The Discounted Cash Flow (DCF) valuation of Alkermes Plc (ALKS) is 46.20 USD. With the latest stock price at 29.38 USD, the upside of Alkermes Plc based on DCF is 57.2%.

Is Alkermes a buy or a sell?

Based on the latest price of 29.38 USD and our DCF valuation, Alkermes Plc (ALKS) is a buy. Buying Alkermes stocks now will result in a potential gain of 57.2%.

	Range	Selected
WACC / Discount Rate	5.8% - 8.2%	7.0%
Long-term Growth Rate	2.0% - 4.0%	3.0%
Fair Price	31.92 - 95.55	46.20
Upside	8.6% - 225.2%	57.2%

29.38 USD

Stock Price

46.20 USD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

Alkermes DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	1,558	1,363	1,404	1,442	1,479	1,592
% Growth	6%	-13%	3%	3%	3%	8%

Cost of goods sold	(245)	(214)	(221)	(227)	(233)	(250)
% of Revenue	16%	16%	16%	16%	16%	16%

Selling, G&A expenses	(645)	(564)	(581)	(597)	(613)	(659)
% of Revenue	41%	41%	41%	41%	41%	41%

Research & Development	(240)	(210)	(216)	(222)	(228)	(245)
% of Revenue	15%	15%	15%	15%	15%	15%

Net interest & other expenses	16	14	14	15	15	16
% of Revenue	1%	1%	1%	1%	1%	1%

Tax expense	(72)	(63)	(65)	(67)	(68)	(74)
Tax rate	16%	16%	16%	16%	16%	16%

Net profit	372	325	335	344	353	380
% Margin	24%	24%	24%	24%	24%	24%