Regeneron Pharmaceuticals (REGN) stock currently trades at 17.6 times earnings. That represents a notable discount to the 21.5 multiple of the median S&P 500 company. The shares have lost 4.1% over the past six months, trailing the 15.7% return of the broader index. Over twelve months, however, the stock returned 27% against the index’s 17.1%. A valuation this low suggests investors are either overlooking a sound drug maker or pricing in underlying problems. So how healthy is the business you would be buying?

Regeneron’s Sales And Margins Look Healthy Today

Based on recent figures, the underlying operations appear robust. Regeneron’s revenue grew 9.3% over the last twelve months, outpacing the 8.3% growth of the…