Halozyme Therapeutics, Inc. (HALO) vs Madrigal Pharmaceuticals, Inc. (MDGL)

Halozyme Therapeutics, Inc. and Madrigal Pharmaceuticals, Inc. are both Biotechnology companies. Halozyme Therapeutics, Inc. is the larger, with a market value of $13.1B against $11.9B — 1.1× the size. Madrigal Pharmaceuticals, Inc. has negative trailing earnings, so its P/E is not meaningful; Halozyme Therapeutics, Inc. trades at 32.4×. Madrigal Pharmaceuticals, Inc. grew revenue faster over the last twelve months: 149.0% against 41.2%. Halozyme Therapeutics, Inc. has the higher net margin (24.9% vs −25.3%) and the higher return on invested capital (18.1% vs −787.3%). Across the 18 metrics below, Halozyme Therapeutics, Inc. leads on 11 and Madrigal Pharmaceuticals, Inc. on 7.

Valuation

Metric HALO MDGL Biotechnology median
P/E 32.36 n/m 7.88
P/S 8.03 11.73 11.47
P/B 93.06 28.75 2.52
Price to free cash flow 16.57 n/m 21.16
EV/EBITDA 21.24 n/m 0.74
EV/Sales 9.18 11.34 10.73
Earnings yield 3.09% (2.50%) (28.84%)
Free cash flow yield 6.04% (1.39%) (23.03%)

Profitability

Metric HALO MDGL Biotechnology median
Gross margin 82.42% 91.48% 65.16%
Operating margin 35.90% (25.13%) 0.00%
Net margin 24.86% (25.32%) 0.00%
Free cash flow margin 48.46% (16.07%) 0.00%
Return on equity 173.67% (53.31%) (57.72%)
Return on assets 17.86% (28.77%) (49.22%)
Return on invested capital 18.13% (787.33%) 0.00%

Growth

Metric HALO MDGL Biotechnology median
Revenue growth (TTM) 41.15% 149.04% 5.64%
EPS growth (last fiscal year) (25.36%) 41.32% —
Revenue growth, 5-year CAGR 39.16% — 8.40%
Net income growth, 5-year CAGR 19.68% 0.00% 0.00%

Health

Metric HALO MDGL Biotechnology median
Debt to equity 14.95 0.65 0.00
Current ratio 2.71 3.20 4.73
Net debt to EBITDA 3.56 2.21 0.96

Dividend

Metric HALO MDGL Biotechnology median
Dividend yield — — 2.10%
Payout ratio 0.00 0.00 0.00

Size

Metric HALO MDGL Biotechnology median
Market cap 13.08b 11.86b 162.10m

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