COSMO Pharmaceuticals N.V. (COPN) AI Stock Analysis

• Market Cap: CHF1.62B
• Dividend Yield: 1.99%
• Average Volume (3M): 19.52K
• Price to Earnings (P/E): 29.6
• Beta (1Y): 0.97
• Revenue Growth: -3.44%
• EPS Growth: -21.64%
• Country: CH
• Employees: 321
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - General
• EPS (TTM): -0.12
• Shares Outstanding: 17,543,522
• 10 Day Avg. Volume: 18,700
• 30 Day Avg. Volume: 19,520
• PEG Ratio: >-0.01
• Price to Book (P/B): 2.22
• Price to Sales (P/S): 4.15
• P/FCF Ratio: 7.07
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF130.00
• Price Target Upside: 34.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: CHF115.00 ▲(19.29% Upside)

COSMO Pharmaceuticals N.V. demonstrates strong financial performance with significant revenue and profit growth, supported by a robust balance sheet and excellent cash flow generation. However, the technical analysis indicates overbought conditions, and the valuation suggests the stock may be overvalued. These factors combined result in a moderate overall stock score.

Positive Factors

Balance Sheet Health

A low debt-to-equity ratio suggests financial stability and low risk, providing COSMO Pharmaceuticals with the flexibility to invest in growth opportunities without the burden of high debt.

Cash Generation Ability

Significant improvement in cash flow indicates strong cash generation capabilities, which supports reinvestment in R&D and strategic initiatives, enhancing long-term business sustainability.

Profit Margin Improvement

Improved profit margins reflect effective cost management and operational efficiency, positioning COSMO Pharmaceuticals for sustained profitability and competitive advantage in the pharmaceutical sector.

Negative Factors

Revenue Growth Decline

A decline in revenue growth can signal challenges in market expansion or product adoption, potentially impacting future earnings and market position if not addressed.

EPS Growth Decline

A significant drop in EPS growth suggests potential issues in profitability or increased costs, which could affect investor confidence and long-term financial health if trends continue.

Market Position Challenges

Despite financial strength, declining revenue growth may indicate competitive pressures or market saturation, challenging COSMO Pharmaceuticals' ability to maintain its market position.

COSMO Pharmaceuticals N.V. Business Overview & Revenue Model

Company Description

COSMO Pharmaceuticals N.V. is a biopharmaceutical company focused on developing and commercializing innovative products for the treatment of gastrointestinal diseases. The company operates primarily in the pharmaceutical sector, specializing in drug development, manufacturing, and marketing. Its core products include advanced formulations and delivery systems for established medications, particularly in the areas of inflammatory bowel disease and endoscopy. COSMO's expertise lies in utilizing proprietary technologies to enhance drug absorption and patient compliance.

How the Company Makes Money

COSMO Pharmaceuticals generates revenue primarily through the sale of its proprietary pharmaceutical products and licensing agreements. The company earns money by commercializing its drugs, which are often sold directly to healthcare providers or through partnerships with larger pharmaceutical companies. Key revenue streams include royalties from licensing agreements, product sales, and potentially milestone payments from collaborative partnerships. Additionally, COSMO has established strategic alliances with other pharmaceutical firms to co-develop and market its products, which further enhances its revenue potential. The company's focus on niche markets in gastrointestinal therapies also allows it to capture specialized segments of the healthcare market.

COSMO Pharmaceuticals N.V. Financial Statement Overview

Summary

COSMO Pharmaceuticals N.V. has shown remarkable financial improvements with strong revenue and profit growth. The company maintains a robust balance sheet with minimal debt, high equity, and strong cash flow generation. This financial strength positions the company well for future growth and investment opportunities.

Income Statement

The company demonstrated a significant improvement in financial performance. Gross profit margin improved to 92.56%, and net profit margin rose to 49.94% from negative figures in prior years. Revenue grew by 187.52% from 2023 to 2024, indicating strong operational execution. However, the EBIT and EBITDA margins show a positive trend, reflecting good cost management with EBIT margin at 55.80% and EBITDA margin at 62.11%.

Balance Sheet

The debt-to-equity ratio is low at 0.004, indicating very minimal leverage, which provides financial stability. Return on equity is strong at 26.74%, demonstrating efficient use of equity. The equity ratio is robust at 77.04%, suggesting a strong financial foundation. Overall, the balance sheet reflects a stable financial position with low risk.

Cash Flow

The company's cash flow from operations improved significantly, with a free cash flow growth rate of 755.99% from 2023 to 2024, indicating excellent cash generation capabilities. The operating cash flow to net income ratio is 1.22, and the free cash flow to net income ratio is 1.18, both suggesting strong cash flow in relation to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	182.27M	266.79M	92.78M	102.09M	65.07M	60.95M
Gross Profit	159.99M	246.92M	53.44M	83.33M	49.93M	50.51M
EBITDA	76.31M	165.71M	19.70M	46.74M	17.81M	7.84M
Net Income	55.24M	133.24M	-4.93M	17.23M	21.67M	-7.90M
Balance Sheet
Total Assets	610.33M	646.77M	553.98M	759.59M	805.56M	596.16M
Cash, Cash Equivalents and Short-Term Investments	126.63M	142.96M	50.27M	240.95M	222.21M	212.85M
Total Debt	2.70M	2.20M	1.84M	173.60M	169.92M	168.14M
Total Liabilities	143.35M	141.68M	124.94M	295.80M	292.88M	196.04M
Stockholders Equity	460.24M	498.33M	422.16M	456.93M	505.28M	400.13M
Cash Flow
Free Cash Flow	57.28M	156.76M	18.31M	25.92M	4.11M	4.90M
Operating Cash Flow	64.13M	162.41M	22.71M	33.23M	12.61M	12.98M
Investing Cash Flow	2.59M	-128.88M	42.30M	1.69M	24.86M	75.45M
Financing Cash Flow	-69.06M	-40.22M	-211.27M	-46.13M	-27.25M	-11.88M

COSMO Pharmaceuticals N.V. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 96.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:COPN, the sentiment is Positive. The current price of 96.4 is above the 20-day moving average (MA) of 76.69, above the 50-day MA of 70.61, and above the 200-day MA of 60.23, indicating a bullish trend. The MACD of 8.54 indicates Negative momentum. The RSI at 73.30 is Negative, neither overbought nor oversold. The STOCH value of 74.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:COPN.

COSMO Pharmaceuticals N.V. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ROG	73 Outperform	$254.23B	26.83	31.98%	3.06%	4.77%	-11.07%
BSLN	73 Outperform	CHF568.22M	7.80	―	―	58.51%	―
COPN	69 Neutral	CHF1.62B	29.61	11.46%	1.99%	-3.44%	-21.64%
MED	62 Neutral	CHF1.06B	-1,989.80	―	―	7.29%	-112.70%
KURN	61 Neutral	CHF1.12B	―	-7.82%	―	104.01%	33.25%
MEDX	56 Neutral	CHF397.36M	―	―	4.72%	-2.42%	-222.68%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

COSMO Pharmaceuticals N.V. Corporate Events

Cosmo Pharmaceuticals Unveils Breakthrough Results for Male Hair Loss Treatment

Cosmo Pharmaceuticals announced groundbreaking Phase III results for Clascoterone 5% solution, a potential first major therapeutic breakthrough for male hair loss in over 30 years. The studies showed significant hair count improvements, with one study achieving a 539% increase compared to placebo. The solution, which blocks DHT at the hair follicle receptor, demonstrated a favorable safety profile and could redefine androgenetic alopecia treatment. Cosmo is preparing for regulatory submissions in the USA and Europe, aiming to address a market with significant unmet demand.

Cosmo Pharmaceuticals Expands Global Reach with Winlevi® Approval in Brazil

Cosmo Pharmaceuticals N.V. has announced the approval of its acne treatment, Winlevi®, by the Brazilian Health Authority, marking its entry into one of Latin America’s largest dermatology markets. This approval expands Winlevi®’s availability to over 50% of the Latin American population and strengthens Cosmo’s global dermatology presence. The product, which offers a novel approach to acne treatment without systemic hormonal effects, is set to be launched in Brazil by Sun Pharmaceutical Industries Limited. This milestone supports Cosmo’s Vision 2030 growth strategy and enhances its partnership with Sun Pharma.

Cosmo Pharmaceuticals Advances in Sustainability with Enhanced ESG Rating and EcoVadis Recognition

Cosmo Pharmaceuticals N.V. has achieved significant milestones in its sustainability efforts, receiving an improved ESG rating from S&P Global and an EcoVadis bronze medal for its Italian production site. The company’s S&P Global Corporate Sustainability Assessment rating increased to the 67th percentile, highlighting its success in integrating sustainability into governance, environmental, and social impact areas. Additionally, Cosmo’s partnership with EcoVadis aims to enhance supply chain transparency and risk management, reflecting its commitment to responsible sourcing and continuous improvement in sustainability practices.

Cosmo Pharmaceuticals to Engage Investors at Key Conferences

Cosmo Pharmaceuticals N.V. announced its participation in upcoming healthcare investor conferences in London and Windsor, where key executives will engage with investors through presentations and one-on-one meetings. These events are part of Cosmo’s strategy to strengthen investor relations and showcase its leadership in AI-driven healthcare and specialty pharmaceuticals.

Cosmo Pharmaceuticals Secures CE Certification for ColonPRO EU, Expanding AI Colonoscopy Platform to Europe

Cosmo Pharmaceuticals N.V. has received CE certification for its ColonPRO EU, an advanced AI software platform for colonoscopy, marking a significant milestone in its expansion into the European market. This certification, following FDA approval in the U.S., underscores Cosmo’s leadership in AI-assisted endoscopy and its commitment to innovation in colorectal cancer prevention, enhancing the company’s market position and offering improved care standards for patients.

Cosmo Pharmaceuticals Secures EU Approval for Innovative Acne Treatment Winlevi®

Cosmo Pharmaceuticals has received European Commission approval for Winlevi®, a novel acne treatment, marking a significant milestone for the company. This approval allows Cosmo to expand its market presence in Europe, offering a new, effective topical anti-androgen therapy for acne, which is expected to contribute to the company’s growth and provide a much-needed solution for adolescents and adults suffering from acne vulgaris.

Cosmo Pharmaceuticals Expands Global Reach with Winlevi® Approval in South Korea

Cosmo Pharmaceuticals has achieved a significant milestone with the approval of its acne treatment, Winlevi®, in South Korea by the Ministry of Food and Drug Safety. This approval marks an important step in Cosmo’s global dermatology expansion, highlighting their commitment to innovative, patient-focused therapies. Winlevi® is notable for its unique mechanism as the first topical androgen receptor inhibitor in over four decades, offering a safe and effective treatment for acne vulgaris without systemic anti-androgen effects. The collaboration with Hyundai Pharm Co., Ltd. will facilitate the marketing and distribution of Winlevi® in South Korea, enhancing access to advanced acne treatment options for patients.