Biogen Inc. (BIIB) | Investment Case

1. Company Snapshot

1.a. Company Description

Biogen Inc.discovers, develops, manufactures, and delivers therapies for treating neurological and neurodegenerative diseases.The company offers TECFIDERA, VUMERITY, AVONEX, PLEGRIDY, TYSABRI, and FAMPYRA for multiple sclerosis (MS); SPINRAZA for spinal muscular atrophy; and FUMADERM to treat plaque psoriasis.

It also provides BENEPALI, an etanercept biosimilar referencing ENBREL; ADUHELM for the treatment of Alzheimer's disease; IMRALDI, an adalimumab biosimilar referencing HUMIRA; and FLIXABI, an infliximab biosimilar referencing REMICADE.In addition, the company offers RITUXAN for treating non-Hodgkin's lymphoma, chronic lymphocytic leukemia (CLL), rheumatoid arthritis, two forms of ANCA-associated vasculitis, and pemphigus vulgaris; RITUXAN HYCELA for non-Hodgkin's lymphoma and CLL; GAZYVA to treat CLL and follicular lymphoma; and OCREVUS for treating relapsing MS and primary progressive MS; and other anti-CD20 therapies.Further, it develops BIIB135, BIIB061, BIIB091, and BIIB107 for MS and neuroimmunology; Aducanumab, Lecanemab, BIIB076, and BIIB080 to treat Alzheimer's disease and dementia; BIIB067, BIIB078, BIIB105, BIIB100, and BIIB110 to treat neuromuscular disorders; BIIB124, BIIB094, BIIB118, BIIB101, and BIIB122 for treating Parkinson's disease and movement disorders; BIIB125 and BIIB104 for treating neuropsychiatry; Dapirolizumab pegol and BIIB059 to treat immunology related diseases; BIIB093 and BIIB131 to treat acute neurology; BIIB074 for neuropathic pain; and BYOOVIZ, BIIB800, and SB15 biosimilars, which are under various stages of development.

The company has collaboration and license agreements with Acorda Therapeutics, Inc.; Alkermes Pharma Ireland Limited; Denali Therapeutics Inc.; Eisai Co., Ltd.; Genentech, Inc.; Neurimmune SubOne AG; Ionis Pharmaceuticals, Inc.; Samsung Bioepis Co., Ltd.; Sangamo Therapeutics, Inc.; and Sage Therapeutics, Inc.Biogen Inc.was founded in 1978 and is headquartered in Cambridge, Massachusetts.

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1.b. Last Insights on BIIB

Biogen's recent performance was driven by strong Q2 earnings and revenue beats, with quarterly earnings of $5.47 per share exceeding the Zacks Consensus Estimate of $3.93 per share. The company's growing rare disease drugs, such as Skyclarys and Leqembi, have strengthened its balance sheet. Additionally, Biogen secured FDA approval for subcutaneous maintenance dosing of Leqembi, offering an easier treatment option for Alzheimer's patients. The company also raised its annual profit forecast, citing strong demand for its rare disease drugs.

1.c. Company Highlights

Last Price	181.3
Change Percentage	-0.37%
Open	181.96
Previous Close	181.98
Market Cap ( Millions)	26597
Volume	1188417
Year High	185.17
Year Low	110.04
M A 50	157.9
M A 200	138.45

FCF Yield	8.56%
Dividend Yield	0.00%
ROE	9.25%
Debt / Equity	36.19%
Net Debt / EBIDTA	78.07%
Price To Book	1.46
Price Earnings Ratio	16.52
Price To FCF	11.68
Price To sales	2.64
EV / EBITDA	8.39

2. Biogen's Strong Q3 2025 Earnings: Launch Products Drive Growth

Biogen reported a 3% revenue growth in Q3 2025, driven by strong commercial execution, with its four launch products generating $257 million in revenue, a 67% year-over-year growth. Non-GAAP diluted EPS grew 18% to $4.81, beating analyst estimates of $3.89. The company's revenue performance was driven by its new product launches, including LEQEMBI, SKYCLARYS, and ZURZUVAE, which generated almost $1.2 billion in revenue over the last 12 months.

Publication Date: Nov -01

                                    📋 Highlights
                                    LEQEMBI Revenue Growth::
                                                Generated $121M in sales, with global revenues increasing 82% YoY compared to Q3 2024.
Launch Product Performance::
                                                New launches (LEQEMBI, SKYCLARYS, ZURZUVAE) drove $1.2B in revenue over 12 months, up 67% YoY.
Strong Cash Flow & EPS Growth::
                                                $1.2B free cash flow reported, with non-GAAP diluted EPS rising 18% for the quarter.
Alzheimer’s Diagnostic Momentum::
                                                350,000 blood tests and 60,000 PET scans anticipated this year, a 75% increase YoY.
MS Portfolio Resilience::
                                                VUMERITY achieved $500M in sales across 9M 2025, while U.S. MS business offset generic TECFIDERA erosion.

                                

Financial Performance

The company's financial performance was highlighted by its strong cash flow generation, with $1.2 billion in free cash flow. Biogen's revenue growth was driven by its launch products, with LEQEMBI generating $121 million in sales. The company's MS business continues to deliver significant revenue, with VUMERITY growing strongly, generating almost $0.5 billion in sales in the first 9 months of 2025.

Pipeline Progress

Biogen has made significant progress with its pipeline, including the initiation of a Phase I study for BIIB142, an IRAK4 degrader for autoimmune disease, and the acquisition of Alcyone Therapeutics. The company's late-stage pipeline includes 10 Phase III or Phase III-ready programs, covering 5 Phase III NMEs. Biogen's pipeline progress is expected to drive long-term growth, with the company having a deep scientific understanding of immunology and a crossover approach to different indications.

Valuation

Biogen's valuation metrics indicate a reasonable price for the stock. The company's P/E Ratio is 14.06, and its P/S Ratio is 2.25. Additionally, the stock has a Free Cash Flow Yield of 10.06%, indicating a strong cash generation capability. With a Net Debt / EBITDA ratio of 0.85, Biogen's debt position is manageable. Analysts estimate next year's revenue growth at -4.8%, but the company's strong pipeline and launch products are expected to drive long-term growth.

Commercial Performance

The company's commercial performance was driven by its Alzheimer's treatment, LEQEMBI, and its subcutaneous maintenance uptake, which has received positive feedback from payers, healthcare professionals, and patients. SKYCLARYS, a treatment for a rare neurological disorder, has shown steady and continuous growth overseas, with 34 countries now offering the treatment. ZURZUVAE, a treatment for postpartum depression, has performed above expectations, delivering $55 million in U.S. revenue, a 19% growth compared to the previous quarter.

3. NewsRoom

Eisai Presents New Data on the Continued and Expanding Benefit of LEQEMBI® (lecanemab-irmb) Maintenance Treatment in Early Alzheimer's Disease at the Clinical Trials on Alzheimer's Disease (CTAD) Conference 2025

Dec -03

Source: globenewswire.com

Biogen Inc. (BIIB) Presents at Piper Sandler 37th Annual Healthcare Conference Transcript

Dec -03

Source: seekingalpha.com

Biogen Inc. $BIIB Stake Reduced by Fisher Asset Management LLC

Dec -03

Source: defenseworld.net

New Data Presented at the Clinical Trials on Alzheimer's Disease (CTAD) Conference 2025 Confirms Pharmacological Effect of LEQEMBI® (lecanemab-irmb) on Neurotoxic Aβ Protofibrils in CSF

Dec -02

Source: globenewswire.com

Biogen Inc. (BIIB) Presents at Evercore 8th Annual Healthcare Conference Transcript

Dec -02

Source: seekingalpha.com

Biogen and Stoke Therapeutics Announce Presentations at the 2025 American Epilepsy Society Annual Meeting

Dec -01

Source: globenewswire.com

Biogen shares could climb on Leqembi uptake – Jefferies

Nov -28

Source: proactiveinvestors.com

Eisai Submits New Drug Application for Subcutaneous Formulation of “LEQEMBI®” for the Treatment of Early Alzheimer's Disease in Japan

Nov -28

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (0.00%)

6. Segments

Discovering, Developing and Delivering Worldwide Innovative Therapies

Expected Growth: -0.0%

Biogen Inc.'s growth is driven by innovative therapies in neuroscience and immunology. Discovering new treatments, developing existing ones, and delivering worldwide, contribute to stability (-0.0% growth). Key drivers include: increasing demand for MS and SMA treatments, robust pipeline, and strategic partnerships. Execution and market share expansion also support steady growth.

7. Detailed Products

TECFIDERA

An oral medication used to treat relapsing forms of multiple sclerosis (MS)

PLEGRIDY

A pegylated interferon beta-1a injection used to treat relapsing forms of MS

AVONEX

An interferon beta-1a injection used to treat relapsing forms of MS

RITUXAN

A monoclonal antibody used to treat rheumatoid arthritis, non-Hodgkin's lymphoma, and chronic lymphocytic leukemia

SPINRAZA

An antisense oligonucleotide injection used to treat spinal muscular atrophy (SMA) in pediatric and adult patients

FUMADERM

A dimethyl fumarate oral medication used to treat moderate to severe plaque psoriasis

8. Biogen Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Biogen Inc. faces moderate threat from substitutes due to the presence of alternative treatments and therapies for multiple sclerosis and other diseases.

Bargaining Power Of Customers

Biogen Inc. has a diverse customer base, and individual customers do not have significant bargaining power due to the company's strong brand presence and limited availability of alternative treatments.

Bargaining Power Of Suppliers

Biogen Inc. has a diversified supplier base, and no single supplier has significant bargaining power due to the company's large scale of operations and strong relationships with suppliers.

Threat Of New Entrants

The biotechnology industry has high barriers to entry, including significant research and development costs, regulatory hurdles, and the need for specialized expertise, making it difficult for new entrants to compete with Biogen Inc.

Intensity Of Rivalry

The biotechnology industry is highly competitive, with several established players competing for market share, and Biogen Inc. faces intense rivalry from companies such as Teva Pharmaceutical Industries, Novartis, and Roche Holding.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	33.15%
Debt Cost	3.95%
Equity Weight	66.85%
Equity Cost	3.91%
WACC	3.92%
Leverage	49.58%

11. Quality Control: Biogen Inc. passed 4 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Gilead Sciences

A-Score: 6.5/10

Value: 3.3

Growth: 3.0

Quality: 8.6

Yield: 7.0

Momentum: 9.0

Volatility: 8.3

1-Year Total Return ->

Pfizer

A-Score: 6.1/10

Value: 6.1

Growth: 2.9

Quality: 6.7

Yield: 9.0

Momentum: 3.5

Volatility: 8.7

1-Year Total Return ->

Merck

A-Score: 5.9/10

Value: 4.8

Growth: 6.2

Quality: 7.8

Yield: 7.0

Momentum: 1.5

Volatility: 8.3

1-Year Total Return ->

Bristol-Myers Squibb

A-Score: 5.6/10

Value: 5.0

Growth: 3.9

Quality: 6.4

Yield: 8.0

Momentum: 2.0

Volatility: 8.3

1-Year Total Return ->

Lilly

A-Score: 4.4/10

Value: 2.0

Growth: 7.2

Quality: 6.9

Yield: 2.0

Momentum: 2.5

Volatility: 5.7

1-Year Total Return ->

Biogen

A-Score: 4.2/10

Value: 6.3

Growth: 3.0

Quality: 7.6

Yield: 0.0

Momentum: 1.0

Volatility: 7.3

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

-8.03%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

3.92%

Biogen Inc. - US09062X1037

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on BIIB

1.c. Company Highlights

Less Volatile

Better Quality

Expensive

Earnings Beats

Revenues Miss

Average Quality

Revenues Beats

Fairly Valued

Stable Momentum

Average Growth

Weak Momentum

Earnings Miss

2. Biogen's Strong Q3 2025 Earnings: Launch Products Drive Growth

Financial Performance

Pipeline Progress

Valuation

Commercial Performance

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (0.00%)

6. Segments

Discovering, Developing and Delivering Worldwide Innovative Therapies

Expected Growth: -0.0%

7. Detailed Products

TECFIDERA

PLEGRIDY

AVONEX

RITUXAN

SPINRAZA

FUMADERM

8. Biogen Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Biogen Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

181.3$

Current Price

181.3$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA