Stock Analysis on Net

Allergan Inc. (NYSE:AGN.)

This company has been moved to the archive! The financial data has not been updated since February 19, 2015.

Common Stock Valuation Ratios (Price Multiples)

Microsoft Excel

Current Valuation Ratios

Allergan Inc., current price multiples

Microsoft Excel
Allergan Inc. AbbVie Inc. Amgen Inc. Bristol-Myers Squibb Co. Eli Lilly & Co. Gilead Sciences Inc. Johnson & Johnson Merck & Co. Inc. Pfizer Inc. Regeneron Pharmaceuticals Inc. Thermo Fisher Scientific Inc. Vertex Pharmaceuticals Inc.
Selected Financial Data
Current share price (P) $231.12
No. shares of common stock outstanding 300,237,694
Growth rate (g) -279.49%
 
Earnings per share (EPS) $5.08
Next year expected EPS $-9.11
Operating profit per share $6.69
Sales per share $23.73
Book value per share (BVPS) $25.82
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 45.53 65.51 22.84 13.42 141.10 16.06 10.82 914.18 74.03 26.83 36.85 29.78
Price to operating profit (P/OP) 34.53 24.97 19.43 14.79 114.50 11.96 17.94 141.69 706.61 26.21 32.21 28.13
Price to sales (P/S) 9.74 5.87 5.70 2.39 21.67 3.38 4.47 5.55 2.68 8.09 5.15 10.92
Price to book value (P/BV) 8.95 30.75 24.62 3.66 68.64 3.98 5.53 8.88 1.76 4.08 4.73 6.13

Based on: 10-K (reporting date: 2014-12-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Allergan Inc., historical price multiples

Microsoft Excel
Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Dec 31, 2010
Price to earnings (P/E) 45.53 38.04 29.04 28.94 37,139.77
Price to operating profit (P/OP) 34.53 20.71 19.78 19.81 86.17
Price to sales (P/S) 9.74 6.05 5.59 5.06 4.62
Price to book value (P/BV) 8.95 5.80 5.47 5.09 4.68

Based on: 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Allergan Inc. P/E ratio increased from 2012 to 2013 and from 2013 to 2014.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Allergan Inc. P/OP ratio increased from 2012 to 2013 and from 2013 to 2014.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Allergan Inc. P/S ratio increased from 2012 to 2013 and from 2013 to 2014.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Allergan Inc. P/BV ratio increased from 2012 to 2013 and from 2013 to 2014.

Price to Earnings (P/E)

Allergan Inc., historical P/E calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Dec 31, 2010
No. shares of common stock outstanding1 300,237,694 298,467,649 298,083,478 304,442,771 305,677,123
Selected Financial Data (US$)
Net earnings attributable to Allergan, Inc. (in thousands) 1,524,200 985,100 1,098,800 934,500 600
Earnings per share (EPS)2 5.08 3.30 3.69 3.07 0.00
Share price1, 3 231.12 125.54 107.05 88.82 72.90
Valuation Ratio
P/E ratio4 45.53 38.04 29.04 28.94 37,139.77
Benchmarks
P/E Ratio, Competitors5
AbbVie Inc.
Amgen Inc.
Bristol-Myers Squibb Co.
Eli Lilly & Co.
Gilead Sciences Inc.
Johnson & Johnson
Merck & Co. Inc.
Pfizer Inc.
Regeneron Pharmaceuticals Inc.
Thermo Fisher Scientific Inc.
Vertex Pharmaceuticals Inc.

Based on: 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31).

1 Data adjusted for splits and stock dividends.

2 2014 Calculation
EPS = Net earnings attributable to Allergan, Inc. ÷ No. shares of common stock outstanding
= 1,524,200,000 ÷ 300,237,694 = 5.08

3 Closing price as at the filing date of Allergan Inc. Annual Report.

4 2014 Calculation
P/E ratio = Share price ÷ EPS
= 231.12 ÷ 5.08 = 45.53

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Allergan Inc. P/E ratio increased from 2012 to 2013 and from 2013 to 2014.

Price to Operating Profit (P/OP)

Allergan Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Dec 31, 2010
No. shares of common stock outstanding1 300,237,694 298,467,649 298,083,478 304,442,771 305,677,123
Selected Financial Data (US$)
Operating income (in thousands) 2,009,300 1,809,300 1,613,300 1,365,100 258,600
Operating profit per share2 6.69 6.06 5.41 4.48 0.85
Share price1, 3 231.12 125.54 107.05 88.82 72.90
Valuation Ratio
P/OP ratio4 34.53 20.71 19.78 19.81 86.17
Benchmarks
P/OP Ratio, Competitors5
AbbVie Inc.
Amgen Inc.
Bristol-Myers Squibb Co.
Eli Lilly & Co.
Gilead Sciences Inc.
Johnson & Johnson
Merck & Co. Inc.
Pfizer Inc.
Regeneron Pharmaceuticals Inc.
Thermo Fisher Scientific Inc.
Vertex Pharmaceuticals Inc.

Based on: 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31).

1 Data adjusted for splits and stock dividends.

2 2014 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 2,009,300,000 ÷ 300,237,694 = 6.69

3 Closing price as at the filing date of Allergan Inc. Annual Report.

4 2014 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 231.12 ÷ 6.69 = 34.53

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Allergan Inc. P/OP ratio increased from 2012 to 2013 and from 2013 to 2014.

Price to Sales (P/S)

Allergan Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Dec 31, 2010
No. shares of common stock outstanding1 300,237,694 298,467,649 298,083,478 304,442,771 305,677,123
Selected Financial Data (US$)
Product net sales (in thousands) 7,126,100 6,197,500 5,708,800 5,347,100 4,819,600
Sales per share2 23.73 20.76 19.15 17.56 15.77
Share price1, 3 231.12 125.54 107.05 88.82 72.90
Valuation Ratio
P/S ratio4 9.74 6.05 5.59 5.06 4.62
Benchmarks
P/S Ratio, Competitors5
AbbVie Inc.
Amgen Inc.
Bristol-Myers Squibb Co.
Eli Lilly & Co.
Gilead Sciences Inc.
Johnson & Johnson
Merck & Co. Inc.
Pfizer Inc.
Regeneron Pharmaceuticals Inc.
Thermo Fisher Scientific Inc.
Vertex Pharmaceuticals Inc.

Based on: 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31).

1 Data adjusted for splits and stock dividends.

2 2014 Calculation
Sales per share = Product net sales ÷ No. shares of common stock outstanding
= 7,126,100,000 ÷ 300,237,694 = 23.73

3 Closing price as at the filing date of Allergan Inc. Annual Report.

4 2014 Calculation
P/S ratio = Share price ÷ Sales per share
= 231.12 ÷ 23.73 = 9.74

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Allergan Inc. P/S ratio increased from 2012 to 2013 and from 2013 to 2014.

Price to Book Value (P/BV)

Allergan Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Dec 31, 2010
No. shares of common stock outstanding1 300,237,694 298,467,649 298,083,478 304,442,771 305,677,123
Selected Financial Data (US$)
Total Allergan, Inc. stockholders’ equity (in thousands) 7,753,000 6,463,200 5,837,100 5,309,600 4,757,700
Book value per share (BVPS)2 25.82 21.65 19.58 17.44 15.56
Share price1, 3 231.12 125.54 107.05 88.82 72.90
Valuation Ratio
P/BV ratio4 8.95 5.80 5.47 5.09 4.68
Benchmarks
P/BV Ratio, Competitors5
AbbVie Inc.
Amgen Inc.
Bristol-Myers Squibb Co.
Eli Lilly & Co.
Gilead Sciences Inc.
Johnson & Johnson
Merck & Co. Inc.
Pfizer Inc.
Regeneron Pharmaceuticals Inc.
Thermo Fisher Scientific Inc.
Vertex Pharmaceuticals Inc.

Based on: 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31).

1 Data adjusted for splits and stock dividends.

2 2014 Calculation
BVPS = Total Allergan, Inc. stockholders’ equity ÷ No. shares of common stock outstanding
= 7,753,000,000 ÷ 300,237,694 = 25.82

3 Closing price as at the filing date of Allergan Inc. Annual Report.

4 2014 Calculation
P/BV ratio = Share price ÷ BVPS
= 231.12 ÷ 25.82 = 8.95

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Allergan Inc. P/BV ratio increased from 2012 to 2013 and from 2013 to 2014.