Genmab (GMAB) AI Stock Analysis

• Market Cap: $14.04B
• Dividend Yield: N/A
• Average Volume (3M): 1.35M
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.59
• Revenue Growth: 25.11%
• EPS Growth: 46.46%
• Country: US
• Employees: 2,638
• Sector: Healthcare
• Sector Strength: 55
• Industry: Biotechnology
• EPS (TTM): 0.30
• Shares Outstanding: 641,221,400
• 10 Day Avg. Volume: 1,148,194
• 30 Day Avg. Volume: 1,345,023
• PEG Ratio: 0.04
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $30.67
• Price Target Upside: 34.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 82 Outperform
• Price Target: $26.00 ▲(13.74%Upside)

Genmab's overall stock score is driven primarily by its strong financial performance, with a robust balance sheet and effective cash flow management. The technical analysis also supports a positive outlook, although the stock may be nearing overbought levels. Valuation metrics are favorable, though the lack of a dividend yield is a minor drawback.

Positive Factors

Clinical Trials and Data

Rina-S in endometrial cancer shows a promising overall response rate well above standard-of-care treatments, highlighting its potential as a superior therapy.

Company Strategy

Broad activity of Rina-S and development strategy strengthen confidence in success amid growing competition.

Stock Performance

There is increased confidence in the blockbuster potential of Rina-S, with continued clinical success as a key driver to upside in Genmab stock.

Negative Factors

Competitive Landscape

The company provided updates addressing several key questions, including concerns around myelosuppression and positioning within the competitive landscape.

Drug Development Challenges

Management highlighted the challenges of different dose selection due to patient BMI and body surface-area guided dosing.

Genmab Business Overview & Revenue Model

Company Description

Genmab A/S develops antibody therapeutics for the treatment of cancer and other diseases primarily in Denmark. The company markets DARZALEX, a human monoclonal antibody for the treatment of patients with multiple myeloma (MM); teprotumumab for the treatment of thyroid eye disease; ofatumurnab, a human monoclonal antibody to treat chronic lymphocytic leukemia (CLL) and multiple sclerosis; and Amivantamab for advanced or metastatic gastric or esophageal cancer and NSCLC. Its products include daratumumab to treat MM, non-MM blood cancers, and AL amyloidosis; GEN1047; tisotumab vedotin for treating cervical, ovarian, and solid cancers; DuoBody-PD-L1x4-1BB, and DuoBody-CD40x4-1BB for treating solid tumors; Epcoritamab for relapsed/refractory diffuse large B-cell lymphoma and chronic lymphocytic leukemia; and HexaBody-CD38 and DuoHexaBody-CD37 for treating hematological malignancies. The company's also develops products, which is in Phase 2 comprise Teclistamab for vaso-occlusive crises; Camidanlumab tesirine to treat hodgkin lymphoma and solid tumors; JNJ-64007957 and JNJ-64407564 to treat MM; PRV-015 for treating celiac disease; Mim8 for treating haemophilia A; and Lu AF82422 for treating multiple system atrophy disease. In addition, it has approximately 20 active pre-clinical programs. The company has a commercial license and collaboration agreement with Seagen Inc. to co-develop tisotumab vedotin. It also has a collaboration agreement with CureVac AG for the research and development of differentiated mRNA-based antibody products; AbbVie for the development of epcoritamab; and collaborations with BioNTech, Janssen, Novo Nordisk A/S, BliNK Biomedical SAS, and Bolt Biotherapeutics, Inc. Genmab A/S was founded in 1999 and is headquartered in Copenhagen, Denmark.

How the Company Makes Money

Genmab generates revenue through a combination of royalties, collaboration agreements, and milestone payments. A significant portion of its revenue comes from royalties on sales of its marketed products, such as DARZALEX, which is commercialized by Janssen Biotech, a subsidiary of Johnson & Johnson. The company also enters into strategic partnerships and licensing agreements with major pharmaceutical companies to co-develop and commercialize its antibody products, which provides upfront payments, development milestones, and sales-based royalties. Additionally, Genmab invests in its own proprietary product pipeline with the potential for future commercialization, thus creating multiple avenues for revenue generation.

Genmab Financial Statement Overview

Summary

Genmab demonstrates robust financial health with strong profitability, a solid balance sheet, and effective cash flow management. Despite a slight recent revenue decline, the company maintains a strong market position with efficient operations and low leverage, providing resilience against market volatility.

Income Statement

Genmab exhibits strong profitability with a consistent gross profit margin exceeding 95% across the years. The net profit margin for TTM is a robust 37.1%, highlighting effective cost management. Revenue growth is evident, although there was a decline in the most recent period compared to the previous year, indicating potential market fluctuations or competitive pressures.

Balance Sheet

The balance sheet reflects strong financial stability with a low debt-to-equity ratio of 0.027 in TTM, indicating low financial leverage. The equity ratio is high, around 80.4%, showcasing a solid equity base. Return on equity is impressive at 12.7%, reflecting efficient use of equity capital.

Cash Flow

Cash flow statements reveal a strong cash generation capability, with a high operating cash flow to net income ratio of 0.97 and a free cash flow to net income ratio of 0.95 in TTM. However, free cash flow growth has seen some fluctuations, indicating potential investment cycles or operational changes.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
22.32B	21.53B	16.47B	14.60B	8.48B	10.11B
	Gross Profit
21.23B	20.54B	16.25B	14.60B	8.48B	10.11B
	EBIT
6.27B	6.70B	5.32B	6.27B	2.95B	6.31B
	EBITDA
6.62B	9.70B	5.56B	7.35B	3.15B	6.54B
	Net Income Common Stockholders
6.71B	7.84B	4.35B	5.45B	2.96B	4.76B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.23B	21.10B	28.14B	22.32B	19.34B	16.08B
	Total Assets
6.59B	45.81B	35.29B	30.28B	24.63B	21.14B
	Total Debt
143.00M	1.03B	770.00M	597.00M	425.00M	319.00M
	Net Debt
-1.48B	-8.83B	-14.10B	-9.30B	-8.53B	-6.94B
	Total Liabilities
1.29B	9.11B	3.68B	2.84B	2.43B	2.02B
	Stockholders Equity
5.30B	36.70B	31.61B	27.44B	22.20B	19.12B
Cash Flow		Free Cash Flow
6.35B	7.58B	7.00B	3.60B	1.98B	6.13B
	Operating Cash Flow
6.54B	7.77B	7.38B	3.91B	2.23B	6.43B
	Investing Cash Flow
-8.51B	-9.91B	-1.28B	-2.76B	-961.00M	-2.35B
	Financing Cash Flow
-3.34B	-3.92B	-606.00M	-789.00M	-420.00M	71.00M

Genmab Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.86
• 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 22.86 is above the 20-day moving average (MA) of 21.65, above the 50-day MA of 20.55, and above the 200-day MA of 21.77, indicating a bullish trend. The MACD of 0.68 indicates Negative momentum. The RSI at 65.52 is Neutral, neither overbought nor oversold. The STOCH value of 88.25 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
EXEL	84 Outperform	$11.39B	18.94	30.22%	―	24.49%	244.87%
GMAB	82 Outperform	$14.04B	12.83	22.69%	―	25.11%	46.46%
UTHR	76 Outperform	$12.78B	11.31	19.94%	―	19.85%	21.16%
INCY	74 Outperform	$13.79B	220.36	0.47%	―	17.13%	-88.78%
BMRN	71 Outperform	$10.79B	20.87	9.64%	―	17.99%	152.10%
Sector *	54 Neutral	$5.34B	3.27	-45.10%	3.30%	16.80%	0.02%
ASND	52 Neutral	$10.31B	―	357.68%	―	10.69%	34.71%