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ACAD vs LEGN

ACAD
ACADIA Pharmaceuticals Inc.
NEUTRAL
Price
$20.61
Market Cap
$3.51B
Sector
Healthcare
AI Confidence
78%
LEGN
Legend Biotech Corporation
BEARISH
Price
$18.16
Market Cap
$3.36B
Sector
Healthcare
AI Confidence
85%

Valuation

P/E Ratio
ACAD
8.96
LEGN
--
Forward P/E
ACAD
22.78
LEGN
15.79
P/B Ratio
ACAD
2.86
LEGN
3.35
P/S Ratio
ACAD
3.28
LEGN
3.26
EV/EBITDA
ACAD
23.56
LEGN
-48.64

Profitability

Gross Margin
ACAD
61.01%
LEGN
20.03%
Operating Margin
ACAD
6.12%
LEGN
-6.72%
Profit Margin
ACAD
36.49%
LEGN
-28.85%
ROE
ACAD
39.89%
LEGN
-29.06%
ROA
ACAD
4.76%
LEGN
-5.01%

Growth

Revenue Growth
ACAD
9.4%
LEGN
64.2%
Earnings Growth
ACAD
86.2%
LEGN
--

Financial Health

Debt/Equity
ACAD
0.04
LEGN
0.41
Current Ratio
ACAD
3.83
LEGN
1.96
Quick Ratio
ACAD
3.49
LEGN
1.88

Dividends

Dividend Yield
ACAD
--
LEGN
--
Payout Ratio
ACAD
0.0%
LEGN
0.0%

AI Verdict

ACAD NEUTRAL

ACAD demonstrates strong financial health with a Piotroski F-Score of 7/9, indicating solid operational efficiency and profitability. The company trades below its Graham Number ($19.31) and intrinsic value estimate ($67.85), suggesting potential undervaluation on a defensive basis. However, recent earnings growth has reversed sharply, with year-over-year EPS declining by 83.7% and Q/Q growth at -66.7%, raising concerns about sustainability. Insider selling activity over the past six months, totaling $1.17M, adds bearish sentiment despite the strong F-Score. Analysts remain optimistic with a buy recommendation and a target price of $31.85, but the current price is still significantly below intrinsic value.

Strengths
Piotroski F-Score of 7/9 indicates strong financial health and operational efficiency
High gross margin (61.01%) and profit margin (36.49%) reflect strong pricing power and cost control
Extremely low debt/equity ratio (0.04) and high current/quick ratios (3.83/3.49) signal robust liquidity and minimal financial risk
Risks
Recent earnings growth has reversed sharply: YoY EPS down 83.7%, Q/Q EPS down 66.7%
Insider selling activity (4 transactions, $1.17M) over the last 6 months indicates potential lack of confidence
Forward P/E of 22.78 is high relative to current P/E of 8.96, suggesting market expects future growth that may not materialize
LEGN BEARISH

LEGN exhibits severe financial instability as evidenced by a critical Piotroski F-Score of 1/9, indicating poor operational health. While the company shows impressive top-line revenue growth of 64.20%, this is offset by consistent earnings misses (average surprise of -66.26% over the last 4 quarters) and a devastating technical trend (0/100). There is a stark disconnect between the bullish analyst target of $57.22 and the actual price performance, which has declined over 41% in the last year. The stock currently behaves as a high-risk speculative asset with failing fundamental health markers.

Strengths
Strong YoY revenue growth of 64.20%
Low Debt/Equity ratio of 0.41
Healthy liquidity with a Current Ratio of 1.96
Risks
Critical Piotroski F-Score (1/9) indicating fundamental weakness
Severe technical breakdown with 0/100 trend score
Consistent failure to meet earnings estimates (1/4 beats in last 4 quarters)

Compare Another Pair

ACAD vs LEGN: Head-to-Head Comparison

This page compares ACADIA Pharmaceuticals Inc. (ACAD) and Legend Biotech Corporation (LEGN) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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