One-glance verdict
Within fair range
$11.46 our estimate vs market $7.46
Wall Street consensus: $10.87 (-5.2% lower than our fair-value estimate)
35% below our estimate
Fundamentals snapshot
Grifols, S.A.
GRFS · NMS · Healthcare · Drug Manufacturers - General
Current price
$7.46
52-week range
$6.96 - $10.23
Market cap
$5.08B
Balance sheet
Stretched
2.17x Stretched
Net debt $10.18B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 4.3% last year.
- Reward Returns 6.9% on equity, ahead of 60% of its peers.
- Reward Free cash flow was positive in 2/10 years.
- Risk Insider ownership is only 0.0% (peer median: 0.1%).
What this company does
Grifols, S.A.
Grifols is a healthcare company that creates life-saving medicines from human blood plasma (the liquid part of blood). The company makes most of its money by selling these specialized treatments to hospitals and clinics worldwide to help patients with serious immune system disorders, infections, and other critical conditions. This matters because the need for these essential medicines is often constant, providing a steady stream of customers for the company.
How the company got here
Grifols started in 1909 as a small family-run laboratory for clinical testing in Barcelona, Spain. A key moment was in the 1940s when the family founded the first private blood bank in Spain, cementing its focus on blood and plasma. Over the decades, it grew by pioneering new techniques for handling blood and separating plasma, the liquid portion of blood. Starting in the late 1980s, the company began expanding outside of Spain, and major acquisitions (buying other companies) in the 2000s, like Talecris in the U.S., transformed it into a global leader in plasma-based medicines.
What it actually does
Grifols is a healthcare company that makes essential medicines from human plasma (the yellowish, liquid part of blood that contains proteins). The company runs a large network of donation centers where people can donate their plasma. Grifols then turns this plasma into therapies for people with rare, chronic, and sometimes life-threatening conditions like immune system disorders or genetic diseases. It also provides tools and tests to hospitals and blood banks to make sure blood transfusions are safe.
Biopharma
This is Grifols' largest and most important business, making up the vast majority of its sales. This division takes the plasma collected from donors and separates it into different proteins that are used to create medicines. These medicines help patients with a wide range of conditions, including weakened immune systems, bleeding disorders, and a genetic lung disease. Hospitals and clinics buy these life-saving treatments for their patients, many of whom need them for their entire lives.
Diagnostic
Think of this division as the safety and testing expert for blood. It makes and sells machines and testing kits to hospitals, blood banks, and laboratories. These tools are used to type blood and screen donations for infectious diseases, ensuring that blood transfusions are safe for patients. This segment is a smaller but critical part of the company, helping to ensure safety across the healthcare system.
Bio Supplies
This part of the company sells raw biological materials to other companies for their own use. Its main customers are other pharmaceutical, biotech, and research companies who need high-quality human plasma, serum, or specific blood cells for research, clinical trials, or to manufacture their own products. So instead of making the final medicine, this segment supplies the essential building blocks to others in the life-science industry.
Others
This is a smaller catch-all segment for various other business activities. It includes providing manufacturing services to other companies, essentially renting out its factory space and expertise. It also covers the sale of other healthcare products that complement Grifols' main offerings to hospitals. This part of the business is not a primary focus but allows the company to leverage its resources in different ways.
What management is betting on now
Management's current focus is on strengthening the company's financial health by reducing its debt. A major strategic bet is to build a more resilient supply chain (the network to source, make, and deliver products) by making each major region of the world self-sufficient in its plasma supply, reducing its historical dependence on the United States. They are also investing in technology and digital tools to make their plasma collection centers more efficient and improve the donor experience. The company continues to invest in innovation to develop new treatments, including therapies that are not derived from plasma.
Price history
How the share price has moved
—
Loading price history…
Is it cheap or expensive?
Fair value $11.46 vs current price $7.46
Wall Street consensus is the average analyst price target: $10.87 (-5.2% lower than our fair-value estimate).
Our most-likely fair value is $11.46 a share — about 53.5% away from today's price of $7.46, so the stock currently looks fairly priced.
Is it drowning in debt?
Stretched
Net debt $10.2B. Interest coverage 2.2x.
Net debt
$10.18B
Interest coverage
2.17x
Grifols, S.A.'s profit covers its interest bill about 2.2 times over. and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Stretched
Worse cushion
Baseline
Better cushion
GRFS
BASELINE
Grifols, S.A.
Total debt $10.80B Interest coverage 2.17x This is the baseline the peer rows are being compared against.
Total debt $10.90B Interest coverage 8.12x +274% vs GRFS Carries about 3.7x more debt cushion than GRFS.
Total debt $35.70B Interest coverage 3.14x +44% vs GRFS Carries about 1.4x more debt cushion than GRFS.
Total debt $9.67B Interest coverage 0.61x -72% vs GRFS Carries about 3.6x less debt cushion than GRFS.
Total debt $1.98B Interest coverage 342.44x +15,667% vs GRFS Carries about 157.7x more debt cushion than GRFS.
What you should know
The case for and against GRFS
3 Rewards
1 Risk
Rewards
-
Revenue grew 4.3% last year.
-
Returns 6.9% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 2/10 years.
Risks
-
Insider ownership is only 0.0% (peer median: 0.1%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
9.69x
Forward P/E
5.18x
P/B
1.58x
P/S
0.68x
EV/EBITDA
13.03x
PEG ratio
0.19x
Profitability
How much profit each dollar creates
Gross margin
37.8%
Operating margin
15.9%
Net margin
6.1%
ROE
6.9%
ROA
4.2%
Health
Liquidity and balance-sheet strength
Debt / equity
1.17x
Current ratio
2.37x
Quick ratio
0.70x
Total debt
$10.80B
Total cash
$619.88M
Growth
How the business has been compounding
Revenue TTM
$8.57B
Revenue 5Y CAGR
7.5%
EPS TTM
0.77
EPS 5Y CAGR
23.9%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.21B
Free CF TTM
$720.30M
FCF margin
8.4%
Dividend
Shareholder payout
Yield
3.8%
Payout ratio
36.8%
Last ex-div date
2026-07-02