FOLD

We rate AMICUS THERAPEUTICS, INC. (FOLD) as a Buy with a composite score of 66.4/100 at a current price of $14.35. The stock scores above average across the majority of our six quantitative factors and ranks #219 out of 7,333 stocks in our universe, reflecting a favorable risk-reward profile.

The rating is primarily driven by strength in momentum (79th percentile) and quality (74th percentile), which together account for the majority of the composite score. Offsetting weakness in investment (30th percentile) and value (66th percentile) tempers our overall conviction. We assign a Narrow Moat rating (49/100), High uncertainty, and Poor capital allocation.

Key items to watch: balance sheet deleveraging progress; sustainability of the current growth rate; the path to profitability. Any material change in these dynamics could warrant a reassessment of our rating. The moat trend is widening, which provides additional comfort in the durability of the competitive position.

AMICUS THERAPEUTICS, INC. holds a top-quartile position (#0 of 50) within the Manufacturing sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 66.4/100 places it at rank #219 in our full 7,333-stock universe. At $2.4B in market capitalization, AMICUS THERAPEUTICS, INC. is a mid-cap player in the Manufacturing space, which limits certain scale advantages but may allow for more agile strategic execution.

The near-term outlook is constructive, with revenue growing at 33% and momentum in the 79th percentile confirming positive market sentiment and institutional accumulation. The combination of strong top-line growth and favorable price dynamics suggests the company is executing well on its growth strategy. Investment factor at the 30th percentile indicates reinvestment patterns that investors should monitor for sustainability.

The margin cascade tells an important story: gross margins of 90% (+47.5pp vs sector) narrow to operating margins of 6% (+4.5pp vs sector) and net margins of -6.9%, yielding a gross-to-net conversion rate of -8%. The significant margin erosion from gross to net suggests elevated operating expenses, high interest costs, or other structural drags that warrant monitoring.

At a current price of $14.35, AMICUS THERAPEUTICS, INC. is trading near fair value based on current fundamentals. Our value factor score of 66/100 reflects a composite assessment across multiple valuation metrics including price-to-earnings, price-to-book, EV/EBITDA, and price-to-sales ratios relative to both sector peers and the broader market. Valuation metrics are mixed, with no strong signal of mispricing in either direction.

The stock currently trades at a P/E of 35.1x (a 58% premium to the sector median of 22.3x), EV/EBITDA of 127.0x (at a premium), P/B of 16.4x, P/S of 7.6x. The above-sector P/E multiple suggests the market is pricing in superior growth or quality, which our analysis partially supports given strong quality metrics.

We assign a High uncertainty rating to AMICUS THERAPEUTICS, INC.. Key risk factors include significant leverage (143% debt-to-equity), current negative profitability (net margin -6.9%), low beta of 0.66 — while defensive, this may indicate limited upside participation in bull markets. The wide range of potential outcomes widens our fair value estimate and increases the possibility of permanent capital impairment. Investors considering this name should size positions accordingly and demand a meaningful margin of safety before initiating.

Specific risk factors that inform our assessment include: significant leverage (143% debt-to-equity); current negative profitability (net margin -6.9%); low beta of 0.66 — while defensive, this may indicate limited upside participation in bull markets; the combination of leverage (143% D/E) and thin margins (-6.9% net) amplifies downside risk. Each of these factors independently widens the distribution of potential outcomes, and in combination they create a risk profile that demands careful position sizing. The stability factor at the 74th percentile and quality factor at the 74th percentile provide a quantitative summary of the overall risk landscape.

Key risk mitigants include: healthy gross margins of 90% provide a buffer against cost pressures; above-average stability (74th percentile) suggests predictable business dynamics. These factors partially offset the identified risks and provide downside protection in adverse scenarios. On balance, the risk-reward profile warrants caution and disciplined position management.

We rate AMICUS THERAPEUTICS, INC.'s capital allocation as Poor. Key concerns include low returns on equity (-13.0%), negative profitability, weak asset returns (ROA -3.7%). Exemplary capital allocators generate ROE above 20% and maintain conservative leverage — AMICUS THERAPEUTICS, INC. significantly underperforms these benchmarks, raising questions about management's ability to create shareholder value.

Investors should scrutinize management's reinvestment decisions and balance sheet trajectory before committing capital. Poor capital allocation often compounds over time: overlevered balance sheets limit strategic flexibility, while low returns on capital destroy shareholder value. We would need to see sustained improvement in profitability metrics and balance sheet discipline before considering an upgrade.

In summary, AMICUS THERAPEUTICS, INC. receives a Buy rating with a composite score of 66.4/100 (rank #219 of 7,333). Our quantitative framework assigns a Narrow Moat (49/100, trend: widening), High uncertainty, and Poor capital allocation. The average factor score across quality, value, momentum, stability, and investment is 65/100.

Our analysis supports a constructive view on AMICUS THERAPEUTICS, INC.. The combination of identifiable competitive advantages, high uncertainty, and poor capital allocation creates a risk-reward profile that favors accumulation at current levels. We recommend investors consider adding this name to portfolios aligned with the stock's risk profile.