Switch to:
Also traded in: Germany, Mexico

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 4/10

vs
industry
vs
history
Cash-to-Debt 0.21
NYSE:AGN's Cash-to-Debt is ranked lower than
86% of the 886 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 3.53 vs. NYSE:AGN: 0.21 )
Ranked among companies with meaningful Cash-to-Debt only.
NYSE:AGN' s Cash-to-Debt Range Over the Past 10 Years
Min: 0.02  Med: 0.4 Max: 41.17
Current: 0.21
0.02
41.17
Equity-to-Asset 0.62
NYSE:AGN's Equity-to-Asset is ranked lower than
53% of the 801 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 0.64 vs. NYSE:AGN: 0.62 )
Ranked among companies with meaningful Equity-to-Asset only.
NYSE:AGN' s Equity-to-Asset Range Over the Past 10 Years
Min: 0.27  Med: 0.63 Max: 0.91
Current: 0.62
0.27
0.91
Debt-to-Equity 0.41
NYSE:AGN's Debt-to-Equity is ranked lower than
58% of the 540 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 0.32 vs. NYSE:AGN: 0.41 )
Ranked among companies with meaningful Debt-to-Equity only.
NYSE:AGN' s Debt-to-Equity Range Over the Past 10 Years
Min: 0.01  Med: 0.29 Max: 1.68
Current: 0.41
0.01
1.68
Debt-to-EBITDA -15.65
NYSE:AGN's Debt-to-EBITDA is ranked lower than
99.99% of the 522 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 1.83 vs. NYSE:AGN: -15.65 )
Ranked among companies with meaningful Debt-to-EBITDA only.
NYSE:AGN' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -15.65  Med: 4.46 Max: 15.49
Current: -15.65
-15.65
15.49
Piotroski F-Score: 6
Altman Z-Score: 0.74
Beneish M-Score: -2.39
WACC vs ROIC
6.13%
-1.84%
WACC
ROIC
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 6/10

vs
industry
vs
history
Operating Margin % -3.40
NYSE:AGN's Operating Margin % is ranked lower than
82% of the 819 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 7.96 vs. NYSE:AGN: -3.40 )
Ranked among companies with meaningful Operating Margin % only.
NYSE:AGN' s Operating Margin % Range Over the Past 10 Years
Min: -14.8  Med: 2.28 Max: 14.12
Current: -3.4
-14.8
14.12
Net Margin % -25.88
NYSE:AGN's Net Margin % is ranked lower than
79% of the 819 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 5.73 vs. NYSE:AGN: -25.88 )
Ranked among companies with meaningful Net Margin % only.
NYSE:AGN' s Net Margin % Range Over the Past 10 Years
Min: -28.83  Med: 5.43 Max: 102.76
Current: -25.88
-28.83
102.76
ROE % -5.93
NYSE:AGN's ROE % is ranked lower than
72% of the 857 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 6.75 vs. NYSE:AGN: -5.93 )
Ranked among companies with meaningful ROE % only.
NYSE:AGN' s ROE % Range Over the Past 10 Years
Min: -11.23  Med: 6.44 Max: 19.24
Current: -5.93
-11.23
19.24
ROA % -3.34
NYSE:AGN's ROA % is ranked lower than
70% of the 888 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 3.29 vs. NYSE:AGN: -3.34 )
Ranked among companies with meaningful ROA % only.
NYSE:AGN' s ROA % Range Over the Past 10 Years
Min: -4.33  Med: 3.67 Max: 11.31
Current: -3.34
-4.33
11.31
ROC (Joel Greenblatt) % -539.64
NYSE:AGN's ROC (Joel Greenblatt) % is ranked lower than
88% of the 869 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 12.64 vs. NYSE:AGN: -539.64 )
Ranked among companies with meaningful ROC (Joel Greenblatt) % only.
NYSE:AGN' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -547.05  Med: 2.26 Max: 39.38
Current: -539.64
-547.05
39.38
3-Year Revenue Growth Rate -7.00
NYSE:AGN's 3-Year Revenue Growth Rate is ranked higher than
92% of the 681 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 5.40 vs. NYSE:AGN: -7.00 )
Ranked among companies with meaningful 3-Year Revenue Growth Rate only.
NYSE:AGN' s 3-Year Revenue Growth Rate Range Over the Past 10 Years
Min: -14  Med: 17.35 Max: 54
Current: -7
-14
54
3-Year EPS without NRI Growth Rate -2.00
NYSE:AGN's 3-Year EPS without NRI Growth Rate is ranked lower than
67% of the 657 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 10.20 vs. NYSE:AGN: -2.00 )
Ranked among companies with meaningful 3-Year EPS without NRI Growth Rate only.
NYSE:AGN' s 3-Year EPS without NRI Growth Rate Range Over the Past 10 Years
Min: 0  Med: 0.75 Max: 94.3
Current: -2
0
94.3
GuruFocus has detected 2 Warning Signs with Allergan PLC NYSE:AGN.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
» NYSE:AGN's 30-Y Financials

Financials (Next Earnings Date: 2018-05-11)


Revenue & Net Income
Cash & Debt
Operating Cash Flow & Free Cash Flow
Operating Cash Flow & Net Income

» Details

Guru Trades

Q2 2017

AGN Guru Trades in Q2 2017

Manning & Napier Advisors, Inc 18,035 sh (+50.54%)
Diamond Hill Capital 1,687 sh (+30.78%)
Bernard Horn 21,989 sh (+26.45%)
Tom Gayner 33,000 sh (+22.22%)
Pioneer Investments 1,340,783 sh (+6.54%)
Ken Fisher 5,314 sh (+4.22%)
Jerome Dodson 183,000 sh (+3.39%)
Jeff Auxier 8,010 sh (+0.63%)
Mario Gabelli 71,323 sh (+0.51%)
David Carlson 470,000 sh (unchged)
Robert Bruce 50,000 sh (unchged)
Seth Klarman 2,432,603 sh (unchged)
Leon Cooperman 295,188 sh (unchged)
Eaton Vance Worldwide Health Sciences Fund 281,471 sh (unchged)
Andreas Halvorsen Sold Out
Paul Tudor Jones Sold Out
Steven Cohen Sold Out
Joel Greenblatt Sold Out
Vanguard Health Care Fund 11,426,334 sh (-2.19%)
Frank Sands 5,428 sh (-2.25%)
Private Capital 146,853 sh (-2.48%)
NWQ Managers 164,265 sh (-4.61%)
Scott Black 7,814 sh (-5.16%)
Wallace Weitz 481,895 sh (-5.95%)
First Pacific Advisors 9,700 sh (-6.73%)
John Paulson 2,703,570 sh (-8.10%)
David Tepper 2,509,619 sh (-14.56%)
John Griffin 1,438,000 sh (-24.71%)
Jim Simons 234,169 sh (-54.97%)
» More
Q3 2017

AGN Guru Trades in Q3 2017

Paul Tudor Jones 7,925 sh (New)
George Soros 1,100 sh (New)
Steven Cohen 449,776 sh (New)
Caxton Associates 2,100 sh (New)
Ken Fisher 7,015 sh (+32.01%)
Bernard Horn 27,289 sh (+24.10%)
Seth Klarman 2,964,203 sh (+21.85%)
Wallace Weitz 523,810 sh (+8.70%)
Jeff Auxier 8,495 sh (+6.05%)
Frank Sands 5,618 sh (+3.50%)
David Carlson 480,000 sh (+2.13%)
Pioneer Investments 1,355,733 sh (+1.12%)
Scott Black 7,884 sh (+0.90%)
Tom Gayner 33,000 sh (unchged)
Robert Bruce 50,000 sh (unchged)
Leon Cooperman Sold Out
Vanguard Health Care Fund 11,337,619 sh (-0.78%)
Mario Gabelli 70,023 sh (-1.82%)
First Pacific Advisors 9,500 sh (-2.06%)
Private Capital 139,929 sh (-4.71%)
Manning & Napier Advisors, Inc 16,960 sh (-5.96%)
Diamond Hill Capital 1,540 sh (-8.71%)
John Griffin 1,283,680 sh (-10.73%)
NWQ Managers 136,976 sh (-16.61%)
John Paulson 2,180,292 sh (-19.36%)
David Tepper 1,888,188 sh (-24.76%)
Jerome Dodson 115,075 sh (-37.12%)
Jim Simons 63,169 sh (-73.02%)
Eaton Vance Worldwide Health Sciences Fund 257,544 sh (-8.50%)
» More
Q4 2017

AGN Guru Trades in Q4 2017

Arnold Van Den Berg 162,205 sh (New)
Mason Hawkins 2,297,386 sh (New)
Larry Robbins 1,154,576 sh (New)
Diamond Hill Capital 22,838 sh (+1382.99%)
Jim Simons 726,269 sh (+1049.72%)
Frank Sands 30,073 sh (+435.30%)
Paul Tudor Jones 36,855 sh (+365.05%)
David Tepper 3,465,862 sh (+83.55%)
Robert Bruce 89,200 sh (+78.40%)
NWQ Managers 225,549 sh (+64.66%)
Jerome Dodson 188,775 sh (+64.05%)
Seth Klarman 4,500,000 sh (+51.81%)
Private Capital 175,694 sh (+25.56%)
Wallace Weitz 650,315 sh (+24.15%)
Jeff Auxier 9,995 sh (+17.66%)
Vanguard Health Care Fund 13,216,673 sh (+16.57%)
David Carlson 480,000 sh (unchged)
Tom Gayner 33,000 sh (unchged)
Caxton Associates 2,100 sh (unchged)
Bernard Horn 27,289 sh (unchged)
Scott Black Sold Out
George Soros Sold Out
Steven Cohen Sold Out
Mario Gabelli 67,948 sh (-2.96%)
Ken Fisher 6,494 sh (-7.43%)
John Paulson 1,898,724 sh (-12.91%)
Pioneer Investments 1,147,408 sh (-15.37%)
First Pacific Advisors 2,500 sh (-73.68%)
John Griffin 215,000 sh (-83.25%)
Eaton Vance Worldwide Health Sciences Fund 139,059 sh (-46.01%)
» More
Q1 2018

AGN Guru Trades in Q1 2018

Jerome Dodson 139,775 sh (-25.96%)
» More
» Details

Insider Trades

Latest Guru Trades with NYSE:AGN

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Vanguard Health Care Fund 2017-12-31 Add 16.57%0.67%$163.58 - $210.98 $ 158.51-12%13,216,673
Seth Klarman 2017-12-31 Add 51.81%2.49%$163.58 - $210.98 $ 158.51-12%4,500,000
David Tepper 2017-12-31 Add 83.55%2.43%$163.58 - $210.98 $ 158.51-12%3,465,862
Mason Hawkins 2017-12-31 New Buy4.65%$163.58 - $210.98 $ 158.51-12%2,297,386
John Paulson 2017-12-31 Reduce -12.91%1.04%$163.58 - $210.98 $ 158.51-12%1,898,724
Wallace Weitz 2017-12-31 Add 24.15%0.89%$163.58 - $210.98 $ 158.51-12%650,315
NWQ Managers 2017-12-31 Add 64.66%0.21%$163.58 - $210.98 $ 158.51-12%225,549
Private Capital 2017-12-31 Add 25.56%0.94%$163.58 - $210.98 $ 158.51-12%175,694
Arnold Van Den Berg 2017-12-31 New Buy3.6%$163.58 - $210.98 $ 158.51-12%162,205
Robert Bruce 2017-12-31 Add 78.40%1.51%$163.58 - $210.98 $ 158.51-12%89,200
Mario Gabelli 2017-12-31 Reduce -2.96%$163.58 - $210.98 $ 158.51-12%67,948
Ken Fisher 2017-12-31 Reduce -7.43%$163.58 - $210.98 $ 158.51-12%6,494
George Soros 2017-12-31 Sold Out 0.01%$163.58 - $210.98 $ 158.51-12%0
Vanguard Health Care Fund 2017-09-30 Reduce -0.78%0.05%$202.66 - $256.15 $ 158.51-32%11,337,619
Seth Klarman 2017-09-30 Add 21.85%1.36%$202.66 - $256.15 $ 158.51-32%2,964,203
John Paulson 2017-09-30 Reduce -19.36%1.73%$202.66 - $256.15 $ 158.51-32%2,180,292
David Tepper 2017-09-30 Reduce -24.76%2.24%$202.66 - $256.15 $ 158.51-32%1,888,188
Wallace Weitz 2017-09-30 Add 8.70%0.36%$202.66 - $256.15 $ 158.51-32%523,810
Private Capital 2017-09-30 Reduce -4.71%0.27%$202.66 - $256.15 $ 158.51-32%139,929
NWQ Managers 2017-09-30 Reduce -16.61%0.09%$202.66 - $256.15 $ 158.51-32%136,976
Mario Gabelli 2017-09-30 Reduce -1.82%$202.66 - $256.15 $ 158.51-32%70,023
Ken Fisher 2017-09-30 Add 32.01%$202.66 - $256.15 $ 158.51-32%7,015
George Soros 2017-09-30 New Buy0.01%$202.66 - $256.15 $ 158.51-32%1,100
Leon Cooperman 2017-09-30 Sold Out 2.99%$202.66 - $256.15 $ 158.51-32%0
Vanguard Health Care Fund 2017-06-30 Reduce -2.19%0.14%$218.73 - $248.91 $ 158.51-33%11,426,334
John Paulson 2017-06-30 Reduce -8.10%0.76%$218.73 - $248.91 $ 158.51-33%2,703,570
David Tepper 2017-06-30 Reduce -14.56%1.68%$218.73 - $248.91 $ 158.51-33%2,509,619
Wallace Weitz 2017-06-30 Reduce -5.95%0.31%$218.73 - $248.91 $ 158.51-33%481,895
NWQ Managers 2017-06-30 Reduce -4.61%0.03%$218.73 - $248.91 $ 158.51-33%164,265
Private Capital 2017-06-30 Reduce -2.48%0.14%$218.73 - $248.91 $ 158.51-33%146,853
Mario Gabelli 2017-06-30 Add 0.51%$218.73 - $248.91 $ 158.51-33%71,323
Tom Gayner 2017-06-30 Add 22.22%0.03%$218.73 - $248.91 $ 158.51-33%33,000
Ken Fisher 2017-06-30 Add 4.22%$218.73 - $248.91 $ 158.51-33%5,314
Joel Greenblatt 2017-06-30 Sold Out 0.01%$218.73 - $248.91 $ 158.51-33%0
Premium More recent guru trades are included for Premium Members only!!
Premium More recent guru trades are included for USA Subscribe Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Preferred stocks of Allergan PLC

SymbolPriceYieldDescription
AGNpA.PFD543.502.535 1/2 % Cum.Conv.Pref.Shs 2015-1.3.18 Series -A-

Business Description

Industry: Drug Manufacturers » Drug Manufacturers - Specialty & Generic    NAICS: 325412 
Compare:XTER:MRK, TSE:4502, NYSE:ZTS, SHSE:600276, NAS:MYL, NSE:SUNPHARMA, TSE:4523, NYSE:TEVA, SHSE:600518, SHSE:600196, SZSE:000538, TSE:4507, XPAR:IPN, TSE:4508, NYSE:PRGO, OCSE:LUN, SZSE:000963, JSE:APN, XSWX:VIFN, HKSE:03320 » details
Traded in other countries:A60.Germany, AGN N.Mexico,
Headquarter Location:Ireland
Allergan PLC is a specialty pharmaceutical company engaged in the development, manufacturing, marketing, and distribution of brand name pharmaceutical products, medical aesthetics, biosimilar and OTC pharmaceutical products.

Allergan is one of the largest specialty pharmaceutical manufacturers. It specializes in aesthetics, ophthalmology, women's health, gastrointestinal, and central nervous system products. In 2016, Allergan sold its generics and distribution segments to Teva.

Guru Investment Theses on Allergan PLC

Jerome Dodson Comments on Allergan - Feb 13, 2018

Allergan (AGN), a pharmaceutical company best known for developing Botox, fell 22.1% from $210.01 to $163.58, reducing the Fund’s return by 35 basis points. The stock fell after a federal judge invalidated patents covering the company’s $1.5 billion dry-eye drug, Restasis, thereby enabling a generic version to come to the market. Shares declined again after Revance Therapeutics, a clinical-stage biotech company, presented data showing that its competing Botox product lasts longer than Allergan’s Botox. We added to our position as the stock moved lower, because we think Allergan’s aesthetics franchise remains solid despite increasing competition. The stock is also cheap, trading at just 10 times expected 2018 earnings.



From Jerome Dodson (Trades, Portfolio)'s fourth-quarter 2017 Parnassus Fund shareholder letter.

Check out Jerome Dodson latest stock trades

Wally Weitz Comments on Allergan plc - Jan 24, 2018

On the other side of the ledger, Allergan plc (NYSE:AGN) was the largest detractor from Fund performance during the fourth quarter and calendar year. Following the invalidation of dry eye drug Restasis’s patents in federal court in October, we once again tested the assumptions underlying our valuation scenarios. The earlier-than-expected loss of Restasis profits and more conservative forecasts for the company’s aesthetics franchise resulted in a downward revision to our base case estimate of intrinsic value. The drop in Allergan’s stock price, however, has been far more pronounced, so we added to our position at $173 during the quarter.





From Weitz Investment Management's Value Fund fourth-quarter commentary.



Check out Wallace Weitz latest stock trades

Wally Weitz Comments on Allergan - Jan 24, 2018

In addition to our short positions, Allergan (NYSE:AGN) (-20% Q4, -21% 2017) was a top detractor in both the quarter and calendar year. Shares fell during the quarter as patents for its dry eye treatment Restasis were invalidated in federal court. After incorporating the earlier-than-expected loss of Restasis profits, we made a downward revision to our business value estimate. Nevertheless, we believe Allergan’s share price decline has overshot reality, and it continues to trade at a significant discount.

From Wallace Weitz (Trades, Portfolio)'s Partner III Opportunity Fund fourth-quarter commentary.

Check out Wallace Weitz latest stock trades

Jerome Dodson Comments on Allergan - Oct 25, 2017

Allergan (NYSE:AGN), a pharmaceutical company best known for developing Botox, fell 15.7% from $243.09 to $204.95, reducing the Fund’s return by 55 basis points. The stock dropped after the company announced a deal with the Saint Regis Mohawk Tribe, whereby Allergan transferred patents on its $1.5 billion dry eye drug, Restasis, to the tribe in exchange for an upfront payment and annual royalties. While this deal has the potential to delay generic competition due to the tribe’s sovereign immunity, it has also attracted political scrutiny, which weighed on the stock’s multiple. We trimmed our position to reflect our disappointment with this unusual deal. However, we continue to own the stock because we like the company’s aesthetics franchise and think the stock is significantly undervalued, trading at just 12 times expected 2018 earnings.



From Jerome Dodson (Trades, Portfolio)'s Parnassus Fund third quarter 2017 commentary.

Check out Jerome Dodson latest stock trades

Keeley Funds Comments on Allergan - Oct 24, 2017

Pharmaceutical maker Allergan (NYSE:AGN) (-15% Q3) adversely impacted quarterly results as investors began to question the company’s near-term estimates, reversing gains from earlier this year. We continue to believe the company is well positioned to deliver double-digit returns over the midterm and added incrementally to our holdings.

From Wallace Weitz (Trades, Portfolio)'s Partners III Fund third-quarter 2017 shareholder commentary.

Check out Keeley Asset Management Corp latest stock trades

Weitz Value Fund Comments on Allergan - Apr 27, 2017

Allergan (NYSE:AGN) is a global specialty pharmaceutical company focusing on the development, manufacturing, marketing and distribution of brand name, biosimilar and over-the-counter pharmaceutical products. Allergan shares finished 2016 on a higher note, following an otherwise challenging year. While revenues and earnings were shy of expectations and drug price regulation dominated headlines throughout much of the past year, the health of Allergan’s core underlying growth drivers gave us confidence to continue buying shares at increasingly attractive discounts during the fourth calendar quarter. Encouragingly, recent operating results have come in ahead of internal forecasts, and the company’s initial outlook for 2017 exceeded our expectations. Growth across Allergan’s therapeutic segment looks healthy, with the global aesthetics franchise demonstrating notable strength. Headwinds from legislative and regulatory developments continue to bear monitoring,



From Weitz Value Fund first quarter 2017 commentary.



Check out Wallace Weitz latest stock trades

Jerome Dodson Comments on Allergan - Apr 26, 2017

Allergan (NYSE:AGN), a pharmaceutical company best known for developing Botox, increased the Fund’s return by 61 basis points, as the stock jumped 13.8% from $210.01 to $238.92. The shares rose after the company reported better-than-expected earnings and provided an optimistic outlook for 2017. Allergan’s strong cash-pay businesses and recently launched products—such as Vraylar, a drug used to treat schizophrenia—continue to drive growth. During the quarter, Allergan extended its dominance in the aesthetics market by acquiring Zeltiq for $2.5 billion. Zeltiq’s CoolSculpting system is the #1 non-invasive fat reduction procedure in the U.S.

Jerome Dodson (Trades, Portfolio)'s first quarter 2017 Parnassus Funds commentary.

Check out Jerome Dodson latest stock trades

Weitz Funds Comments on Allergan - Jan 26, 2017

Allergan (NYSE:AGN) is a global specialty pharmaceutical company focusing on the development, manufacturing, marketing and distribution of brand name, biosimilar and over-the-counter pharmaceutical products. Following a brief post-election rally, the majority of the biopharmaceutical sector retreated to prior price levels as capital continued to flow out of healthcare and into industries seen as potential beneficiaries of policy shifts under the new administration. After downwardly revising future growth expectations in August and again in early November, Allergan has become a “show me” story. Patent challenges for Restasis (dry eye treatment) and Namenda XR (alzheimer’s drug) may continue to weigh on the stock in the near term, though each contributes only a small percentage of our estimate of the company’s overall intrinsic value. Over the next 3-5 years, we believe the company will have healthy mid-single digit (or better) operating profit growth. 80% of the company’s recently announced $10 billion accelerated share repurchase program is complete at an average price below $200 per share. We believe this will prove to be a prudent use of excess cash in the long run. Future capital deployment and late-stage pipeline success remain potential positives over the next 12 -24 months. We continue to believe Allergan shares present compelling value at current prices.



From Weitz Investment Management's Value Fund fourth quarter 2016 commentary.



Check out Wallace Weitz latest stock trades

Weitz Funds Comments on Allergan - Nov 11, 2016

Allergan (NYSE:AGN) is a global specialty pharmaceutical company focusing on the development, manufacturing, marketing and distribution of brand name, biosimilar and over-the-counter (OTC) pharmaceutical products. One week after closing the sale of Actavis generics to Teva Pharmaceuticals, Allergan reported mildly disappointing top-line results for the quarter. Importantly, however, Allergan’s “core” products continue to grow nicely, with five of the company’s seven core therapeutic categories growing by double digits (in constant currency) versus the prior year. Our base case valuation of $350-360 per share does not depend on Allergan hitting CEO Brent Saunders’ goal of double- digit organic growth. However, strong, high single-digit organic sales growth appears achievable, as the company’s recently launched products continue to scale. One near-term positive of a lower share price is that Allergan’s $5 billion in share repurchases between now and year end will go further, and deployment of a portion of the company’s nearly $28 billion in cash remains a possible catalyst for the stock. The re-emergence of drug pricing as a political issue is not surprising to us as we enter the home stretch of the presidential election. We believe Secretary Clinton’s plan to control and eventually lower prescription drugs costs could negatively impact Allergan’s long-term earnings trajectory (perhaps by $2-3 per share on a base of $18), should she win the election, but with the stock at $240, we believe the risk of permanent loss is low. In short, Allergan’s risk/reward ratio (upside to base case vs. downside to low case) continues to be skewed in favor of the long-term owner.





  • From Weitz Balanced Fund third quarter 2016 commentary.


Check out Wallace Weitz latest stock trades

Daniel Loeb Comments on Akarna Therapeutics - Nov 02, 2016

Akarna Therapeutics TPV was a founding investor in Akarna in Q1 2015. Akarna focuses on the treatment of Nonalcoholic Steatohepatitis (NASH), also known as fatty liver disease. Akarna was attractive for several reasons:



  • Large market opportunity: Epidemiologic studies suggest that NASH affects 2 – 5% of Americans and is believed to be correlated with increasing rates of obesity, diabetes, and high cholesterol. If left untreated, NASH can lead to liver fibrosis, cirrhosis, and, ultimately, end-stage liver disease. Unfortunately, there are no currently approved treatments for NASH.

  • Derisked mechanism of action: Clinical trials with bile acids have validated farnesoid X receptor agonists as a viable therapeutic agent based on clinical and histological biomarkers of the disease. These trials have also demonstrated a clear need for treatments with still improved efficacy and better side effect profiles.

  • Active area of business development: Over the past few years, the sector has seen burgeoning interest in NASH assets with partnerships or acquisitions (e.g., Gilead / Nimbus, Merck / NGM) occurring at attractive valuations.

The team at Akarna identified a potentially best-in-class lead candidate with an attractive pre-clinical profile in in vitro and animal studies. Akarna also secured a broad intellectual property portfolio around the lead compound family.



In August 2016, just 18 months after Akarna was founded, Allergan acquired the company for an upfront payment of $50 million and undisclosed potential clinical, regulatory, and commercial milestones. For Third Point Ventures, our share of the upfront payment reflects a total return of 3.1x our initial investment. If Allergan (NYSE:AGN) successfully develops and commercializes the Akarna drug, the total return on our investment could be meaningfully larger.



From Third Point's third-quarter 2016 commentary.



Check out Daniel Loeb latest stock trades

Jerome Dodson Comments on Allergan - Jul 26, 2016

Allergan (NYSE:AGN), an innovative pharmaceutical company best known for developing Botox, reduced the return by 41 basis points as the stock dropped 13.8% from $268.03 to $231.09. The shares sank after Pfizer terminated its plans to acquire Allergan for $160 billion. Pfizer walked away from the deal because of new rules from the U.S. Treasury that prevent tax-lowering corporate inversions. We used the stock’s weakness to increase our position, since Allergan has an attractive collection of durable brands. We also like the fact that the company is in the process of selling its generic drug unit to Teva for $40 billion, which will enable Allergan to repurchase stock, pay down debt and acquire innovative drug companies.


From Jerome Dodson (Trades, Portfolio)'s Parnassus Fund second quarter 2016 commentary.

Check out Jerome Dodson latest stock trades

Weitz Funds Comments on Allergan - Jul 20, 2016

Allergan (NYSE:AGN) is a global specialty pharmaceutical company focusing on the development, manufacturing, marketing and distribution of generic, brand name, biosimilar and over-the-counter (OTC) pharmaceutical products. The dissolution of Allergan’s merger with Pfizer in April, delays in gaining Federal Trade Commission approval for the sale of its global generics business to TEVA and broader industry concern around prescription drug prices combined to push Allergan’s stock down by 26% during the first half of the calendar year. As we wrote in January, we like the stand-alone Allergan business without the generics business and believe the $ 40 billion sale to TEVA should soon close. There are a number of signs that growth in Allergan’s aesthetics franchise is accelerating, and the company’s key product launches – VIBERZI, VRAYLAR and KYBELLA – appear to be off to healthy starts. The combination of healthy organic growth, debt reduction and meaningful share repurchases should drive per share value creation over our investment horizon. We substantially increased the Fund’s Allergan position during the second quarter at attractive discounts to our business value estimate.



From Weitz Value Fund's Value second quarter 2016 commentary.



Check out Wallace Weitz latest stock trades

Ruane Cunniff Comments on Allergan - Jul 13, 2016

We exited two smaller positions during the quarter. While Allergan (NYSE:AGN) has a stronger collection of assets and far better outlook than Valeant, we suspect many drug makers will face increasing pressure from health care payers who need to reduce the relentless double-digit inflation rate for branded pharmaceuticals.

From Ruane Cunniff (Trades, Portfolio)'s Sequoia Fund second quarter 2016 shareholder letter.

Check out Ruane Cunniff latest stock trades

Baron Funds Comments on Allergan plc - May 06, 2016

Our conviction to buy Allergan plc (NYSE:AGN) in the first quarter relied on differentiation of Allergan from its specialty pharmaceutical peers (Valeant, Endo, Mallinckrodt) given the quality of its asset mix (Botox, glaucoma drugs, breast implants, aesthetics, etc.) and its non-reliance on distasteful price increases for growth. Admittedly, we were aware of the potential upside to the Pfizer deal and were disappointed with the Treasury’s actions to stem tax inversions. Regardless, we were comfortable with Allergan as a stand-alone company, given the above base business married to the pending closure of the sale of Allergan’s generics portfolio to Teva for approximately $40 billion. This deal (pending over the next quarters) will help drive Allergan’s M&A efforts towards obtaining a more biotech like growth profile, which should both drive increases in top/bottom-line growth and expand the multiple at which investors are willing to value Allergan’s business. However, while our initial thesis remains intact, the entire specialty pharmaceutical space has re-rated given the above-mentioned bad actors. This has pressured the entire space, and we decided to exit specialty pharmaceuticals and focus on the more innovative biotech space going forward.





From Baron Opportunity Fund first quarter 2016 commentary.







Check out Ron Baron latest stock trades

Weitz Funds Comments on Allergan - Apr 25, 2016

Allergan (NYSE:AGN) is a global specialty pharmaceutical company focused on the development, manufacturing, marketing and distribution of generic, brand name, biosimilar and over-the-counter pharmaceutical products. A combination of factors contributed to the decline in Allergan’s stock during the quarter, including continued discussions of potential drug price regulation, regulatory delays in closing the company’s sale of its generic drug operations to TEVA and uncertainty around the viability of the proposed merger with Pfizer (which, subsequent to quarter end, has officially been called off). We believe the risk of the TEVA transaction falling through is low, and the company’s collection of durable growth assets, management acumen and balance sheet optionality create multiple paths for durable shareholder value creation in the years ahead. We added to our position during the quarter.



From Weitz Funds' Research Fund commentary 1st quarter.



Check out Wallace Weitz latest stock trades

Top Ranked Articles about Allergan PLC

Biotech M&A Ratchets Up to a New Level A flood of cash is causing an industry-wide feeding frenzy
Many biotech industry-watchers expected 2018 to be a big year for mergers and acquisitions, and the big players have not disappointed. Fueled by a massive infusion of cash repatriated from overseas thanks to the Trump tax law’s one-time tax holiday, the M&A boom has only just gotten started. Read more...
Allergan Showcases Leadership in Neurosciences with 25 Presentations at the American Academy of Neurology Annual Meeting in Los Angeles
Allergan Does Not Intend to Make an Offer for Shire plc; Strategic Review Continues
Allergan Issues Statement Regarding Press Speculation on its Strategic Review
New Research Coverage Highlights Exelixis, Verizon Communications, AT&T, Snap, Allergan plc, and QUALCOMM — Consolidated Revenues, Company Growth, and Expectations for 2018
Allergan Announces Launch of the TrueTear® Intranasal Neurostimulation Device During 2018 ASCRS-ASOA Annual Meeting
Allergan and Richter Announce Positive Topline Results from Third of Three Pivotal Trials of Cariprazine in Bipolar I Depression
Allergan Receives 2018 ENERGY STAR® Partner of the Year - Sustained Excellence Award
Allergan to Report First Quarter 2018 Earnings and Host Conference Call and Webcast
March Forum Update: 'Pharmaceutical Companies' Edition A discussion of 2 health care companies with low valuations but modest quality
Throughout March, our GuruFocus Forum users shared comments about the value and growth potential of several pharmaceutical companies, including Valeant Pharmaceuticals International Inc. (NYSE:VRX) and Allergan PLC (NYSE:AGN). Read more...

Ratios

vs
industry
vs
history
Forward PE Ratio 10.10
AGN's Forward PE Ratio is ranked higher than
88% of the 111 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 20.00 vs. AGN: 10.10 )
Ranked among companies with meaningful Forward PE Ratio only.
N/A
PB Ratio 0.76
AGN's PB Ratio is ranked higher than
94% of the 843 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.96 vs. AGN: 0.76 )
Ranked among companies with meaningful PB Ratio only.
AGN' s PB Ratio Range Over the Past 10 Years
Min: 0.69  Med: 1.72 Max: 5.9
Current: 0.76
0.69
5.9
PS Ratio 3.32
AGN's PS Ratio is ranked lower than
51% of the 784 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 3.25 vs. AGN: 3.32 )
Ranked among companies with meaningful PS Ratio only.
AGN' s PS Ratio Range Over the Past 10 Years
Min: 0.99  Med: 2.09 Max: 10.64
Current: 3.32
0.99
10.64
Price-to-Free-Cash-Flow 10.76
AGN's Price-to-Free-Cash-Flow is ranked higher than
83% of the 216 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 26.03 vs. AGN: 10.76 )
Ranked among companies with meaningful Price-to-Free-Cash-Flow only.
AGN' s Price-to-Free-Cash-Flow Range Over the Past 10 Years
Min: 7.27  Med: 19.31 Max: 287.96
Current: 10.76
7.27
287.96
Price-to-Operating-Cash-Flow 9.00
AGN's Price-to-Operating-Cash-Flow is ranked higher than
84% of the 289 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 18.21 vs. AGN: 9.00 )
Ranked among companies with meaningful Price-to-Operating-Cash-Flow only.
AGN' s Price-to-Operating-Cash-Flow Range Over the Past 10 Years
Min: 6.06  Med: 15.18 Max: 93.15
Current: 9
6.06
93.15
EV-to-EBIT -8.66
AGN's EV-to-EBIT is ranked lower than
99.99% of the 599 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 19.78 vs. AGN: -8.66 )
Ranked among companies with meaningful EV-to-EBIT only.
AGN' s EV-to-EBIT Range Over the Past 10 Years
Min: -310.4  Med: 10.7 Max: 102.2
Current: -8.66
-310.4
102.2
EV-to-EBITDA -41.88
AGN's EV-to-EBITDA is ranked lower than
99.99% of the 623 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 16.59 vs. AGN: -41.88 )
Ranked among companies with meaningful EV-to-EBITDA only.
AGN' s EV-to-EBITDA Range Over the Past 10 Years
Min: -47.1  Med: 12.6 Max: 106.9
Current: -41.88
-47.1
106.9
EV-to-Revenue 5.05
AGN's EV-to-Revenue is ranked lower than
64% of the 810 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 3.38 vs. AGN: 5.05 )
Ranked among companies with meaningful EV-to-Revenue only.
AGN' s EV-to-Revenue Range Over the Past 10 Years
Min: 1.2  Med: 2.6 Max: 18.1
Current: 5.05
1.2
18.1
Shiller PE Ratio 49.62
AGN's Shiller PE Ratio is ranked lower than
66% of the 230 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 36.11 vs. AGN: 49.62 )
Ranked among companies with meaningful Shiller PE Ratio only.
AGN' s Shiller PE Ratio Range Over the Past 10 Years
Min: 18.96  Med: 57.51 Max: 2307.73
Current: 49.62
18.96
2307.73
Current Ratio 1.16
AGN's Current Ratio is ranked lower than
85% of the 772 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.56 vs. AGN: 1.16 )
Ranked among companies with meaningful Current Ratio only.
AGN' s Current Ratio Range Over the Past 10 Years
Min: 1.03  Med: 2.47 Max: 13.07
Current: 1.16
1.03
13.07
Quick Ratio 1.06
AGN's Quick Ratio is ranked lower than
75% of the 772 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.02 vs. AGN: 1.06 )
Ranked among companies with meaningful Quick Ratio only.
AGN' s Quick Ratio Range Over the Past 10 Years
Min: 0.8  Med: 2 Max: 11.98
Current: 1.06
0.8
11.98
Days Inventory 146.91
AGN's Days Inventory is ranked lower than
65% of the 765 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 116.78 vs. AGN: 146.91 )
Ranked among companies with meaningful Days Inventory only.
AGN' s Days Inventory Range Over the Past 10 Years
Min: 108.18  Med: 125.89 Max: 369.45
Current: 146.91
108.18
369.45
Days Sales Outstanding 66.38
AGN's Days Sales Outstanding is ranked higher than
59% of the 699 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 74.10 vs. AGN: 66.38 )
Ranked among companies with meaningful Days Sales Outstanding only.
AGN' s Days Sales Outstanding Range Over the Past 10 Years
Min: 43.91  Med: 66.34 Max: 197.04
Current: 66.38
43.91
197.04
Days Payable 54.63
AGN's Days Payable is ranked lower than
65% of the 640 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 73.92 vs. AGN: 54.63 )
Ranked among companies with meaningful Days Payable only.
AGN' s Days Payable Range Over the Past 10 Years
Min: 28.03  Med: 57.39 Max: 109.48
Current: 54.63
28.03
109.48

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield % 1.78
AGN's Dividend Yield % is ranked higher than
57% of the 725 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 1.53 vs. AGN: 1.78 )
Ranked among companies with meaningful Dividend Yield % only.
AGN' s Dividend Yield % Range Over the Past 10 Years
Min: 0.28  Med: 1.02 Max: 1.94
Current: 1.78
0.28
1.94
Forward Dividend Yield % 1.82
AGN's Forward Dividend Yield % is ranked higher than
57% of the 698 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 1.60 vs. AGN: 1.82 )
Ranked among companies with meaningful Forward Dividend Yield % only.
N/A
5-Year Yield-on-Cost % 1.79
AGN's 5-Year Yield-on-Cost % is ranked lower than
52% of the 889 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 1.94 vs. AGN: 1.79 )
Ranked among companies with meaningful 5-Year Yield-on-Cost % only.
AGN' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.28  Med: 1.02 Max: 1.94
Current: 1.79
0.28
1.94
3-Year Average Share Buyback Ratio -7.50
AGN's 3-Year Average Share Buyback Ratio is ranked lower than
58% of the 540 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: -4.80 vs. AGN: -7.50 )
Ranked among companies with meaningful 3-Year Average Share Buyback Ratio only.
AGN' s 3-Year Average Share Buyback Ratio Range Over the Past 10 Years
Min: -45.6  Med: -6.7 Max: 2
Current: -7.5
-45.6
2

Valuation & Return

vs
industry
vs
history
Price-to-Intrinsic-Value-Projected-FCF 0.66
AGN's Price-to-Intrinsic-Value-Projected-FCF is ranked higher than
93% of the 312 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.58 vs. AGN: 0.66 )
Ranked among companies with meaningful Price-to-Intrinsic-Value-Projected-FCF only.
AGN' s Price-to-Intrinsic-Value-Projected-FCF Range Over the Past 10 Years
Min: 0.55  Med: 1.22 Max: 5.08
Current: 0.66
0.55
5.08
Price-to-Median-PS-Value 1.59
AGN's Price-to-Median-PS-Value is ranked lower than
78% of the 692 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 1.08 vs. AGN: 1.59 )
Ranked among companies with meaningful Price-to-Median-PS-Value only.
AGN' s Price-to-Median-PS-Value Range Over the Past 10 Years
Min: 0.59  Med: 1.79 Max: 5.21
Current: 1.59
0.59
5.21
Earnings Yield (Greenblatt) % -11.55
AGN's Earnings Yield (Greenblatt) % is ranked lower than
86% of the 888 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.96 vs. AGN: -11.55 )
Ranked among companies with meaningful Earnings Yield (Greenblatt) % only.
AGN' s Earnings Yield (Greenblatt) % Range Over the Past 10 Years
Min: -12.2  Med: 3 Max: 12.3
Current: -11.55
-12.2
12.3
Forward Rate of Return (Yacktman) % 13.54
AGN's Forward Rate of Return (Yacktman) % is ranked higher than
50% of the 414 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 9.53 vs. AGN: 13.54 )
Ranked among companies with meaningful Forward Rate of Return (Yacktman) % only.
AGN' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 4.1  Med: 13.3 Max: 22.6
Current: 13.54
4.1
22.6

More Statistics

Revenue (TTM) (Mil) $15,940.70
EPS (TTM) $ -13.21
Beta1.34
Volatility31.06%
52-Week Range $142.81 - 256.80
Shares Outstanding (Mil)345.73

Analyst Estimate

Dec18 Dec19 Dec20
Revenue (Mil $) 12,612 15,762 16,806
EBIT (Mil $) 3,608 7,374 7,821
EBITDA (Mil $) 7,228 7,722 8,429
EPS ($) 15.72 16.52 18.65
EPS without NRI ($) 15.72 16.52 18.65
EPS Growth Rate
(Future 3Y To 5Y Estimate)
8.48%
Dividends per Share ($) 1.92 1.59 1.74

Piotroski F-Score Details

Piotroski F-Score: 66
Positive ROAN
Positive CFROAY
Higher ROA yoyN
CFROA > ROAY
Lower Leverage yoyY
Higher Current Ratio yoyN
Less Shares Outstanding yoyY
Higher Gross Margin yoyY
Higher Asset Turnover yoyY

Personalized Checklist

Checklist has been moved to "Checklist" tab.

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}