Exelixis (EXEL) is a Top-Ranked Value Stock: Should You Buy?
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Exelixis (EXEL)
Alameda, CA-based Exelixis, Inc. is an oncology-focused biotechnology company that primarily focuses on the discovery, development and commercialization of new drugs for the treatment of difficult-to-treat cancers. The company is leveraging its investments, expertise and strategic partnerships to target an expanding range of tumor types and indications with its clinically differentiated pipeline of small molecules, antibody-drug conjugates (ADCs) and other biotherapeutics.
EXEL is a Zacks Rank #2 (Buy) stock, with a Value Style Score of B and VGM Score of A. Shares are currently trading at a forward P/E of 17.5X for the current fiscal year compared to the Medical - Biomedical and Genetics industry's P/E 19.4X. Additionally, EXEL has a PEG Ratio of 0.8 and a Price/Cash Flow ratio of 24X. Value investors should also note EXEL's Price/Sales ratio of 5.5X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. 10 analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.33 to $2.64. EXEL has an average earnings surprise of 48.6%.
EXEL should be on investors' short list because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Exelixis, Inc. (EXEL) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Considering its top-ranked value status, Exelixis (EXEL) presents an attractively priced investment opportunity that warrants a thorough analysis before making the buy decision.
National recognition of Exelixis (EXEL) as a top-ranked value stock underscores its potential for long term growth, making it an attractive investment opportunity from both fundamental and quantitative analysis perspectives.
As a highly ranked value stock, Exelixis (EXEL) offers potential for investors looking to capitalize on its solid fundamental metrics. With careful research of risk factors and financial positions ahead though, continued prudence is recommended before taking the plunge."
Exelixis (EXEL) stands as a top-ranked value stock, offering investors potential for long term gains combined with solid financial backing. Its recent growth prospects and strong historical performance make it an intriguing choice among valued shares.
