Is the business good?
How good a business is BIIB?
Biogen earns 6.2% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
6.2%
Return on invested capital · cost of capital 9.0% · 2.8 points below what the capital costs: growth destroys value
- Operating margin
- 16%
Operating margin · Drug Manufacturers - General median 24% · 12 months to Q1 2026
- Cash conversion
- 1.77×
Cash conversion · 1.65× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +1.2%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 34% |
| FY2021 | 26% |
| FY2022 | 35% |
| FY2023 | 13% |
| FY2024 | 20% |
| FY2025 | 16% |
Details›
- Gross margin12 months to Q1 2026
- 75%
- Operating margin12 months to Q1 2026
- 16%
- Net margin12 months to Q1 2026
- 14%
- Free cash flow margin
- 24%
- R&D as % of revenue
- 19%
- Revenue, trailing twelve months
- $9.94B
- Free cash flow, trailing twelve months
- $2.42B
- Net income, trailing twelve months
- $1.37B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.2%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Drug Manufacturers - General
Ranks #12 of 16 by Smart Score