Alexion Pharmaceuticals, Inc. ($ALXN) Possible Buy to $240 Confident Investor Rating: Good

Company name Alexion Pharmaceuticals, Inc.
Stock ticker ALXN
Live stock price [stckqut]ALXN[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $277.78
Target stock price (averages with growth) $306.91
Target stock price (averages with no growth) $139.23
Target stock price (manual assumptions) $277.03

The following company description is from Google Finance: http://www.google.com/finance?q=alxn

Alexion Pharmaceuticals, Inc. (Alexion), is a biopharmaceutical company focused on serving patients with severe and ultra-rare disorders through the development and commercialization of life-transforming therapeutic products. Its marketed product Soliris (eculizumab) is the first and only therapeutic approved for patients with two ultra-rare and severe disorders resulting from chronic uncontrolled activation of the complement component of the immune system: paroxysmal nocturnal hemoglobinuria (PNH), an ultra-rare and life-threatening blood disorder, and atypical hemolytic uremic syndrome (aHUS), an ultra-rare and life-threatening genetic disease. The Company is also evaluating other indications for Soliris in other diseases in which chronic uncontrolled complement activation is the underlying mechanism, and it is progressing with other biotechnology product candidates in ultra-rare and severe disorders, which are in various stages of development.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Alexion Pharmaceuticals, Inc.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Alexion Pharmaceuticals, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $179.67
  • Growth: 0.2
  • Current EPS (TTM): $3.26
  • P/E: 55
  • Future EPS Calc: $8.11
  • Future Stock Price Calc: $446.15
  • Target stock price: $277.02

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I hope that this makes you a Confident Investor.

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