ALNY is now overvalued and could go down -45%

Based on our analysis, Alnylam Pharmaceuticals has received an overvalued rating of 1 out of 5 stars from Cashu, primarily due to key financial metrics that significantly underperform compared to its sector. One notable metric is the Return on Equity (ROE) ratio, which stands at an alarming -414.62, while the sector average is much more favorable at -76.41. ROE measures a company's ability to generate profits from its shareholders' equity. A negative ROE indicates that Alnylam is not only failing to create value for its investors but is doing so at an extraordinarily high rate compared to its peers. Additionally, the company’s Return on Assets (ROA) ratio is reported at -6.56, compared to the sector average of -47.59. ROA evaluates how efficiently a company uses its assets to generate earnings. Although Alnylam's negative ROA suggests it is not utilizing its assets effectively, it performs better than the sector average in this regard, albeit still in negative territory. These financial indicators highlight Alnylam Pharmaceuticals' struggles in maintaining profitability and efficient asset use. Despite a relatively better net profit margin of -12.37 versus the sector's -137.57, the overall lack of positive performance in crucial areas raises concerns about its valuation. This is not a comprehensive overview of our valuation, and should not be viewed as financial advice. Always do your own research before considering an investment.