major shareholder announcement highlights Orbis’s significant influence within Genmab, potentially impacting the company’s strategic decisions and market positioning.

Genmab A/S Updates Articles of Association to Boost Financial Flexibility

On September 10, 2025, Genmab A/S announced updates to its Articles of Association, authorizing the Board of Directors to increase the company’s share capital and issue warrants and convertible debt instruments. These changes aim to provide financial flexibility and support the company’s growth strategy, impacting stakeholders by potentially diluting existing shares but also offering opportunities for investment and expansion.

Genmab Announces Capital Increase Following Employee Warrant Exercise

On September 9, 2025, Genmab A/S announced a capital increase of 47,532 shares following the exercise of employee warrants, generating approximately DKK 51.5 million. This increase, which represents about 0.07% of the company’s share capital, includes the exercise of 23,266 warrants by CEO Jan van de Winkel. The new shares, ordinary and freely transferable, will be listed on Nasdaq Copenhagen, enhancing Genmab’s market position and potentially benefiting stakeholders by increasing the company’s equity base.

Genmab Updates Articles to Boost Financial Flexibility

On August 13, 2025, Genmab A/S announced updates to its Articles of Association, including authorizations for the Board of Directors to increase share capital and issue warrants and convertible debt instruments. These changes aim to enhance the company’s financial flexibility and support its strategic growth initiatives, potentially impacting shareholder value and market positioning.