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Exelixis, Inc. (EXEL) Soars to 52-Week High, Time to Cash Out?
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Have you been paying attention to shares of Exelixis (EXEL - Free Report) ? Shares have been on the move with the stock up 2.3% over the past month. The stock hit a new 52-week high of $49.62 in the previous session. Exelixis has gained 30.2% since the start of the year compared to the -5.1% move for the Zacks Medical sector and the -4.2% return for the Zacks Medical - Biomedical and Genetics industry.
What's Driving the Outperformance?
The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 13, 2025, Exelixis reported EPS of $.62 versus consensus estimate of $.42.
For the current fiscal year, Exelixis is expected to post earnings of $2.61 per share on $2.34 billion in revenues. This represents a 30.5% change in EPS on a 7.94% change in revenues. For the next fiscal year, the company is expected to earn $3.03 per share on $2.65 billion in revenues. This represents a year-over-year change of 16.13% and 13.22%, respectively.
Valuation Metrics
While Exelixis has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Exelixis has a Value Score of B. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 16.6X current fiscal year EPS estimates, which is not in-line with the peer industry average of 19.4X. On a trailing cash flow basis, the stock currently trades at 22.5X versus its peer group's average of 14.6X. Additionally, the stock has a PEG ratio of 0.79. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Exelixis currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Exelixis passes the test. Thus, it seems as though Exelixis shares could have a bit more room to run in the near term.
How Does EXEL Stack Up to the Competition?
Shares of EXEL have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Fortrea Holdings Inc. (FTRE - Free Report) . FTRE has a Zacks Rank of #2 (Buy) and a Value Score of B, a Growth Score of B, and a Momentum Score of C.
Earnings were strong last quarter. Fortrea Holdings Inc. beat our consensus estimate by 128.57%, and for the current fiscal year, FTRE is expected to post earnings of $0.42 per share on revenue of $2.5 billion.
Shares of Fortrea Holdings Inc. have gained 25.6% over the past month, and currently trade at a forward P/E of 12.16X and a P/CF of 3.24X.
The Medical - Biomedical and Genetics industry is in the top 35% of all the industries we have in our universe, so it looks like there are some nice tailwinds for EXEL and FTRE, even beyond their own solid fundamental situation.
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Exelixis, Inc. (EXEL) Soars to 52-Week High, Time to Cash Out?
Have you been paying attention to shares of Exelixis (EXEL - Free Report) ? Shares have been on the move with the stock up 2.3% over the past month. The stock hit a new 52-week high of $49.62 in the previous session. Exelixis has gained 30.2% since the start of the year compared to the -5.1% move for the Zacks Medical sector and the -4.2% return for the Zacks Medical - Biomedical and Genetics industry.
What's Driving the Outperformance?
The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 13, 2025, Exelixis reported EPS of $.62 versus consensus estimate of $.42.
For the current fiscal year, Exelixis is expected to post earnings of $2.61 per share on $2.34 billion in revenues. This represents a 30.5% change in EPS on a 7.94% change in revenues. For the next fiscal year, the company is expected to earn $3.03 per share on $2.65 billion in revenues. This represents a year-over-year change of 16.13% and 13.22%, respectively.
Valuation Metrics
While Exelixis has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Exelixis has a Value Score of B. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 16.6X current fiscal year EPS estimates, which is not in-line with the peer industry average of 19.4X. On a trailing cash flow basis, the stock currently trades at 22.5X versus its peer group's average of 14.6X. Additionally, the stock has a PEG ratio of 0.79. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Exelixis currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Exelixis passes the test. Thus, it seems as though Exelixis shares could have a bit more room to run in the near term.
How Does EXEL Stack Up to the Competition?
Shares of EXEL have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Fortrea Holdings Inc. (FTRE - Free Report) . FTRE has a Zacks Rank of #2 (Buy) and a Value Score of B, a Growth Score of B, and a Momentum Score of C.
Earnings were strong last quarter. Fortrea Holdings Inc. beat our consensus estimate by 128.57%, and for the current fiscal year, FTRE is expected to post earnings of $0.42 per share on revenue of $2.5 billion.
Shares of Fortrea Holdings Inc. have gained 25.6% over the past month, and currently trade at a forward P/E of 12.16X and a P/CF of 3.24X.
The Medical - Biomedical and Genetics industry is in the top 35% of all the industries we have in our universe, so it looks like there are some nice tailwinds for EXEL and FTRE, even beyond their own solid fundamental situation.