Incyte Corporation focuses on the discovery, development, and commercialization of proprietary therapeutics in oncology in the United States and internationally. The company was founded in 1991 and is based in Wilmington, Delaware.
INCY Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Incyte Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Incyte Corp ranked in the 84th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. In terms of the factors that were most noteworthy in this DCF analysis for INCY, they are:
The company's debt burden, as measured by earnings divided by interest payments, is 263.42; that's higher than 96.22% of US stocks in the Healthcare sector that have positive free cash flow.
The business' balance sheet reveals debt to be 0% of the company's capital (with equity being the remaining amount). Approximately only 3.19% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
INCY's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 64.61% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Incyte Corp? See PETQ, TYHT, LCI, RHE, and STAA.