MeritValue

HALOZYME THERAPEUTICS, INC.

HALOdata completeness 100%17 fiscal years on file
The thesis, from the filings

HALOZYME THERAPEUTICS, INC. earns about 11% on invested capital, barely covering its ~9% cost of capital, and has bought back 16% of its shares over 5 years. The estimate methods put fair value between $26.5 and $191.94 a share.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$443.3M1$660.1M2$829.3M3$1.02B3$1.4B3
Net income$402.7M4$202.1M5$281.6M6$444.1M6$316.9M6
Operating cash flow$299.4M7$240.1M8$388.6M9$479.1M9$651.6M9
Capital expenditure$1.46M10$4.81M11$15.3M12$10.7M12$6.97M12
Free cash flow (derived)$298M7$235.3M8$373.3M9$468.4M9$644.6M9
Total debt$1.66B13$3.01B14$3B15$3.01B16$4.29B16
Cash & equivalents$118.7M17$234.2M18$118.4M19$115.9M19$133.8M19
Diluted shares146.8M140.6M134.2M129.4M123.9M

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
$3.94
your share of equity
Profit it earned you last year
$25.58
Free cash flow it threw off
$52.02
Debt you’d be carrying
$345.85

10 shares is a claim on $3.94 of net worth that earned you $25.58 and generated $52.02 of cash last year, against $345.85 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
11% avg · 5y
FY21 15%FY22 7%FY23 10%FY24 14%FY25 8%

It earned about 11% on invested capital against a ~9% cost of capital — roughly what it costs to fund the business, so the numbers show no clear edge.

seeing a moat in the numbers →
Management signal · capital allocation
−16% shares · 5y

Share count is down 16% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has risen 158% over the same window.

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

The 3 estimate methods that apply put fair value between $26.5 and $191.94 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$191.94
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth20.0%
  • fcfBase$468.4M
DCF · Growth Exit 5Y
$89.74
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth20.0%
  • fcfBase$468.4M
Earnings Power Value
$26.5
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$316.9M
  • growthAssumed0.0%
Graham Number
$4.76
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years20.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $89.74
The three cases
Bear0.0%$20.5
Base20.0%$89.74
Bull20.0%$89.74

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 20.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001159036-24-000008 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001159036-25-000010 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001159036-26-000024 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001159036-24-000008 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001159036-25-000010 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001159036-26-000024 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001159036-24-000008 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001159036-25-000010 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001159036-26-000024 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001159036-24-000008 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001159036-25-000010 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001159036-26-000024 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001159036-22-000014 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0001159036-24-000008 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0001159036-25-000010 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001159036-26-000024 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001159036-23-000012 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001159036-24-000008 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001159036-26-000024 (CashAndCashEquivalentsAtCarryingValue)