Regeneron (REGN) AI Stock Analysis

• Market Cap: $60.39B
• Dividend Yield: 0.31%
• Average Volume (3M): 929.01K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 0.69
• Revenue Growth: 5.38%
• EPS Growth: 3.58%
• Country: US
• Employees: 15,158
• Sector: Healthcare
• Sector Strength: 38
• Industry: Biotechnology
• EPS (TTM): 12.89
• Shares Outstanding: 104,170,296
• 10 Day Avg. Volume: 1,006,319
• 30 Day Avg. Volume: 929,011
• PEG Ratio: 1.68
• Price to Book (P/B): 2.62
• Price to Sales (P/S): 5.41
• P/FCF Ratio: 20.97
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 3.67
• Enterprise Value/Gross Profit: 4.34
• Enterprise Value/Ebitda: 9.63
• 1Y Price Target: $713.74
• Price Target Upside: 25.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 23

• Rating: 75 Outperform
• Price Target: $629.00 ▲(10.37% Upside)

Regeneron's overall stock score of 75 reflects a strong financial performance backed by robust profitability, stability, and cash generation capabilities. The technical analysis suggests moderate positive momentum, while the valuation indicates potential undervaluation. Despite some challenges highlighted in the earnings call, the company's strategic investments in R&D and product development provide a promising outlook for future growth.

Positive Factors

Earnings

A strong 54% EPS beat was driven by beats on nearly every line of the P&L.

Product Sales

Eylea HD had a strong Q/Q recovery due to increasing demand.

Revenue Growth

Global Dupixent sales beat and the COPD and CSU launches should add to growth.

Negative Factors

Regulatory Approvals

Eylea HD approvals are expected to be delayed due to a site inspection at Catalent.

Regulatory Delays

There are more delays in regulatory approval for the Eylea HD formulation.

Sales Impact

Q2 sales were impacted by the ongoing closure of the Good Days retinal disease charity fund.

Regeneron Business Overview & Revenue Model

Company Description

Regeneron Pharmaceuticals, Inc. (REGN) is a leading biotechnology company that specializes in discovering, developing, and delivering innovative medicines for serious medical conditions. Founded in 1988 and headquartered in Tarrytown, New York, Regeneron operates primarily in the pharmaceutical and biotechnology sectors. The company's core products include treatments for eye diseases, allergic and inflammatory diseases, cancer, cardiovascular ailments, and infectious diseases. Regeneron's flagship products include EYLEA for retinal diseases, Dupixent for various allergic and inflammatory conditions, and Libtayo for certain types of cancer.

How the Company Makes Money

Regeneron generates revenue primarily through the sale of its pharmaceutical products, with key revenue streams including sales of EYLEA, Dupixent, and Libtayo. The company benefits from strategic collaborations and partnerships with other pharmaceutical firms to co-develop and commercialize certain drugs, which contribute to its earnings through royalties and shared profits. Additionally, Regeneron engages in research and development collaborations with partners like Sanofi, which help fund its innovation pipeline and expand its market reach. The company's financial performance is also bolstered by its proprietary VelociSuite technologies, which enhance drug discovery and development efficiency, thus leading to potential licensing opportunities.

Regeneron Financial Statement Overview

Summary

Regeneron exhibits strong profitability, stability, and cash generation capabilities, supported by a robust balance sheet and efficient operational management. Despite challenges in revenue growth, the company's low leverage and high equity position mitigate financial risk, making it well-positioned for future growth in the biotechnology sector.

Income Statement

Regeneron's income statement reflects strong profitability with a Gross Profit Margin of 87.44% and a Net Profit Margin of 31.37% for TTM. While the revenue growth rate has slowed recently, historical revenue growth has been impressive. EBIT and EBITDA margins remain healthy, indicating efficient operations. However, the decline in revenue from 2021 to 2022 highlights potential market challenges.

Balance Sheet

Regeneron maintains a robust balance sheet characterized by a low Debt-to-Equity Ratio of 0.09 and a strong Equity Ratio of 78.32% for TTM, indicating low leverage and high financial stability. The Return on Equity is solid at 14.89%, reflecting efficient use of equity capital. The company has a strong asset base, enhancing its financial resilience.

Cash Flow

The cash flow statement indicates healthy cash generation, with an Operating Cash Flow to Net Income Ratio of 1.06 for TTM. The Free Cash Flow to Net Income Ratio is also strong at 0.86, suggesting effective cash management. However, there is a declining trend in free cash flow growth, which may impact future liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.21B	14.20B	13.12B	12.17B	16.07B	8.50B
Gross Profit	12.03B	12.23B	11.30B	10.61B	13.63B	7.38B
EBITDA	5.42B	5.32B	4.69B	5.34B	9.28B	3.90B
Net Income	4.46B	4.41B	3.95B	4.34B	8.08B	3.51B
Balance Sheet
Total Assets	38.22B	37.76B	33.08B	29.21B	25.43B	17.16B
Cash, Cash Equivalents and Short-Term Investments	7.47B	9.01B	10.84B	14.33B	12.53B	6.72B
Total Debt	2.71B	2.70B	2.70B	2.70B	2.70B	2.70B
Total Liabilities	8.28B	8.41B	7.11B	6.55B	6.67B	6.14B
Stockholders Equity	29.94B	29.35B	25.97B	22.66B	18.77B	11.03B
Cash Flow
Free Cash Flow	3.84B	3.66B	3.67B	4.42B	6.53B	2.00B
Operating Cash Flow	4.74B	4.42B	4.59B	5.01B	7.08B	2.62B
Investing Cash Flow	-670.30M	-2.47B	-3.19B	-3.78B	-5.38B	-70.60M
Financing Cash Flow	-3.99B	-2.20B	-1.79B	-1.01B	-1.01B	-1.97B

Regeneron Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 569.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For REGN, the sentiment is Positive. The current price of 569.9 is above the 20-day moving average (MA) of 558.14, above the 50-day MA of 539.70, and below the 200-day MA of 660.27, indicating a neutral trend. The MACD of 5.83 indicates Negative momentum. The RSI at 58.56 is Neutral, neither overbought nor oversold. The STOCH value of 60.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for REGN.

Regeneron Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GMAB	76 Outperform	$13.64B	12.41	22.69%	―	25.11%	46.46%
REGN	75 Outperform	$60.39B	14.40	15.34%	0.31%	5.38%	3.58%
INCY	75 Outperform	$15.18B	17.65	24.30%	―	18.87%	1088.27%
ARGX	74 Outperform	$42.40B	31.70	24.75%	―	89.58%	―
ALNY	65 Neutral	$54.91B	―	-257.82%	―	5.01%	-330.09%
BNTX	58 Neutral	$26.70B	―	-1.81%	―	0.58%	-764.64%
Sector *	51 Neutral	$7.38B	0.42	-62.86%	2.37%	15.61%	-1.95%

Regeneron Corporate Events

Regeneron Shareholders Approve Key Proposals at 2025 Meeting

At the 2025 Annual Meeting of Shareholders held on June 13, Regeneron Pharmaceuticals’ shareholders voted on several key proposals. The election of Class I directors was confirmed, with nominees set to serve until the 2028 meeting. The appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for 2025 was ratified. Additionally, an advisory vote approved the executive compensation package. A significant amendment to declassify the board of directors was passed, while proposals to eliminate supermajority vote requirements for certain amendments to the company’s Certificate of Incorporation were not approved.

The most recent analyst rating on (REGN) stock is a Hold with a $940.00 price target. To see the full list of analyst forecasts on Regeneron stock, see the REGN Stock Forecast page.