INCYTE CORPORATION NDQ-INCY RECENT
PRICE 76.97 P/ERATIO 17.1(Trailing:
Median: NMF) P/E RATIO 0.92 YLD
NMF RELATIVE DIV’D
Nil VALUE
LINE
TIMELINESS 3 Raised 11/15/24 High:
Low:
52.5
16.6
80.8
40.3
133.6
69.1
109.9
55.0
153.1
92.9
102.6
57.0
96.8
62.0
110.4
62.5
101.5
61.9
84.9
65.1
86.3
50.3
83.9
50.3
Target Price Range
2027 2028 2029
SAFETY 3 Raised 6/7/19 LEGENDS
13.0 x ″Cash Flow″ p sh
TECHNICAL 3 Lowered 11/15/24 . . . . Relative Price Strength
Options: Yes
160
BETA .75 (1.00 = Market) Shaded area indicates recession 120
100
18-Month Target Price Range 80
Low-High Midpoint (% to Mid) 60
50
$62-$122 $92 (20%) 40
2027-29 PROJECTIONS 30
Ann’l Total
Price Gain Return 20
High 140 (+80%) 16%
Low 95 (+25%) 6% 15
% TOT. RETURN 10/24
Institutional Decisions THIS VL ARITH.*
4Q2023 1Q2024 2Q2024 STOCK INDEX
Percent 36 1 yr. 33.3 28.7
to Buy 283 292 292 shares 24
to Sell 252 254 285 3 yr. 7.4 10.7
traded 12
Hld’s(000) 220366 217960 198444 5 yr. -14.3 73.6
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 © VALUE LINE PUB. LLC 27-29
.04 .08 1.38 .75 2.23 2.18 2.98 4.04 5.84 7.26 8.79 9.96 12.13 13.49 15.23 16.48 21.60 23.70 Revenues per sh 27.90
d1.70 d1.64 d.06 d1.26 d.11 d.33 d.04 .28 .86 d1.23 .77 2.31 d1.11 4.55 1.83 3.03 1.75 6.00 ‘‘Cash Flow’’ per sh 8.35
d1.99 d2.06 d.26 d1.49 d.34 d.56 d.29 .03 .54 d1.53 .51 2.05 d1.36 4.27 1.52 2.65 1.30 5.50 Earnings per sh A 7.75
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Nil Nil Div’ds Decl’d per sh Nil
.01 -- .03 .03 .02 .03 .16 .14 .64 .52 .34 .36 .85 .82 .35 .14 .40 .50 Cap’l Spending per sh .60
d2.27 d.86 d.72 d1.80 d1.31 d1.18 d.48 .92 2.21 7.70 9.00 11.99 11.88 17.03 19.60 23.14 25.00 34.20 Book Value per sh 65.00
97.34 118.89 123.28 126.47 133.46 162.98 171.77 186.65 189.41 211.66 214.05 216.78 219.84 221.33 222.97 224.29 192.00 190.00 Common Shs Outst’g B 200.00
-- -- -- -- -- -- -- NMF NMF -- NMF 40.2 -- 18.4 49.2 25.0 Bold figures are Avg Ann’l P/E Ratio 15.0
-- -- -- -- -- -- -- NMF NMF -- NMF 2.14 -- .99 2.84 1.40 Value Line Relative P/E Ratio .85
estimates
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Avg Ann’l Div’d Yield Nil
CAPITAL STRUCTURE as of 9/30/24 511.5 753.8 1105.7 1536.2 1881.9 2158.8 2666.7 2986.3 3394.6 3695.6 4150 4500 Revenues ($mill) 5575
Total Debt None 7.2% 12.7% 18.4% NMF 9.8% 21.1% NMF 21.6% 19.1% 19.9% 21.5% 25.5% Operating Margin 32.0%
41.4 44.9 58.4 52.2 55.0 54.5 51.8 57.8 67.9 82.7 85.0 90.0 Depreciation ($mill) 115.0
d48.5 6.5 104.2 d313.1 109.5 446.9 d295.7 948.6 340.7 597.6 250 1050 Net Profit ($mill) 1550
Leases, Uncapitalized Annual rentals $6.5 mill. -- 13.6% 3.0% -- 5.1% 8.2% -- -- 35.6% 28.4% 20.0% 20.0% Income Tax Rate 19.5%
NMF .9% 9.4% NMF 5.8% 20.7% NMF 31.8% 10.0% 16.2% 6.0% 23.3% Net Profit Margin 27.8%
No Defined Benefit Pension Plan 477.7 674.4 720.7 1129.5 1407.0 1968.2 1728.7 2264.4 2935.8 3405.1 3210 3425 Working Cap’l ($mill) 4495
Pension Assets-12/23 $128 mil. Oblig. $170 mill. 603.5 619.9 651.5 16.6 17.4 -- -- -- -- -- Nil Nil Long-Term Debt ($mill) Nil
Pfd Stock None
d81.6 171.2 419.5 1630.6 1926.0 2598.4 2611.3 3770.0 4370.1 5189.8 4800 6500 Shr. Equity ($mill) 13000
Common Stock 192,650,249 shs. NMF 3.7% 11.5% NMF 5.7% 17.2% NMF 25.2% 7.8% 11.5% 5.0% 16.0% Return on Total Cap’l 12.0%
as of 10/22/24 -- 3.8% 24.8% NMF 5.7% 17.2% NMF 25.2% 7.8% 11.5% 5.0% 16.0% Return on Shr. Equity 12.0%
MARKET CAP: $14.8 billion (Large Cap) -- 3.8% 24.8% NMF 5.7% 17.2% NMF 25.2% 7.8% 11.5% 5.0% 16.0% Retained to Com Eq 12.0%
CURRENT POSITION 2022 2023 9/30/24 -- -- -- -- -- -- -- -- -- -- Nil Nil All Div’ds to Net Prof Nil
($MILL.)
Cash Assets 3239.0 3656.0 1774.7 BUSINESS: Incyte Corporation is a drug discovery company, fer access to pharmaceutical companies. Offs./Dirs. own 17.6% of
Receivables 644.9 743.5 758.5 focused on the development of novel, small molecule drugs to common stock; Felix J. Baker, 16.3%; Baker Bros. Advisors,
Other 209.0 245.9 275.5 treat severe medical conditions. Areas of concentration include 16.2%; Vanguard Group, 10.0%; Blackrock, 10.8%, Dodge & Cox,
Current Assets 4092.9 4645.4 2808.7 human immunodeficiency virus (HIV), inflammatory disorders, can- 7.2% (4/24 proxy). Has 2,524 employees. CEO and Pres.: Herve
Accts Payable 277.5 109.6 178.7 cer, and diabetes. It ceased the development of its genomic in- Hoppenot. Inc.: DE. Address: 1801 Augustine Cut-off, Willmington,
Debt Due -- -- --
Other 879.6 1130.7 1322.9 formation database business in February, 2004, but continues to of- DE. 19803. Telephone: 650-855-0555. Internet: www.incyte.com.
Current Liab. 1157.1 1240.3 1501.6
Incyte Corp. posted mixed financial spiked almost 45%, to $537 million. How-
ANNUAL RATES Past results during the 2024 third quarter.
Past Est’d ’21-’23 ever, the investment community may view
of change (per sh) 10 Yrs. 5 Yrs. to ’27-’29
For the September period, revenues rose research spending as crucial to expansion.
Revenues 24.5% 15.5% 11.0%
‘‘Cash Flow’’ -- 23.8%, to $1.14 billion. Demand for exist-
88.5% 17.5% There are several promising bright
Earnings -- ing therapies, notably Jakafi, an FDA-
- - 18.5% spots in the company’s pipeline. On
Dividends -- --
approved Nil
medicine used to treat the regulatory front, Incyte recently sub-
Book Value -- 26.0% 22.0%
myleofibrosis, is high. Stabilizing market mitted filings for the FDA review of
Cal- QUARTERLY REVENUES ($ mill.) Full trends for Jakafi, along with pricing Ruxolitinib, a cream intended for the
endar Mar.31 Jun.30 Sep.30 Dec.31 Year measures and product launches, will likely treatment of pediatric atopic dermatitis.
2021 604.7 705.7 813.0 862.9 2986.3 continue to drive top-line momentum for Earlier-stage clinical trials are ongoing as
2022 733.2 911.4 823.3 926.7 3394.6 the remainder of 2024 and into 2025. On well, and include studies geared toward
2023 808.7 954.6 919.0 1013.3 3695.6 the other hand, earnings decreased 28.9% treatment options for ovarian and
2024 880.9 1043.7 1137.8 1087.6 4150 in the third quarter, from last year’s tally, endometrial cancer. Although regulatory
2025 1010 1065 1200 1225 4500 falling to $0.54 a share, and missing our success is not guaranteed, Incyte has
Cal- EARNINGS PER SHARE A C Full $1.70 estimate. The lower-than-expected gained FDA approvals over the last three
endar Mar.31 Jun.30 Sep.30 Dec.31 Year third-quarter earnings figure, and notable months. For example, the company, along
2021 .24 .67 .82 2.54 4.27 share deficit recorded in the 2024 second with its partner, Syndax, gained FDA ap-
2022 .17 .72 .50 .13 1.52 quarter, will likely result in a full-year proval for Niktimvo, for the treatment of
2023 .10 .90 .76 .89 2.65 share-earnings decline. We are optimistic chronic graft-versus-host disease. This
2024 .75 d2.04 .54 2.05 1.30 that earnings will recover next year. first-in-class therapy also reduces in-
2025 .90 1.00 1.50 2.10 5.50 Investors appear supportive of INCY flammation and fibrosis.
Cal- QUARTERLY DIVIDENDS PAID Full shares at the moment. The equity has These shares are neutrally ranked for
endar Mar.31 Jun.30 Sep.30 Dec.31 Year increased over 20% in value since our Au- the year ahead. Patient investors may
2020 gust report, and is in the vicinity of its 52- apply, though. Despite the recent stock-
2021 NO CASH DIVIDENDS week high. At first glance, market price ascension, capital appreciation
2022 BEING PAID enthusiasm is a bit surprising given two potential over the 2027-2029 time frame is
2023 quarters of disappointing earnings. Also, slightly above average.
2024 in the September period, research costs Nira Maharaj November 29, 2024
(A) Diluted shares. Next earnings report due change in share count. Company’s Financial Strength B+
mid-February. Stock’s Price Stability 70
(B) In millions. Price Growth Persistence 10
(C) Earnings may not sum due to rounding and Earnings Predictability 10
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