MeritValue

ARGENX SE

ARGXdata completeness 75%11 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

ARGENX SE earns about -6% on invested capital, but has diluted owners by 20% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$497.3M1$10M1$35.5M1——
Net income−$408.3M2−$709.6M3−$295.1M4$833M4$1.29B4
Operating cash flow−$606.8M5−$862.8M6−$420.3M7−$82.7M7$685.2M7
Capital expenditure$3.62M8$837,0009$812,00010$1.8M10$6.17M10
Free cash flow (derived)−$610.4M5−$863.6M6−$421.1M7−$84.5M7$679M7
Total debt——$7.2M11——
Cash & equivalents$1.33B12$800.7M13$2.05B13$1.5B13$3.49B13
Diluted shares51.7M55.4M59.2M60.8M61.9M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$1,183.37
your share of equity
Profit it earned you last year
$208.79
Free cash flow it threw off
$109.73
Debt you’d be carrying
—

10 shares is a claim on $1,183.37 of net worth that earned you $208.79 and generated $109.73 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
-6% avg · 5y
FY21 -26%FY22 -29%FY23 -12%FY24 2%FY25 33%

It earned an average -6% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+20% shares · 5y

Share count is up 20% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has held roughly steady.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
$228.27
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0001558370-24-003665 (RevenueFromContractsWithCustomers)
  2. 20-F · period ending 2021-12-31 · accession 0001558370-24-003665 (ProfitLossAttributableToOwnersOfParent)
  3. 20-F · period ending 2022-12-31 · accession 0001697862-25-000024 (ProfitLossAttributableToOwnersOfParent)
  4. 20-F · period ending 2023-12-31 · accession 0001697862-26-000032 (ProfitLossAttributableToOwnersOfParent)
  5. 20-F · period ending 2021-12-31 · accession 0001558370-24-003665 (CashFlowsFromUsedInOperatingActivities)
  6. 20-F · period ending 2022-12-31 · accession 0001697862-25-000024 (CashFlowsFromUsedInOperatingActivities)
  7. 20-F · period ending 2023-12-31 · accession 0001697862-26-000032 (CashFlowsFromUsedInOperatingActivities)
  8. 20-F · period ending 2021-12-31 · accession 0001558370-24-003665 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  9. 20-F · period ending 2022-12-31 · accession 0001697862-25-000024 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  10. 20-F · period ending 2023-12-31 · accession 0001697862-26-000032 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  11. 20-F · period ending 2023-12-31 · accession 0001558370-24-003665 (Borrowings)
  12. 20-F · period ending 2021-12-31 · accession 0001697862-25-000024 (CashAndCashEquivalents)
  13. 20-F · period ending 2022-12-31 · accession 0001697862-26-000032 (CashAndCashEquivalents)