# Halozyme Therapeutics (HALO.US)

Canonical: https://gigainvestors.com/s/HALO

Analysis as of: 2026-10-16T07:28:57.185Z. Financial observations: FY2001–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $121.51 per share; close as of 2026-10-15.

Estimated value: low $86.13 per share, central $122.29 per share, high $143.35 per share. Buy at or below the central value $122.29 per share. Valuation as of 2026-10-16T07:28:57.185Z; scenarios are not confidence intervals.

Expected annual return: 10.0% at the stated quote. About 10.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 1 revenue decline in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 1

- Years with a net loss: 2

- Operating margin variation: 1.19×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.26×

- FY2018: -0.46×

- FY2019: -0.34×

- FY2020: 0.54×

- FY2021: 0.62×

- FY2022: 0.41×

- FY2023: 0.41×

- FY2024: 0.54×

- FY2025: 0.57×

- LTM to Jun 2026: 0.56×

### moat: fail

- Years with nonpositive invested capital use equity plus debt and leases; positive earnings with no positive capital are shown above 100%.

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 35.0%

- ROIC, second-lowest year: -73.1%

- Typical minus recent gross margin: 0.6 pp

- Typical gross margin (annual median): 83.0%

- Recent gross margin (lower of latest and 3-year median): 82.4%

- Years with nonpositive capital: 1

- Capital spending / revenue: 0.8%

- ROIC including acquisitions, ten-year median: 23.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 19.7%

- FY2018: -264.1%

- FY2019: -73.1%

- FY2020: 79.9%

- FY2021: 82.9%

- FY2022: 24.0%

- FY2023: 32.9%

- FY2024: 51.3%

- FY2025: 37.1%

- LTM to Jun 2026: 44.7%

### economics: fail

- working capital as a share of revenue rose more than 10pp and ends positive

- Owner earnings / net income, 5-yr: 1.16×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $1.9B

- Net income, five-year total: $1.6B

- Return on incremental invested capital: 193.2%

- Working capital / revenue, annual change: 3.2 pp

- Working capital / revenue, change between three-year averages: 24.0 pp

- Working capital / revenue, final three-year average: 42.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.22×

- FY2023: 1.25×

- FY2024: 1.16×

- FY2025: 1.26×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: -35.7% vs 37.1%

- Per-share earnings: -0.25 to 2.56 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.2%

- Ordinary dilution, 5-year annual growth: -2.6%

- Market cap gain: $6.6B

- Cumulative retained earnings: $640M

- Diluted shares, 10-year annual growth: -0.2%

- Diluted shares, 5-year annual growth: -2.6%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: $2.81

- Per-share value, starting three-year median: -$0.25

- Per-share value, ending three-year median: $2.56

- Buybacks concentrated in cheaper years (correlation): 0.11

- Average buyback yield: 5.3%

- Buyback history: 7 years

- Debt-funded buybacks: Yes

- Acquisition spending: $1.7B

- Cumulative net income, 10 years: $1.6B

- ROIC, first three-year median: -35.7%

- ROIC, last three-year median: 37.1%

Chart: Earnings per share; fiscal year observations.

- FY2016: -$0.81

- FY2017: $0.45

- FY2018: -$0.56

- FY2019: -$0.50

- FY2020: $0.91

- FY2021: $2.74

- FY2022: $1.44

- FY2023: $2.10

- FY2024: $3.43

- FY2025: $2.56

### accounting: pass

- Sloan accruals: -13.3%

- Receivables to sales index (DSRI): 1.04×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 7.9%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.06×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 32.00×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -20.1%

- FY2017: -13.7%

- FY2018: -7.0%

- FY2019: 2.3%

- FY2020: 12.7%

- FY2021: 9.4%

- FY2022: -2.1%

- FY2023: -6.2%

- FY2024: -1.7%

- FY2025: -13.3%

## Holders

- [Richard Pzena](https://gigainvestors.com/PIM): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Robert Torray](https://gigainvestors.com/T): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Price needs cash profits to grow 6.4% a year for ten years · sales +19.1%

Story as of 2026-10-16T09:58:51.640Z; price observation 2026-10-15.

Price needs cash profits to grow 6.4% a year for ten years

- 2025-05-13: Top Biotech Halozyme Undercuts Its Breakout On Bad Medicare News ([finance.yahoo.com](https://finance.yahoo.com/m/7df79c49-fe62-3f8a-bfdf-4dd9d624b63f/top-biotech-halozyme.html))

- 2025-08-06: Halozyme Therapeutics Guidance Upgrade Driven by Robust Royalty Revenue, Morgan Stanley Says ([finance.yahoo.com](https://finance.yahoo.com/news/halozyme-therapeutics-guidance-upgrade-driven-150522660.html))

- 2026-01-29: HALO Rises Nearly 4% on Strong 2025 Preliminary Data and 2026 Guidance ([finance.yahoo.com](https://finance.yahoo.com/news/halo-rises-nearly-4-strong-165200422.html))

- 2026-02-18: Halozyme's Q4 Earnings Miss, Higher Royalties Drive Y/Y Revenues ([finance.yahoo.com](https://finance.yahoo.com/news/halozymes-q4-earnings-miss-higher-161700677.html))

- 2026-05-12: Halozyme outlines ENHANZE royalties exceeding $1B in 2026 while launching a new $1B buyback ([seekingalpha.com](https://seekingalpha.com/news/4590957-halozyme-outlines-enhanze-royalties-exceeding-1b-in-2026-while-launching-a-new-1b-buyback?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2026-08-09: Halozyme Therapeutics (HALO) Is Up 24.9% After Raising 2026 Revenue Outlook and Boosting Buybacks ([finance.yahoo.com](https://finance.yahoo.com/healthcare/articles/halozyme-therapeutics-halo-24-9-001945275.html))

### Sales · FY2025–2026

sales +19.1%; source https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm; observed 2026-02-17.

- FY2017: $317M 

- FY2018: $152M 

- FY2019: $196M 

- FY2020: $268M 

- FY2021: $443M 

- FY2022: $660M 

- FY2023: $829M 

- FY2024: $1.0B 

- FY2025: $1.4B 

- FY2026: $1.7B 

### Gross margin · FY2026

gross margin 82.4%; source https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm; observed 2026-02-17.

- FY2017: 90.2% 

- FY2018: 93.3% 

- FY2019: 76.8% 

- FY2020: 83.8% 

- FY2021: 81.6% 

- FY2022: 78.9% 

- FY2023: 76.8% 

- FY2024: 84.3% 

- FY2025: 83.6% 

- FY2026: 82.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in biotechnology; annual sales are USD 1.4 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm (filed 2026-02-17); FY2025: revenue 1396611000; grossProfit 1167837000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); HALO.US: Halozyme Therapeutics, Inc., a biopharmaceutical company, researches, develops, and commercializes of proprietary enzymes and devices in the United States, Switzerland, Belgium, Japan, and internationally. The company's products are based on the patented recombinant human hyaluronidase enzyme (rHuPH20) that enables delivery of injectable biologics, such as monoclonal antibodies and other therapeutic molecules, as well as small molecules and fluids. It offers Hylenex recombinant, a formulation of rHuPH20 that facilitates subcutaneous (SC) administration to enhance the dispersion and absorption of other injected drugs in SC urography and to enhance resorption of radiopaque agents; and XYOSTED, an injection for SC administration of testosterone replacement therapy. The company also provides Herceptin (trastuzumab) under the brand name Herceptin Hylecta; and Phesgo to treat breast cancer; Mabthera SC for chronic lymphocytic leukemia treatment; Tecentriq SC for IV infusion; Ocrevus SC for multiple sclerosis; HYQVIA to treat primary immunodeficiency disorders; DARZALEX to treat amyloidosis, and smoldering and multiple myeloma; epinephrine Injection to treat allergic reactions; nivolumab and relatlimab to treat metastatic or unresectable melanoma; teriparatide injections; ARGX-113; and ARGX-117 to treat severe autoimmune diseases in multifocal motor neuropathy. It has collaborations and licensing agreements with F. Hoffmann-La Roche, Ltd. and Hoffmann-La Roche, Inc.; Takeda Pharmaceuticals International AG and Baxalta US Inc.; Pfizer Inc.; Janssen Biotech, Inc.; AbbVie, Inc.; Eli Lilly and Company; Bristol Myers Squibb Company; argenx BVBA; ViiV Healthcare; Chugai Pharmaceutical Co., Ltd.; Acumen Pharmaceuticals, Inc.; Merus N.V.; and Skye Bioscience, Inc. The company was founded in 1998 and is headquartered in San Diego, California.

### Why customers stay

Margins ranged from 76.8% to 84.3% during 2023–25; it earns 35% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2023: grossProfit / revenue = 76.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2024: grossProfit / revenue = 84.3%.

- Source: https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm (filed 2026-02-17); FY2025: grossProfit / revenue = 83.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); 10-year return on capital observations [[2017,0.1972209574962809],[2018,-2.6406971698568054],[2019,-0.7307689150362566],[2020,0.7989088396490607],[2021,0.829269172389955],[2022,0.24029879055850556],[2023,0.32870152266695546],[2024,0.5130961596797554],[2025,0.37102037659883097],[2026,0.44667383922400755]]; median 0.3498609496328932. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 4 of 10 years; bought back USD 342.4 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2017: growth capex 0; upkeep 1350000; owner earnings 63782000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2020: growth capex 0; upkeep 2504000; owner earnings 129865000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2021: growth capex 0; upkeep 1457000; owner earnings 404250000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2022: growth capex 0; upkeep 4810000; owner earnings 246960000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2023: growth capex 0; upkeep 15294000; owner earnings 351156000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2024: growth capex 0; upkeep 10696000; owner earnings 514707000. Growth capex / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm (filed 2026-02-17); FY2025: growth capex 0; upkeep 6970000; owner earnings 397970000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Dividend observations: [[2016,0],[2017,0],[2018,0],[2019,14224000],[2020,63393000],[2021,12536000],[2022,0],[2023,13483000],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm (filed 2026-02-17); FY2025: cash repurchases 342372000 USD.

### Are managers owners

Insiders own 1.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); HALO.US SharesStats.PercentInsiders = 1.083 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 6.4% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Ten-year compound average after fade. Initial solved rate 0.07881507016297962. Price 121.51; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share -0.2543802879151408 → FY2025 3.211922133264463. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $8.63 per share

- 2016-11: $11.81 per share

- 2016-12: $9.88 per share

- 2017-01: $11.55 per share

- 2017-02: $12.82 per share

- 2017-03: $12.96 per share

- 2017-04: $13.94 per share

- 2017-05: $11.80 per share

- 2017-06: $12.82 per share

- 2017-07: $12.68 per share

- 2017-08: $13.01 per share

- 2017-09: $17.37 per share

- 2017-10: $17.73 per share

- 2017-11: $18.67 per share

- 2017-12: $20.26 per share

- 2018-01: $18.68 per share

- 2018-02: $19.66 per share

- 2018-03: $19.59 per share

- 2018-04: $18.93 per share

- 2018-05: $18.40 per share

- 2018-06: $16.87 per share

- 2018-07: $18.10 per share

- 2018-08: $18.41 per share

- 2018-09: $18.17 per share

- 2018-10: $15.53 per share

- 2018-11: $16.51 per share

- 2018-12: $14.63 per share

- 2019-01: $16.18 per share

- 2019-02: $17.25 per share

- 2019-03: $16.10 per share

- 2019-04: $16.13 per share

- 2019-05: $14.75 per share

- 2019-06: $17.18 per share

- 2019-07: $16.99 per share

- 2019-08: $16.52 per share

- 2019-09: $15.51 per share

- 2019-10: $15.32 per share

- 2019-11: $19.39 per share

- 2019-12: $17.73 per share

- 2020-01: $18.98 per share

- 2020-02: $19.57 per share

- 2020-03: $17.99 per share

- 2020-04: $22.66 per share

- 2020-05: $24.27 per share

- 2020-06: $26.81 per share

- 2020-07: $27.19 per share

- 2020-08: $29.00 per share

- 2020-09: $26.28 per share

- 2020-10: $28.00 per share

- 2020-11: $39.10 per share

- 2020-12: $42.71 per share

- 2021-01: $47.59 per share

- 2021-02: $45.25 per share

- 2021-03: $41.69 per share

- 2021-04: $49.95 per share

- 2021-05: $41.41 per share

- 2021-06: $45.41 per share

- 2021-07: $41.33 per share

- 2021-08: $41.99 per share

- 2021-09: $40.68 per share

- 2021-10: $38.07 per share

- 2021-11: $32.88 per share

- 2021-12: $40.21 per share

- 2022-01: $34.61 per share

- 2022-02: $35.47 per share

- 2022-03: $39.88 per share

- 2022-04: $39.90 per share

- 2022-05: $45.98 per share

- 2022-06: $44.00 per share

- 2022-07: $48.90 per share

- 2022-08: $40.73 per share

- 2022-09: $39.54 per share

- 2022-10: $47.81 per share

- 2022-11: $57.26 per share

- 2022-12: $56.90 per share

- 2023-01: $51.77 per share

- 2023-02: $47.99 per share

- 2023-03: $38.19 per share

- 2023-04: $32.13 per share

- 2023-05: $32.43 per share

- 2023-06: $36.07 per share

- 2023-07: $42.96 per share

- 2023-08: $42.56 per share

- 2023-09: $38.20 per share

- 2023-10: $33.87 per share

- 2023-11: $38.61 per share

- 2023-12: $36.96 per share

- 2024-01: $33.85 per share

- 2024-02: $39.81 per share

- 2024-03: $40.68 per share

- 2024-04: $38.10 per share

- 2024-05: $44.29 per share

- 2024-06: $52.36 per share

- 2024-07: $55.26 per share

- 2024-08: $63.85 per share

- 2024-09: $57.24 per share

- 2024-10: $50.57 per share

- 2024-11: $48.20 per share

- 2024-12: $47.81 per share

- 2025-01: $56.64 per share

- 2025-02: $59.15 per share

- 2025-03: $63.81 per share

- 2025-04: $61.42 per share

- 2025-05: $56.07 per share

- 2025-06: $52.02 per share

- 2025-07: $59.97 per share

- 2025-08: $73.15 per share

- 2025-09: $73.34 per share

- 2025-10: $65.19 per share

- 2025-11: $71.40 per share

- 2025-12: $67.30 per share

- 2026-01: $71.71 per share

- 2026-02: $69.53 per share

- 2026-03: $64.63 per share

- 2026-04: $63.66 per share

- 2026-05: $66.54 per share

- 2026-06: $78.27 per share

- 2026-07: $82.54 per share

- 2026-08: $106.49 per share

- 2026-09: $110.40 per share

- 2026-10: $121.51 per share

## Annual estimated value (USD per share)

- FY2021: low $13.26 per share, central $16.80 per share, high $18.87 per share

- FY2022: low $26.36 per share, central $36.60 per share, high $42.55 per share

- FY2023: low $37.95 per share, central $53.20 per share, high $62.08 per share

- FY2024: low $56.21 per share, central $78.39 per share, high $91.30 per share

- FY2025: low $65.82 per share, central $93.63 per share, high $109.82 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:34:39.930Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1159036/000115903626000024/halo-20251231.htm); period 2025-12-31, filed 2026-02-17.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.