ARGX vs. CVS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ARGX and CVS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
CVS’s market capitalization of 85.30 billion USD is significantly greater than ARGX’s 33.18 billion USD, highlighting its more substantial market valuation.
CVS carries a higher beta at 0.56, indicating it’s more sensitive to market moves, while ARGX (beta: 0.04) exhibits greater stability.
ARGX trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, CVS is a standard domestic listing.
| Symbol | ARGX | CVS |
|---|---|---|
| Company Name | argenx SE | CVS Health Corporation |
| Country | NL | US |
| Sector | Healthcare | Healthcare |
| Industry | Biotechnology | Medical - Healthcare Plans |
| CEO | Timothy Van Hauwermeiren EMBA, | J. David Joyner CEBS |
| Price | 543.48 USD | 67.43 USD |
| Market Cap | 33.18 billion USD | 85.30 billion USD |
| Beta | 0.04 | 0.56 |
| Exchange | NASDAQ | NYSE |
| IPO Date | May 18, 2017 | November 20, 1996 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of ARGX and CVS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ARGX
16.83%
Biotechnology Industry
- Max
- 72.39%
- Q3
- -6.30%
- Median
- -32.82%
- Q1
- -68.26%
- Min
- -147.61%
In the upper quartile for the Biotechnology industry, ARGX’s Return on Equity of 16.83% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
CVS
6.98%
Medical - Healthcare Plans Industry
- Max
- 13.94%
- Q3
- 13.62%
- Median
- 11.42%
- Q1
- 7.74%
- Min
- 6.98%
CVS’s Return on Equity of 6.98% is in the lower quartile for the Medical - Healthcare Plans industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Return on Invested Capital
ARGX
-118.38%
Biotechnology Industry
- Max
- 48.74%
- Q3
- -10.68%
- Median
- -31.65%
- Q1
- -52.92%
- Min
- -113.69%
ARGX has a negative Return on Invested Capital of -118.38%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
CVS
4.03%
Medical - Healthcare Plans Industry
- Max
- 15.50%
- Q3
- 7.12%
- Median
- 5.48%
- Q1
- -3.47%
- Min
- -15.02%
CVS’s Return on Invested Capital of 4.03% is in line with the norm for the Medical - Healthcare Plans industry, reflecting a standard level of efficiency in generating profits from its capital base.
Net Profit Margin
ARGX
37.53%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -5.05%
- Median
- -103.44%
- Q1
- -1,032.77%
- Min
- -2,366.07%
A Net Profit Margin of 37.53% places ARGX in the upper quartile for the Biotechnology industry, signifying strong profitability and more effective cost management than most of its peers.
CVS
1.39%
Medical - Healthcare Plans Industry
- Max
- 3.23%
- Q3
- 2.62%
- Median
- 1.70%
- Q1
- 1.27%
- Min
- 1.22%
CVS’s Net Profit Margin of 1.39% is aligned with the median group of its peers in the Medical - Healthcare Plans industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
ARGX
-1.24%
Biotechnology Industry
- Max
- 87.75%
- Q3
- -3.28%
- Median
- -115.26%
- Q1
- -1,188.86%
- Min
- -2,943.30%
ARGX has a negative Operating Profit Margin of -1.24%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
CVS
2.54%
Medical - Healthcare Plans Industry
- Max
- 4.30%
- Q3
- 3.77%
- Median
- 2.61%
- Q1
- 1.60%
- Min
- -1.64%
CVS’s Operating Profit Margin of 2.54% is around the midpoint for the Medical - Healthcare Plans industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ARGX | CVS |
|---|---|---|
| Return on Equity (TTM) | 16.83% | 6.98% |
| Return on Assets (TTM) | 13.45% | 2.07% |
| Return on Invested Capital (TTM) | -118.38% | 4.03% |
| Net Profit Margin (TTM) | 37.53% | 1.39% |
| Operating Profit Margin (TTM) | -1.24% | 2.54% |
| Gross Profit Margin (TTM) | 46.33% | 14.05% |
Financial Strength
Current Ratio
ARGX
7.29
Biotechnology Industry
- Max
- 28.73
- Q3
- 13.97
- Median
- 6.31
- Q1
- 3.60
- Min
- 0.02
ARGX’s Current Ratio of 7.29 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.
CVS
0.82
Medical - Healthcare Plans Industry
- Max
- 1.91
- Q3
- 1.63
- Median
- 1.43
- Q1
- 0.85
- Min
- 0.78
CVS’s Current Ratio of 0.82 falls into the lower quartile for the Medical - Healthcare Plans industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ARGX
0.01
Biotechnology Industry
- Max
- 0.46
- Q3
- 0.22
- Median
- 0.06
- Q1
- 0.02
- Min
- 0.00
Falling into the lower quartile for the Biotechnology industry, ARGX’s Debt-to-Equity Ratio of 0.01 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
CVS
1.06
Medical - Healthcare Plans Industry
- Max
- 1.06
- Q3
- 0.86
- Median
- 0.75
- Q1
- 0.66
- Min
- 0.66
CVS’s leverage is in the upper quartile of the Medical - Healthcare Plans industry, with a Debt-to-Equity Ratio of 1.06. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio
ARGX
-20.85
Biotechnology Industry
- Max
- 108.32
- Q3
- -0.55
- Median
- -8.49
- Q1
- -74.83
- Min
- -168.36
ARGX has a negative Interest Coverage Ratio of -20.85. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
CVS
3.18
Medical - Healthcare Plans Industry
- Max
- 6.23
- Q3
- 6.23
- Median
- 5.19
- Q1
- 4.64
- Min
- 3.18
In the lower quartile for the Medical - Healthcare Plans industry, CVS’s Interest Coverage Ratio of 3.18 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | ARGX | CVS |
|---|---|---|
| Current Ratio (TTM) | 7.29 | 0.82 |
| Quick Ratio (TTM) | 6.68 | 0.63 |
| Debt-to-Equity Ratio (TTM) | 0.01 | 1.06 |
| Debt-to-Asset Ratio (TTM) | 0.01 | 0.32 |
| Net Debt-to-EBITDA Ratio (TTM) | -189.75 | 4.80 |
| Interest Coverage Ratio (TTM) | -20.85 | 3.18 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ARGX and CVS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ARGX
0.00%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ARGX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
CVS
3.94%
Medical - Healthcare Plans Industry
- Max
- 3.88%
- Q3
- 1.78%
- Median
- 0.73%
- Q1
- 0.00%
- Min
- 0.00%
CVS’s Dividend Yield of 3.94% is exceptionally high, placing it well above the typical range for the Medical - Healthcare Plans industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio
ARGX
0.00%
Biotechnology Industry
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ARGX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
CVS
63.88%
Medical - Healthcare Plans Industry
- Max
- 63.88%
- Q3
- 29.91%
- Median
- 12.57%
- Q1
- 0.00%
- Min
- 0.00%
CVS’s Dividend Payout Ratio of 63.88% is in the upper quartile for the Medical - Healthcare Plans industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | ARGX | CVS |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 3.94% |
| Dividend Payout Ratio (TTM) | 0.00% | 63.88% |
Valuation
Price-to-Earnings Ratio
ARGX
48.48
Biotechnology Industry
- Max
- 78.44
- Q3
- 48.98
- Median
- 20.50
- Q1
- 12.64
- Min
- 2.14
ARGX’s P/E Ratio of 48.48 is within the middle range for the Biotechnology industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
CVS
16.10
Medical - Healthcare Plans Industry
- Max
- 18.17
- Q3
- 17.32
- Median
- 15.48
- Q1
- 13.55
- Min
- 12.84
CVS’s P/E Ratio of 16.10 is within the middle range for the Medical - Healthcare Plans industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ARGX
1.27
Biotechnology Industry
- Max
- 2.29
- Q3
- 1.10
- Median
- 0.49
- Q1
- 0.16
- Min
- 0.02
A Forward PEG Ratio of 1.27 places ARGX in the upper quartile for the Biotechnology industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
CVS
1.39
Medical - Healthcare Plans Industry
- Max
- 1.41
- Q3
- 1.09
- Median
- 0.85
- Q1
- 0.79
- Min
- 0.60
A Forward PEG Ratio of 1.39 places CVS in the upper quartile for the Medical - Healthcare Plans industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
Price-to-Sales Ratio
ARGX
15.66
Biotechnology Industry
- Max
- 110.90
- Q3
- 59.76
- Median
- 11.33
- Q1
- 4.45
- Min
- 0.17
ARGX’s P/S Ratio of 15.66 aligns with the market consensus for the Biotechnology industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
CVS
0.23
Medical - Healthcare Plans Industry
- Max
- 0.94
- Q3
- 0.64
- Median
- 0.43
- Q1
- 0.27
- Min
- 0.16
In the lower quartile for the Medical - Healthcare Plans industry, CVS’s P/S Ratio of 0.23 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio
ARGX
7.35
Biotechnology Industry
- Max
- 15.78
- Q3
- 7.44
- Median
- 3.31
- Q1
- 1.58
- Min
- 0.31
The P/B Ratio is often not a primary valuation metric for the Biotechnology industry.
CVS
1.11
Medical - Healthcare Plans Industry
- Max
- 4.08
- Q3
- 3.83
- Median
- 2.63
- Q1
- 1.74
- Min
- 0.96
CVS’s P/B Ratio of 1.11 is in the lower quartile for the Medical - Healthcare Plans industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | ARGX | CVS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 48.48 | 16.10 |
| Forward PEG Ratio (TTM) | 1.27 | 1.39 |
| Price-to-Sales Ratio (P/S, TTM) | 15.66 | 0.23 |
| Price-to-Book Ratio (P/B, TTM) | 7.35 | 1.11 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -432.72 | 14.36 |
| EV-to-EBITDA (TTM) | 4329.99 | 10.56 |
| EV-to-Sales (TTM) | 15.00 | 0.41 |