Price to FCFE (P/FCFE)
Free Cash Flow to Equity (FCFE)
Regeneron Pharmaceuticals Inc., FCFE calculation
US$ in thousands
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The financial data reveals meaningful trends in cash flow activities over the five-year period ending December 31, 2024. Both the net cash provided by operating activities and the free cash flow to equity (FCFE) demonstrate notable fluctuations and shifts that warrant careful examination.
- Net Cash Provided by Operating Activities
- This metric experienced a substantial increase from 2,618,100 thousand US dollars in 2020 to a peak of 7,081,300 thousand US dollars in 2021. Following this peak, there is a discernible declining trend, with values decreasing to 5,014,900 thousand in 2022, further to 4,594,000 thousand in 2023, and then slightly down again to 4,420,500 thousand in 2024. This pattern suggests that while operating cash generation surged dramatically in 2021, it subsequently tapered off over the next three years. The initial increase could indicate enhanced operational efficiency or higher revenue collections during 2021, whereas the gradual decline may reflect operational challenges, increased expenses, or a change in business conditions impacting cash inflows from core activities.
- Free Cash Flow to Equity (FCFE)
- FCFE likewise shows a strong increase from 3,985,400 thousand US dollars in 2020 to a high of 6,529,400 thousand in 2021, mirroring the trend observed in operating cash flow but at a different scale and timing. After reaching this peak, FCFE declines steadily to 4,424,800 thousand in 2022, further down to 3,875,400 thousand in 2023, and finally reaching 3,684,700 thousand in 2024. The sustained decrease in FCFE following the peak year indicates a reduction in the net cash available to equity holders, which might stem from higher capital expenditures, changes in working capital requirements, or altered financing activities. The downward trajectory since 2021 suggests a potential tightening in the company’s free cash resources distributable to shareholders.
Overall, both key measures of cash flow reach their highest point in 2021 before entering a period of consistent decline through to 2024. This pattern implies that the company encountered favorable conditions or implemented effective strategies in the early period that enhanced liquidity, followed by a phase where cash generation slowed. Stakeholders might consider investigating the underlying causes of the decline post-2021 to address any operational inefficiencies or external factors limiting cash flow sustainability.
Price to FCFE Ratio, Current
Regeneron Pharmaceuticals Inc., current P/FCFE calculation, comparison to benchmarks
| No. shares of common stock outstanding | 107,965,497 |
| Selected Financial Data (US$) | |
| Free cash flow to equity (FCFE) (in thousands) | 3,684,700) |
| FCFE per share | 34.13 |
| Current share price (P) | 538.11 |
| Valuation Ratio | |
| P/FCFE | 15.77 |
| Benchmarks | |
| P/FCFE, Competitors1 | |
| AbbVie Inc. | 13.21 |
| Amgen Inc. | 25.68 |
| Bristol-Myers Squibb Co. | 3.94 |
| Danaher Corp. | 39.25 |
| Eli Lilly & Co. | 57.85 |
| Gilead Sciences Inc. | 11.78 |
| Johnson & Johnson | 12.50 |
| Merck & Co. Inc. | 9.96 |
| Pfizer Inc. | 53.62 |
| Thermo Fisher Scientific Inc. | 32.12 |
| Vertex Pharmaceuticals Inc. | — |
| P/FCFE, Sector | |
| Pharmaceuticals, Biotechnology & Life Sciences | 18.40 |
| P/FCFE, Industry | |
| Health Care | 16.87 |
Based on: 10-K (reporting date: 2024-12-31).
1 Click competitor name to see calculations.
If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.
Price to FCFE Ratio, Historical
Regeneron Pharmaceuticals Inc., historical P/FCFE calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 109,324,682 | 109,761,896 | 109,325,532 | 108,539,282 | 107,131,899 | |
| Selected Financial Data (US$) | ||||||
| Free cash flow to equity (FCFE) (in thousands)2 | 3,684,700) | 3,875,400) | 4,424,800) | 6,529,400) | 3,985,400) | |
| FCFE per share3 | 33.70 | 35.31 | 40.47 | 60.16 | 37.20 | |
| Share price1, 4 | 716.72 | 936.33 | 780.86 | 622.36 | 494.90 | |
| Valuation Ratio | ||||||
| P/FCFE5 | 21.27 | 26.52 | 19.29 | 10.35 | 13.30 | |
| Benchmarks | ||||||
| P/FCFE, Competitors6 | ||||||
| AbbVie Inc. | 13.57 | 17.37 | 22.66 | 18.76 | 13.16 | |
| Amgen Inc. | 25.50 | 4.71 | 8.32 | 13.52 | 11.06 | |
| Bristol-Myers Squibb Co. | 4.74 | 7.52 | 22.85 | 16.17 | 7.80 | |
| Danaher Corp. | 40.83 | 53.08 | 32.04 | 20.75 | 44.62 | |
| Eli Lilly & Co. | 64.93 | 75.06 | 60.51 | 35.17 | 36.62 | |
| Gilead Sciences Inc. | 12.07 | 12.81 | 15.22 | 12.70 | 5.98 | |
| Johnson & Johnson | 12.67 | 24.31 | 16.73 | 23.28 | 15.60 | |
| Merck & Co. Inc. | 11.32 | 24.48 | 22.40 | 18.72 | 17.85 | |
| Pfizer Inc. | 55.28 | 3.82 | 10.56 | 8.88 | — | |
| Thermo Fisher Scientific Inc. | 41.23 | 31.16 | 27.98 | 13.44 | 18.58 | |
| Vertex Pharmaceuticals Inc. | — | 33.45 | 19.91 | 26.08 | 18.46 | |
| P/FCFE, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 19.99 | 16.91 | 19.28 | 16.49 | 17.09 | |
| P/FCFE, Industry | ||||||
| Health Care | 18.69 | 17.15 | 18.11 | 18.05 | 17.25 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 Data adjusted for splits and stock dividends.
3 2024 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 3,684,700,000 ÷ 109,324,682 = 33.70
4 Closing price as at the filing date of Regeneron Pharmaceuticals Inc. Annual Report.
5 2024 Calculation
P/FCFE = Share price ÷ FCFE per share
= 716.72 ÷ 33.70 = 21.27
6 Click competitor name to see calculations.
- Share Price Trend
- The share price has shown a general upward trend from 2020 to 2023, starting at $494.90 and increasing to a peak of $936.33 by the end of 2023. However, there is a noticeable decline in 2024, where the share price decreased to $716.72.
- FCFE per Share Trend
- The Free Cash Flow to Equity (FCFE) per share experienced fluctuations over the observed periods. It increased significantly from $37.20 in 2020 to $60.16 in 2021, followed by a decline to $40.47 in 2022. The downward trend continued in 2023 and 2024, with values of $35.31 and $33.70 respectively.
- P/FCFE Ratio Analysis
- The Price to FCFE ratio demonstrates volatility and an overall increasing trend from 2020 through 2023. It started at 13.3 in 2020, decreased to 10.35 in 2021, then rose sharply to 19.29 in 2022, peaking at 26.52 in 2023. In 2024, the ratio decreased to 21.27. This ratio movement suggests changes in market valuation relative to cash flow generation per share.
- Combined Insights
- The increase in share price from 2020 to 2023 correlates with a rise in the P/FCFE ratio, despite a declining FCFE per share from 2021 onwards, indicating that market valuations may have become more optimistic or less aligned with cash flow performance during that period. The decline in share price and P/FCFE ratio in 2024, alongside continued declines in FCFE per share, may signal a market reassessment of the company's cash flow prospects or a broader market correction affecting valuation multiples.