MMarketMath

REGN

StalwartQuality: High (85/100)

Regeneron Pharmaceuticals · Health Care · Biotechnology

$828.50

52w 541.00 – 847.00

20y monthly, adjusted

Mkt cap

$77.8B

P/E

17.5

P/FCF

19.4

FCF yield

5.2%

ROE

14.4%

Shldr yield

4.8%

div 0.5% + bb 4.4%

What today's price assumes

At $77.8B, the market is pricing in 7.3% annual free-cash-flow growth for the next decade (10% discount rate, 2.5% terminal growth). Over the last ten years, FCF actually grew 20.1% per year — expectations look undemanding relative to history.

Simple DCF per-share range: $662 · $1,485 · $2,140 (4% / base / optimistic growth). An estimate, not a target.

Adjust the assumptions yourself →

Historical multiple lens

At its own median P/OCF of 22.7× across 14 years, REGN would trade near $1,203/share (25th–75th percentile: $907–$1,651); it trades at 15.6× today.

Assumes the historical multiple regime persists — re-ratings can be permanent.

Growth record

Compound annual growth rates from as-filed 10-K data, split-adjusted

Rev 3y

+5.6%

Rev 5y

+11.0%

Rev 10y

+13.3%

EPS 5y

+6.3%

EPS 10y

+22.3%

FCF 5y

+15.3%

FCF 10y

+20.1%

Fundamentals

Fiscal 2008–2025, from SEC filings

Revenue

2008: $238.5M
2009: $379.3M
2010: $459.1M
2011: $445.8M
2012: $1.4B
2013: $2.1B
2014: $2.8B
2015: $4.1B
2016: $4.9B
2017: $5.9B
2018: $5.1B
2019: $6.6B
2020: $8.5B
2021: $16.1B
2022: $12.2B
2023: $13.1B
2024: $14.2B
2025: $14.3B
$0$5.0B$10.0B$15.0B
08
11
14
17
20
23

Net income

2008: −$79.1M
2009: −$67.8M
2010: −$104.5M
2011: −$221.8M
2012: $750.3M
2013: $413.7M
2014: $338.1M
2015: $636.1M
2016: $895.5M
2017: $1.2B
2018: $2.4B
2019: $2.1B
2020: $3.5B
2021: $8.1B
2022: $4.3B
2023: $4.0B
2024: $4.4B
2025: $4.5B
$0$2.5B$5.0B$7.5B
08
11
14
17
20
23

Free cash flow

2008: −$123.9M
2009: −$167.3M
2010: −$467.0K
2011: −$198.9M
2012: −$124.0M
2013: $432.3M
2014: $419.4M
2015: $652.8M
2016: $974.0M
2017: $1.0B
2018: $1.8B
2019: $2.0B
2020: $2.0B
2021: $6.5B
2022: $4.4B
2023: $3.9B
2024: $3.7B
2025: $4.1B
$0$2.0B$4.0B$6.0B
08
11
14
17
20
23

Diluted shares (lower is better)

2010: 82.9M
2011: 90.6M
2012: 115.4M
2013: 111.3M
2014: 113.4M
2015: 115.2M
2016: 116.3M
2017: 115.9M
2018: 114.8M
2019: 114.6M
2020: 115.1M
2021: 112.2M
2022: 113.5M
2023: 113.7M
2024: 115.1M
2025: 108.6M
050.0M100.0M
08
11
14
17
20
23

Margins

-50%0%50%081114172023
Net marginFCF marginGross margin

Capital returned (dividends + buybacks)

2016: $0
2017: $0
2018: $4.4M
2019: $275.9M
2020: $5.8B
2021: $1.6B
2022: $2.1B
2023: $2.2B
2024: $2.6B
2025: $3.8B
$0$2.0B$4.0B
08
11
14
17
20
23

Cash vs long-term debt

$0$1.0B$2.0B$3.0B081114172023
CashLT debt

Quarterly

Discrete quarters from 10-Q filings; Q4 derived as fiscal year minus Q1–Q3. OCF is unwound from the year-to-date figures 10-Qs report. Compare to the same quarter a year ago — most businesses are seasonal.

Revenue by quarter

Q2'23: $3.2B
Q3'23: $3.4B
Q4'23: $3.4B
Q1'24: $3.1B
Q2'24: $3.5B
Q3'24: $3.7B
Q4'24: $3.8B
Q1'25: $3.0B
Q2'25: $3.7B
Q3'25: $3.8B
Q4'25: $3.9B
Q1'26: $3.6B
Q2'26: $4.3B
$0$2.0B$4.0B
23
24
24
25
26

Net income by quarter

Q2'23: $968.4M
Q3'23: $1.0B
Q4'23: $1.2B
Q1'24: $722.0M
Q2'24: $1.4B
Q3'24: $1.3B
Q4'24: $917.7M
Q1'25: $808.7M
Q2'25: $1.4B
Q3'25: $1.5B
Q4'25: $844.6M
Q1'26: $727.2M
Q2'26: $1.3B
$0$500.0M$1.0B
23
24
24
25
26
QuarterRevenueYoYNet incomeYoYEPSOCF
Q2'26$4.3B+16.7%$1.3B−6.8%12.23$813.0M
Q1'26$3.6B+19.0%$727.2M−10.1%6.75$1.1B
Q4'25 *$3.9B+2.5%$844.6M−8.0%7.78$1.2B
Q3'25$3.8B+0.9%$1.5B+8.9%13.62$1.6B
Q2'25$3.7B+3.6%$1.4B−2.8%12.81$1.1B
Q1'25$3.0B−3.7%$808.7M+12.0%7.27$1.0B
Q4'24 *$3.8B+10.3%$917.7M−20.9%8.12$1.3B
Q3'24$3.7B+10.6%$1.3B+33.0%11.54$1.3B
Q2'24$3.5B+12.3%$1.4B+47.9%12.41$354.0M
Q1'24$3.1B−0.5%$722.0M−11.7%6.27$1.5B
Q4'23 *$3.4B+0.6%$1.2B−3.1%10.21$1.1B
Q3'23$3.4B+14.5%$1.0B−23.4%8.89$1.1B
Q2'23$3.2B+10.5%$968.4M+13.6%8.50$1.0B

Track record

Compound annual growth by period. For debt and share count, negative is the good direction.

Series3y5y10y15y
Revenue+5.6%+11.0%+13.3%+25.8%
Operating cash flow−0.2%+13.7%+14.1%+29.8%
Free cash flow−2.7%+15.3%+20.1%
EPS (diluted)+2.8%+6.3%+22.3%
Equity+11.3%+23.2%+23.9%+31.3%
LT debt+0.1%+0.1%
Diluted shares−1.5%−1.2%−0.6%+1.8%
Stock price+0.4%+4.4%+7.8%+19.3%

$100, 3 years ago

$101vs $176 in SPY

0.4% vs 20.7%/yr

$100, 5 years ago

$124vs $181 in SPY

4.4% vs 12.6%/yr

$100, 10 years ago

$213vs $412 in SPY

7.8% vs 15.2%/yr

$100, 15 years ago

$1,415vs $813 in SPY

19.3% vs 15.0%/yr

The $1 test — market value created per $1 of earnings retained (Buffett's hurdle: at least $1)

Last 5 years

$0.91

$22.8B created / $24.9B retained

Last 10 years

$0.92

$32.3B created / $35.1B retained

Quality & capital discipline

Cash-based returns and how management deploys capital

Cash ROIC

15.0%

OCF ÷ (equity + debt)

OCF / EV yield

6.4%

MC vs 10× OCF

1.59

≤1 = priced under 10× OCF

Debt / FCF

0.5y

SBC / FCF

24.4%

Owner earnings

$3.1B

OCF − capex − SBC

OE yield

3.9%

Share count 5y

+1.8%

per year; negative = buybacks

Capital intensity

net PP&E ÷ revenue

Sales efficiency

$0.67

new PP&E per $1 new revenue, 5y

Growth engine (5y): reinvested 74.0% of operating cash flow at an incremental return of 12.2% — an organically fundable growth rate of about 9.0% per year (growth ≈ reinvestment rate × incremental ROIC).

Checklist

24 of 26 checks pass · 92%. Checks with structurally missing inputs are excluded.

Growth & Consistency

7/7

  • Revenue growth

    11.0% · 5y CAGR ≥ 5%

    pass
  • EPS growth

    6.3% · 5y CAGR ≥ 5%

    pass
  • FCF growth

    15.3% · 5y CAGR ≥ 5%

    pass
  • Revenue rises consistently

    7 of 9 · up in ≥ 7 of last 10 years

    pass
  • FCF consistently positive

    10 of 10 · positive in ≥ 8 of last 10 years

    pass
  • Profitable every year

    10 of 10 · net income > 0 in ≥ 8 of last 10

    pass
  • Cash flow keeps up with sales

    13.7% vs 11.0% · OCF CAGR ≥ 0.9× revenue CAGR

    pass

Profitability

6/6

  • Net margin

    31.4% · ≥ 8%

    pass
  • Operating margin

    24.9% · ≥ 10%

    pass
  • Gross margin stable or rising

    · no drop > 2 pts over 3y

    na
  • Return on equity

    14.4% · ≥ 12%

    pass
  • Cash ROIC

    15.0% · ≥ 12%

    pass
  • FCF margin

    28.4% · ≥ 5%

    pass
  • Earnings back their cash

    OCF $5.0B vs NI $4.5B · OCF ≥ net income (latest FY)

    pass

Balance Sheet

5/5

  • Debt payable from cash flow

    0.5y · LT debt ≤ 3× FCF

    pass
  • Cash cushion

    157% · cash ≥ 50% of LT debt

    pass
  • Leverage

    0.06 · LT debt ≤ 1.5× equity

    pass
  • Equity positive and compounding

    $31.3B · equity > 0 and grew over ~5y

    pass
  • Interest burden

    1% · interest ≤ 15% of operating income

    pass

Capital Allocation

2/4

  • Share count flat or shrinking

    1.8% · ≤ +0.5%/yr over ~5y

    fail
  • Stock comp restrained

    24% · SBC ≤ 15% of FCF

    fail
  • Distributions funded by FCF

    93% · dividends + buybacks ≤ 100% of FCF

    pass
  • Repurchases are a habit

    8 of 10 · buybacks in ≥ 5 of last 10 years

    pass

Valuation Discipline

4/4

  • FCF yield

    5.2% · ≥ 3%

    pass
  • Earnings multiple

    17.5 · P/E ≤ 25

    pass
  • Price asks less than history delivered

    7.3% vs 20.1% · implied FCF growth ≤ historical FCF CAGR

    pass
  • Shareholder yield

    4.8% · dividends + buybacks ≥ 2% of market cap

    pass

Financial data

As filed in 10-Ks; per-share figures split-adjusted. $ in millions.

FYRevenueGross profitOp incomeNet incomeEPSOCFCapExFCFDividendsBuybacksSBCCashLT debtEquityShares
202514,3433,5784,50541.484,9798984,0813703,4399943,1181,98631,257109
202414,2023,9914,41338.344,4217563,66502,6039832,4881,98429,354115
202313,1174,0473,95434.774,5947193,87502,2358852,7301,98325,973114
202212,1734,7394,33838.225,0155904,4252,0837253,1061,98122,664114
202116,0728,9478,07571.977,0815526,5291,6456022,8861,98018,769112
20208,4973,5773,51330.522,6186152,0045,8474322,1941,97911,025115
20196,5582,2102,11618.462,4304302,0002764641,618011,090115
20185,1462,5342,44421.292,1953831,81244271,4688,757115
20175,8722,0801,19910.341,3072731,03505078136,144116
20164,8601,3318967.701,48651297405605354,449116
20154,1041,2526365.521,3316786534598093,655115
20142,8208243382.987523334193226492,550113
20132,1057434143.725891564322155361,965111
20121,3784587506.75-7549-124942301,257115
2011446-205-222-2.45-14257-1995648448691
2010459-97-104-1.2699100-04011352883
2009379-74-68-0.85-7097-16731207397
2008238-86-79-8935-12433248422

Some concepts are structurally absent for certain industries (banks report no gross profit or capex). Missing ≠ zero.