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AstraZeneca Earnings: Strong Growth, but Approaching Generics Weigh on Long-Term Outlook
AstraZeneca reported strong first-quarter results that fell largely in line with our expectations, so we are holding firm to our fair value estimate.
AstraZeneca PLC AZN
Bulls Say, Bears Say
Bulls
The company is expanding its oncology presence with several important pipeline products. In particular, the company's EGFR drug Tagrisso looks well positioned to drive major cashflows over the next decade.
Bears
The company's strong entrenchment in respiratory disease could cause challenges, as pricing power in this market tends to be weak.
Is it the right time to buy, sell, or hold?
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News
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Astrazeneca Up Nearly 6%, on Pace for Largest Percent Increase Since November 2022 — Data Talk
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AbelZeta Announces Abstract for C-CAR031 Accepted for Presentation at the 2024 American Society of Clinical Oncology (ASCO) Annual Meeting
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AstraZeneca Earnings, Sales Rise, Beating Forecasts — Update
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AstraZeneca Earnings, Sales Rise, Beat Forecasts
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AstraZeneca Executives' Compensation Policy Passes With Low Shareholder Approval
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AstraZeneca Raises Dividend
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ENHERTU® Approved in the U.S. as First Tumor Agnostic HER2 Directed Therapy for Previously Treated Patients with Metastatic HER2 Positive Solid Tumors
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Datopotamab Deruxtecan Biologics License Application Accepted in the U.S. for Patients with Previously Treated Metastatic HR Positive, HER2 Negative Breast Cancer
Trading Information
- Previous Close Price
- GBX 12,026.00
- Day Range
- GBX 11,908.00–12,144.00
- 52-Week Range
- GBX 9,461.00–12,210.00
- Bid/Ask
- GBX 11,946.00 / GBX 11,948.00
- Market Cap
- GBX 18.53 Tril
- Volume/Avg
- 536,775 / 3.0 Mil
Key Statistics
- Price/Earnings (Normalized)
- 20.45
- Price/Sales
- 4.96
- Dividend Yield (Trailing)
- 1.89%
- Dividend Yield (Forward)
- 1.89%
- Total Yield
- 1.89%
Company Profile
A merger between Astra of Sweden and Zeneca Group of the United Kingdom formed AstraZeneca in 1999. The firm sells branded drugs across several major therapeutic classes, including gastrointestinal, diabetes, cardiovascular, respiratory, cancer, immunology and rare diseases. The majority of sales come from international markets with the United States representing close to one third of its revenue.
- Sector
- Healthcare
- Industry
- Drug Manufacturers - General
- Stock Style Box
- Large Growth
- Total Number of Employees
- 89,900
- Website
- https://www.astrazeneca.com
Competitors
Valuation
|
Metric
|
AZN
|
MRK
|
LLY
|
|---|---|---|---|
Price/Earnings (Normalized) | 20.45 | 84.66 | 86.39 |
Price/Book Value | 6.29 | 8.56 | 63.89 |
Price/Sales | 4.96 | 5.38 | 19.19 |
Price/Cash Flow | 23.38 | 21.27 | 89.75 |
Price/Earnings
AZN
MRK
LLY
Financial Strength
|
Metric
|
AZN
|
MRK
|
LLY
|
|---|---|---|---|
Quick Ratio | 0.70 | 0.68 | 0.52 |
Current Ratio | 0.89 | 1.25 | 0.94 |
Interest Coverage | 5.32 | 2.33 | 14.13 |
Quick Ratio
AZN
MRK
LLY
Profitability
|
Metric
|
AZN
|
MRK
|
LLY
|
|---|---|---|---|
Return on Assets (Normalized) | 59.78% | 3.59% | 10.22% |
Return on Equity (Normalized) | 157.53% | 9.12% | 52.03% |
Return on Invested Capital (Normalized) | 88.21% | 5.88% | 19.27% |
Return on Assets
AZN
MRK
LLY
Drug Manufacturers - General Industry Comparables
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
LLY
| Eli Lilly and Co | Kxytnlgfs | Tpgt | $689.2 Bil | |
JNJ
| Johnson & Johnson | Jpfnncn | Kdn | $353.8 Bil | |
MRK
| Merck & Co Inc | Zdwkmccf | Jyd | $321.5 Bil | |
ABBV
| AbbVie Inc | Mkwscbst | Sztq | $296.2 Bil | |
AZN
| AstraZeneca PLC ADR | Yxppfyns | Dygb | $219.1 Bil | |
NVS
| Novartis AG ADR | Hbgbndzl | Vzlhx | $200.8 Bil | |
RHHBY
| Roche Holding AG ADR | Dgntxgdyn | Yhxn | $196.3 Bil | |
AMGN
| Amgen Inc | Vwtbsxchr | Frcmd | $144.5 Bil | |
PFE
| Pfizer Inc | Dnfchmd | Kgmb | $143.0 Bil | |
SNY
| Sanofi SA ADR | Fsgsvrjmz | Zzdgz | $117.2 Bil |