Intrinsic value of BeiGene, Ltd. - BGNE

Previous Close

$124.46

  Intrinsic Value

$29.36

stock screener

  Rating & Target

str. sell

-76%

Previous close

$124.46

 
Intrinsic value

$29.36

 
Up/down potential

-76%

 
Rating

str. sell

We calculate the intrinsic value of BGNE stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 0001), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 7.4

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
   2
   3
   4
   5
   6
   7
   8
   9
   10
   11
   12
   13
   14
   15
   16
   17
   18
   19
   20
   21
   22
   23
   24
   25
   26
   27
   28
   29
   30
   31

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  60.00
  54.50
  49.55
  45.10
  41.09
  37.48
  34.23
  31.31
  28.68
  26.31
  24.18
  22.26
  20.53
  18.98
  17.58
  16.32
  15.19
  14.17
  13.26
  12.43
  11.69
  11.02
  10.42
  9.87
  9.39
  8.95
  8.55
  8.20
  7.88
  7.59
Revenue, $m
  317
  489
  732
  1,062
  1,498
  2,060
  2,765
  3,631
  4,672
  5,901
  7,328
  8,959
  10,798
  12,848
  15,107
  17,573
  20,243
  23,111
  26,175
  29,428
  32,868
  36,489
  40,290
  44,268
  48,424
  52,757
  57,269
  61,965
  66,846
  71,920
Variable operating expenses, $m
  439
  669
  993
  1,433
  2,016
  2,765
  3,706
  4,862
  6,251
  7,892
  9,780
  11,957
  14,413
  17,148
  20,163
  23,455
  27,018
  30,847
  34,936
  39,278
  43,869
  48,702
  53,775
  59,085
  64,631
  70,415
  76,438
  82,705
  89,220
  95,993
Fixed operating expenses, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  439
  669
  993
  1,433
  2,016
  2,765
  3,706
  4,862
  6,251
  7,892
  9,780
  11,957
  14,413
  17,148
  20,163
  23,455
  27,018
  30,847
  34,936
  39,278
  43,869
  48,702
  53,775
  59,085
  64,631
  70,415
  76,438
  82,705
  89,220
  95,993
Operating income, $m
  -122
  -180
  -261
  -371
  -517
  -705
  -941
  -1,231
  -1,579
  -1,991
  -2,453
  -2,999
  -3,614
  -4,300
  -5,056
  -5,882
  -6,775
  -7,736
  -8,761
  -9,850
  -11,001
  -12,213
  -13,485
  -14,817
  -16,208
  -17,658
  -19,168
  -20,740
  -22,374
  -24,072
EBITDA, $m
  -91
  -141
  -211
  -306
  -432
  -594
  -798
  -1,048
  -1,348
  -1,703
  -2,115
  -2,585
  -3,116
  -3,707
  -4,359
  -5,071
  -5,841
  -6,669
  -7,553
  -8,492
  -9,484
  -10,529
  -11,626
  -12,774
  -13,973
  -15,224
  -16,526
  -17,881
  -19,289
  -20,754
Interest expense (income), $m
  1
  11
  27
  51
  84
  129
  189
  266
  363
  481
  624
  793
  988
  1,212
  1,464
  1,745
  2,054
  2,392
  2,758
  3,152
  3,572
  4,018
  4,489
  4,985
  5,506
  6,052
  6,621
  7,215
  7,834
  8,478
  9,147
Earnings before tax, $m
  -132
  -207
  -311
  -455
  -646
  -894
  -1,207
  -1,594
  -2,061
  -2,615
  -3,245
  -3,987
  -4,826
  -5,764
  -6,801
  -7,936
  -9,168
  -10,494
  -11,913
  -13,421
  -15,019
  -16,702
  -18,471
  -20,323
  -22,260
  -24,279
  -26,384
  -28,574
  -30,851
  -33,219
Tax expense, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Net income, $m
  -132
  -207
  -311
  -455
  -646
  -894
  -1,207
  -1,594
  -2,061
  -2,615
  -3,245
  -3,987
  -4,826
  -5,764
  -6,801
  -7,936
  -9,168
  -10,494
  -11,913
  -13,421
  -15,019
  -16,702
  -18,471
  -20,323
  -22,260
  -24,279
  -26,384
  -28,574
  -30,851
  -33,219

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  1,108
  1,711
  2,559
  3,714
  5,239
  7,203
  9,668
  12,695
  16,335
  20,633
  25,621
  31,325
  37,757
  44,923
  52,821
  61,444
  70,778
  80,809
  91,521
  102,896
  114,922
  127,584
  140,873
  154,784
  169,314
  184,465
  200,243
  216,659
  233,729
  251,470
Adjusted assets (=assets-cash), $m
  1,108
  1,711
  2,559
  3,714
  5,239
  7,203
  9,668
  12,695
  16,335
  20,633
  25,621
  31,325
  37,757
  44,923
  52,821
  61,444
  70,778
  80,809
  91,521
  102,896
  114,922
  127,584
  140,873
  154,784
  169,314
  184,465
  200,243
  216,659
  233,729
  251,470
Revenue / Adjusted assets
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
  0.286
Average production assets, $m
  205
  316
  473
  686
  968
  1,331
  1,786
  2,345
  3,018
  3,812
  4,734
  5,787
  6,976
  8,300
  9,759
  11,352
  13,077
  14,930
  16,909
  19,011
  21,232
  23,572
  26,027
  28,597
  31,282
  34,081
  36,996
  40,029
  43,183
  46,461
Working capital, $m
  -144
  -222
  -332
  -482
  -680
  -935
  -1,255
  -1,648
  -2,121
  -2,679
  -3,327
  -4,067
  -4,902
  -5,833
  -6,859
  -7,978
  -9,190
  -10,493
  -11,883
  -13,360
  -14,922
  -16,566
  -18,292
  -20,098
  -21,984
  -23,952
  -26,000
  -28,132
  -30,348
  -32,652
Total debt, $m
  501
  939
  1,555
  2,393
  3,500
  4,926
  6,716
  8,913
  11,556
  14,676
  18,298
  22,438
  27,108
  32,311
  38,045
  44,305
  51,082
  58,364
  66,141
  74,399
  83,130
  92,322
  101,971
  112,070
  122,618
  133,618
  145,073
  156,991
  169,384
  182,264
Total liabilities, $m
  804
  1,242
  1,858
  2,696
  3,804
  5,229
  7,019
  9,217
  11,859
  14,979
  18,601
  22,742
  27,411
  32,614
  38,348
  44,608
  51,385
  58,668
  66,444
  74,703
  83,433
  92,626
  102,274
  112,373
  122,922
  133,921
  145,376
  157,295
  169,687
  182,567
Total equity, $m
  304
  469
  701
  1,018
  1,436
  1,974
  2,649
  3,478
  4,476
  5,653
  7,020
  8,583
  10,345
  12,309
  14,473
  16,836
  19,393
  22,142
  25,077
  28,194
  31,489
  34,958
  38,599
  42,411
  46,392
  50,543
  54,867
  59,365
  64,042
  68,903
Total liabilities and equity, $m
  1,108
  1,711
  2,559
  3,714
  5,240
  7,203
  9,668
  12,695
  16,335
  20,632
  25,621
  31,325
  37,756
  44,923
  52,821
  61,444
  70,778
  80,810
  91,521
  102,897
  114,922
  127,584
  140,873
  154,784
  169,314
  184,464
  200,243
  216,660
  233,729
  251,470
Debt-to-equity ratio
  1.650
  2.000
  2.220
  2.350
  2.440
  2.500
  2.540
  2.560
  2.580
  2.600
  2.610
  2.610
  2.620
  2.620
  2.630
  2.630
  2.630
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.640
  2.650
Adjusted equity ratio
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274
  0.274

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  -132
  -207
  -311
  -455
  -646
  -894
  -1,207
  -1,594
  -2,061
  -2,615
  -3,245
  -3,987
  -4,826
  -5,764
  -6,801
  -7,936
  -9,168
  -10,494
  -11,913
  -13,421
  -15,019
  -16,702
  -18,471
  -20,323
  -22,260
  -24,279
  -26,384
  -28,574
  -30,851
  -33,219
Depreciation, amort., depletion, $m
  30
  38
  49
  65
  85
  111
  143
  183
  231
  288
  338
  413
  498
  593
  697
  811
  934
  1,066
  1,208
  1,358
  1,517
  1,684
  1,859
  2,043
  2,234
  2,434
  2,643
  2,859
  3,084
  3,319
Funds from operations, $m
  -102
  -168
  -262
  -390
  -562
  -783
  -1,064
  -1,410
  -1,829
  -2,327
  -2,907
  -3,573
  -4,328
  -5,171
  -6,104
  -7,125
  -8,234
  -9,428
  -10,705
  -12,064
  -13,502
  -15,018
  -16,612
  -18,281
  -20,025
  -21,845
  -23,741
  -25,715
  -27,767
  -29,900
Change in working capital, $m
  -54
  -78
  -110
  -150
  -198
  -255
  -320
  -393
  -473
  -558
  -648
  -741
  -835
  -931
  -1,026
  -1,120
  -1,212
  -1,302
  -1,391
  -1,477
  -1,561
  -1,644
  -1,726
  -1,806
  -1,887
  -1,967
  -2,049
  -2,132
  -2,216
  -2,304
Cash from operations, $m
  -48
  -90
  -152
  -241
  -363
  -529
  -744
  -1,017
  -1,357
  -1,769
  -2,259
  -2,833
  -3,493
  -4,241
  -5,079
  -6,006
  -7,022
  -8,125
  -9,314
  -10,586
  -11,941
  -13,374
  -14,886
  -16,474
  -18,139
  -19,878
  -21,693
  -23,583
  -25,551
  -27,597
Maintenance CAPEX, $m
  -9
  -15
  -23
  -34
  -49
  -69
  -95
  -128
  -168
  -216
  -272
  -338
  -413
  -498
  -593
  -697
  -811
  -934
  -1,066
  -1,208
  -1,358
  -1,517
  -1,684
  -1,859
  -2,043
  -2,234
  -2,434
  -2,643
  -2,859
  -3,084
New CAPEX, $m
  -77
  -112
  -157
  -213
  -282
  -363
  -456
  -559
  -673
  -794
  -922
  -1,054
  -1,188
  -1,324
  -1,459
  -1,593
  -1,725
  -1,853
  -1,979
  -2,102
  -2,222
  -2,339
  -2,455
  -2,570
  -2,684
  -2,799
  -2,915
  -3,033
  -3,154
  -3,278
Cash from investing activities, $m
  -86
  -127
  -180
  -247
  -331
  -432
  -551
  -687
  -841
  -1,010
  -1,194
  -1,392
  -1,601
  -1,822
  -2,052
  -2,290
  -2,536
  -2,787
  -3,045
  -3,310
  -3,580
  -3,856
  -4,139
  -4,429
  -4,727
  -5,033
  -5,349
  -5,676
  -6,013
  -6,362
Free cash flow, $m
  -134
  -216
  -331
  -488
  -694
  -960
  -1,294
  -1,704
  -2,197
  -2,778
  -3,453
  -4,225
  -5,094
  -6,063
  -7,131
  -8,296
  -9,557
  -10,912
  -12,359
  -13,896
  -15,520
  -17,230
  -19,025
  -20,904
  -22,866
  -24,912
  -27,042
  -29,259
  -31,564
  -33,959
Issuance/(repayment) of debt, $m
  302
  438
  616
  838
  1,108
  1,426
  1,790
  2,197
  2,643
  3,120
  3,622
  4,141
  4,670
  5,203
  5,734
  6,260
  6,777
  7,283
  7,776
  8,259
  8,730
  9,193
  9,648
  10,099
  10,549
  11,000
  11,455
  11,918
  12,392
  12,880
Issuance/(repurchase) of shares, $m
  246
  372
  544
  771
  1,064
  1,432
  1,883
  2,423
  3,058
  3,792
  4,612
  5,549
  6,588
  7,728
  8,965
  10,299
  11,725
  13,242
  14,848
  16,538
  18,313
  20,172
  22,112
  24,135
  26,241
  28,431
  30,707
  33,072
  35,528
  38,080
Cash from financing (excl. dividends), $m  
  548
  810
  1,160
  1,609
  2,172
  2,858
  3,673
  4,620
  5,701
  6,912
  8,234
  9,690
  11,258
  12,931
  14,699
  16,559
  18,502
  20,525
  22,624
  24,797
  27,043
  29,365
  31,760
  34,234
  36,790
  39,431
  42,162
  44,990
  47,920
  50,960
Total cash flow (excl. dividends), $m
  414
  594
  828
  1,122
  1,478
  1,897
  2,378
  2,916
  3,504
  4,134
  4,780
  5,465
  6,164
  6,867
  7,569
  8,263
  8,945
  9,613
  10,265
  10,901
  11,524
  12,134
  12,735
  13,330
  13,924
  14,519
  15,120
  15,732
  16,357
  17,001
Retained Cash Flow (-), $m
  -246
  -372
  -544
  -771
  -1,064
  -1,432
  -1,883
  -2,423
  -3,058
  -3,792
  -4,612
  -5,549
  -6,588
  -7,728
  -8,965
  -10,299
  -11,725
  -13,242
  -14,848
  -16,538
  -18,313
  -20,172
  -22,112
  -24,135
  -26,241
  -28,431
  -30,707
  -33,072
  -35,528
  -38,080
Prev. year cash balance distribution, $m
  1,550
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
  1,718
  222
  285
  350
  413
  465
  496
  493
  446
  342
  168
  -84
  -425
  -860
  -1,396
  -2,036
  -2,780
  -3,630
  -4,583
  -5,637
  -6,790
  -8,038
  -9,377
  -10,804
  -12,317
  -13,912
  -15,587
  -17,340
  -19,171
  -21,079
Discount rate, %
  4.30
  4.52
  4.74
  4.98
  5.23
  5.49
  5.76
  6.05
  6.35
  6.67
  7.00
  7.35
  7.72
  8.11
  8.51
  8.94
  9.39
  9.86
  10.35
  10.87
  11.41
  11.98
  12.58
  13.21
  13.87
  14.56
  15.29
  16.05
  16.86
  17.70
PV of cash for distribution, $m
  1,647
  203
  248
  288
  320
  338
  335
  308
  256
  179
  80
  -36
  -161
  -289
  -410
  -517
  -605
  -668
  -706
  -716
  -702
  -667
  -615
  -550
  -479
  -406
  -335
  -268
  -209
  -159
Current shareholders' claim on cash, %
  76.7
  59.6
  46.8
  37.2
  29.9
  24.2
  19.8
  16.3
  13.5
  11.3
  9.5
  8.0
  6.8
  5.8
  4.9
  4.2
  3.6
  3.1
  2.7
  2.3
  2.0
  1.8
  1.5
  1.3
  1.2
  1.0
  0.9
  0.8
  0.7
  0.6

BeiGene, Ltd. is a clinical-stage biopharmaceutical company. The Company is focused in the discovery and development of molecularly targeted and immuno-oncology drugs for the treatment of cancer. The Company had used its cancer biology platform to develop four clinical-stage drug candidates, such as BGB-3111, BGB-A317, BGB-290 and BGB-283, as of December 31, 2016. BGB-3111, BGB-290 and BGB-283 are its molecularly targeted agents and is its immuno-oncology agent. BGB-3111 is a potent and highly selective small molecule inhibitor of Bruton's tyrosine kinase (BTK). BGB-283 is a molecule inhibitor of both the monomer and dimer forms of the RAF kinase. BGB-290 is a molecularly targeted, orally available, potent and highly selective inhibitor of the poly ADP ribose polymerase (PARP) family members. BGB-A317 is an investigational humanized monoclonal antibody against the immune checkpoint receptor, PD-1.

FINANCIAL RATIOS  of  BeiGene, Ltd. (BGNE)

Valuation Ratios
P/E Ratio -539.5
Price to Sales 64200.2
Price to Book 181.9
Price to Tangible Book
Price to Cash Flow -713.3
Price to Free Cash Flow -563.2
Growth Rates
Sales Growth Rate -88.9%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate 380%
Cap. Spend. - 3 Yr. Gr. Rate NaN%
Financial Strength
Quick Ratio NaN
Current Ratio 0
LT Debt to Equity 4.8%
Total Debt to Equity 4.8%
Interest Coverage -118
Management Effectiveness
Return On Assets -45.1%
Ret/ On Assets - 3 Yr. Avg. -55.4%
Return On Total Capital -51.2%
Ret/ On T. Cap. - 3 Yr. Avg. -88.1%
Return On Equity -55.7%
Return On Equity - 3 Yr. Avg. 35.7%
Asset Turnover 0
Profitability Ratios
Gross Margin 0%
Gross Margin - 3 Yr. Avg. 0%
EBITDA Margin -11600%
EBITDA Margin - 3 Yr. Avg. -4114%
Operating Margin -11700%
Oper. Margin - 3 Yr. Avg. -4144.4%
Pre-Tax Margin -11900%
Pre-Tax Margin - 3 Yr. Avg. -4226.5%
Net Profit Margin -11900%
Net Profit Margin - 3 Yr. Avg. -4223.9%
Effective Tax Rate 0%
Eff/ Tax Rate - 3 Yr. Avg. 0%
Payout Ratio 0%

BGNE stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the BGNE stock intrinsic value calculation we used $198 million for the last fiscal year's total revenue generated by BeiGene, Ltd.. The default revenue input number comes from 0001 income statement of BeiGene, Ltd.. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our BGNE stock valuation model: a) initial revenue growth rate of 60% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 4.3%, whose default value for BGNE is calculated based on our internal credit rating of BeiGene, Ltd., is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of BeiGene, Ltd..
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of BGNE stock the variable cost ratio is equal to 141.4%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for BGNE stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 5.4% for BeiGene, Ltd..

Corporate tax rate of 27% is the nominal tax rate for BeiGene, Ltd.. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the BGNE stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for BGNE are equal to 64.6%.

Life of production assets of 14 years is the average useful life of capital assets used in BeiGene, Ltd. operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for BGNE is equal to -45.4%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $1739.202 million for BeiGene, Ltd. - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 59.637 million for BeiGene, Ltd. is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of BeiGene, Ltd. at the current share price and the inputted number of shares is $7.4 billion.

RELATED COMPANIES Price Int.Val. Rating
MRK Merck & Compan 82.29 44.01  sell
ARRY Array BioPharm 22.49 0.25  str.sell
AZN Astrazeneca PL 42.59 24.54  sell
CLVS Clovis Oncolog 24.84 0.15  str.sell
CELG Celgene Corpor 88.15 195.87  str.buy

CONTACT US      

About X-FIN       Privacy policy       Terms of use      

Copyright © X-FIN.com 2005-2019. All rigths reserved.