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Halozyme Therapeutics, Inc. (HALO) Stock: How Does it Score on Valuation Metrics?

Thursday, September 22, 2022 03:38 PM | InvestorsObserver Analysts

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Halozyme Therapeutics, Inc. (HALO) Stock: How Does it Score on Valuation Metrics?

Halozyme Therapeutics, Inc. (HALO) receives a strong valuation score of 75 from InvestorsObserver analysis. Our proprietary scoring system considers the overall health of the company by looking at the stock's price, earnings, and growth rate to determine if it represents a good value. HALO holds a better value than 75% of stocks at its current price. Investors who are focused on long-term growth through buy-and-hold investing will find the Valuation Rank especially relevant when allocating their assets.

Valuation Rank - 75
HALO gets a 75 Valuation Rank today. Find out what this means to you and get the rest of the rankings on HALO!

Metrics Analysis

HALO has a trailing twelve month Price to Earnings (PE) ratio of 15.5. The historical average of roughly 15 shows a average value for HALO stock as investors are paying fair share prices relative to the company's earnings. HALO's average trailing PE ratio shows that the firm has been trading around its fair market value recently. Its trailing 12-month earnings per share (EPS) of 2.53 justifies the stock's current price. However, trailing PE ratios do not factor in the company's projected growth rate, resulting in many newer firms having high PE ratios due to high growth potential enticing investors despite inadequate earnings.
HALO currently has a 12-month-forward-PE-to-Growth (PEG) ratio of 0.69. The market is currently undervaluing HALO in relation to its projected growth due to the PEG ratio being below the fair market value of 1. HALO's PEG comes from its forward price to earnings ratio being divided by its growth rate. Because PEG ratios include more fundamentals of a company's overall health with additional focus on the future, they are one of the most used valuation metrics by analysts.

Summary

All together these valuation metrics paint a pretty strong picture for HALO at its current price due to a undervalued PEG ratio despite strong growth. The PE and PEG for HALO are better than the average of the market resulting in a valuation score of 75. Click Here to get the full Report on Halozyme Therapeutics, Inc. (HALO) stock.

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