Exact Sciences Corporation
Exact Sciences Corporation Fundamental Analysis
Exact Sciences Corporation (EXAS) shows moderate financial fundamentals with a PE ratio of -95.72, profit margin of -6.40%, and ROE of -8.51%. The company generates $3.3B in annual revenue with strong year-over-year growth of 10.37%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 19.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EXAS's fundamental strength across five key dimensions:
Efficiency Score
WeakEXAS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentEXAS trades at attractive valuation levels.
Growth Score
ModerateEXAS shows steady but slowing expansion.
Financial Health Score
ModerateEXAS shows balanced financial health with some risks.
Profitability Score
WeakEXAS struggles to sustain strong margins.
Key Financial Metrics
Is EXAS Expensive or Cheap?
P/E Ratio
EXAS trades at -95.72 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, EXAS's PEG of -1.21 indicates potential undervaluation.
Price to Book
The market values Exact Sciences Corporation at 8.29 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 433.20 times EBITDA. This signals the market has high growth expectations.
How Well Does EXAS Make Money?
Net Profit Margin
For every $100 in sales, Exact Sciences Corporation keeps $-6.40 as profit after all expenses.
Operating Margin
Core operations generate -6.17 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-8.51 in profit for every $100 of shareholder equity.
ROA
Exact Sciences Corporation generates $-3.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Exact Sciences Corporation produces operating cash flow of $494.42M, showing steady but balanced cash generation.
Free Cash Flow
Exact Sciences Corporation generates strong free cash flow of $358.94M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.88 in free cash annually.
FCF Yield
EXAS converts 1.78% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-95.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.21
vs 25 benchmark
P/B Ratio
Price to book value ratio
8.29
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.17
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.05
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.23
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.09
vs 25 benchmark
ROA
Return on assets percentage
-0.04
vs 25 benchmark
ROCE
Return on capital employed
-0.04
vs 25 benchmark
How EXAS Stacks Against Its Sector Peers
| Metric | EXAS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -95.72 | 28.45 | Better (Cheaper) |
| ROE | -8.51% | 763.00% | Weak |
| Net Margin | -6.40% | -45265.00% (disorted) | Weak |
| Debt/Equity | 1.05 | 0.34 | Weak (High Leverage) |
| Current Ratio | 2.23 | 2795.60 | Strong Liquidity |
| ROA | -3.55% | -16588.00% (disorted) | Weak |
EXAS outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Exact Sciences Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
124.35%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-772.87%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
230.45%
Industry Style: Defensive, Growth, Innovation
High Growth