Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, biopharmaceutical company Auxilium Pharmaceuticals (Nasdaq: AUXL) has received a distressing two-star ranking.

With that in mind, let's take a closer look at Auxilium's business and see what CAPS investors are saying about the stock right now.

Auxilium facts

Headquarters (founded) Malvern, Pa. (1999)
Market Cap $1.3 billion
Industry Pharmaceuticals
Trailing-12-Month Revenue $279.6 million
Management CEO Adrian Adams (since 2007)
CFO James Fickenscher (since 2005)
Return on Equity (average, past 3 years) (48.9%)
Cash/Debt $163.1 million / $0
Competitors Abbott Labs
Par Pharmaceutical Cos.
Watson Pharmaceuticals

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 31% of the 180 members who have rated Auxilium believe the stock will underperform the S&P 500 going forward.

Just last week, one of those Fools, BlacknGold, succinctly summed up the bear case for our community:

This came up in a screen for stocks with the highest gains in the last 4 weeks. With a fair [book value per share] of $1.83 this company is greatly overvalued -- although that is expected in speculative pharma. It is almost breaking even, but only has $89 million in shareholders' equity as of 1Q12. Should be an easy red-thumb target.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Abbott. Try any of our Foolish newsletter services free for 30 days.

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