Alkermes plc (ALKS) vs Neurocrine Biosciences, Inc. (NBIX)

Alkermes plc and Neurocrine Biosciences, Inc. are both Drug Manufacturers Specialty & Generic companies. Neurocrine Biosciences, Inc. is the larger, with a market value of $13.9B against $6.7B — 2.1× the size. Neurocrine Biosciences, Inc. trades at the lower P/E: 19.2× against 102×. Neurocrine Biosciences, Inc. grew revenue faster over the last twelve months: 34.4% against 10.8%. Neurocrine Biosciences, Inc. has the higher net margin (20.9% vs 3.97%) and the higher return on invested capital (15.0% vs 2.76%). Across the 22 metrics below, Neurocrine Biosciences, Inc. leads on 20 and Alkermes plc on 2.

Valuation

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
P/E 102.28 19.25 19.25
P/S 4.13 4.06 2.11
P/B 3.81 3.71 1.78
Price to free cash flow 30.91 15.75 16.14
EV/EBITDA 34.73 16.66 12.58
EV/Sales 4.64 4.11 2.73
Earnings yield 0.98% 5.19% (4.38%)
Free cash flow yield 3.23% 6.35% 0.00%

Profitability

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
Gross margin 84.56% 97.94% 53.94%
Operating margin 7.03% 23.56% 0.00%
Net margin 3.97% 20.91% 0.00%
Free cash flow margin 13.35% 25.80% 0.00%
Return on equity 3.85% 22.09% (0.40%)
Return on assets 1.99% 15.26% (3.32%)
Return on invested capital 2.76% 15.04% 0.00%

Growth

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
Revenue growth (TTM) 10.79% 34.42% 10.01%
EPS growth (last fiscal year) (34.10%) 41.95% 49.06%
Revenue growth, 5-year CAGR 7.28% 22.29% 6.74%
Net income growth, 5-year CAGR 0.00% 3.28% 0.00%

Health

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
Debt to equity 0.83 0.00 0.05
Current ratio 2.30 1.87 2.31
Net debt to EBITDA (4.69) (2.33) 0.97

Dividend

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
Dividend yield — — 1.57%
Payout ratio — — 0.27

Size

Metric ALKS NBIX Drug Manufacturers Specialty & Generic median
Market cap 6.73b 13.92b 276.90m

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