tiprankstipranks
Trending News
More News >
HUTCHMED (China) Limited (HK:0013)
:0013

HUTCHMED (China) (0013) AI Stock Analysis

Compare
3 Followers

Top Page

HK

HUTCHMED (China)

(LSE:0013)

Rating:56Neutral
Price Target:
HK$24.50
▲(3.59%Upside)
The overall stock score reflects a positive yet cautious outlook. The company's improved profitability and solid balance sheet are favorable, but declining revenue and weak cash flow are concerning. Technical indicators show mixed signals, and the high P/E ratio suggests overvaluation, warranting a careful approach.

HUTCHMED (China) (0013) vs. iShares MSCI Hong Kong ETF (EWH)

HUTCHMED (China) Business Overview & Revenue Model

Company DescriptionHUTCHMED (China) Limited discovers, develops, and commercializes targeted therapeutics and immunotherapies for cancer and immunological diseases in HongKong and internationally. It operates in Oncology/Immunology and Other Ventures segments. The company develops Savolitinib, an inhibitor for non-small cell lung cancer (NSCLC), papillary and renal cell carcinoma, colorectal cancer (CRC), and gastric cancer (GC); and Fruquintinib, an inhibitor for CRC, breast cancer, GC, endometrial cancer (EMC), NSCLC, hepatocellular carcinoma, and gastrointestinal and solid tumors. It also develops Surufatinib, an inhibitor for neuroendocrine tumors (NET), pancreatic NET, non-pancreatic NET, biliary tract cancer, sarcoma, neuroendocrine neoplasm, esophageal cancer, small cell lung cancer, GC, thyroid cancer, EMC, NSCLC, and solid tumors; HMPL-523, a spleen tyrosine kinase inhibitor for hematological cancers and certain chronic immune diseases; and HMPL-689 for isoform PI3Kd (phosphoinositide 3'-kinase delta). In addition, it develops Tazemetostat, an inhibitor of EZH2 for the treatment of certain epithelioid sarcoma and follicular lymphoma patients; HMPL-306, an inhibitor for hematological malignancies, gliomas, and solid tumors; HMPL-760, an Bruton's tyrosine kinase inhibitor; HMPL-453, an inhibitor for intrahepatic cholangiocarcinoma; HMPL-295 for solid tumors; HMPL-653 for metastatic solid tumors and tenosynovial giant cell tumors; and Epitinib (HMPL-813) and Theliatinib (HMPL-309) inhibitors. It has collaboration agreements with AstraZeneca AB (publ), Lilly (Shanghai) Management Company Limited, BeiGene, Inmagene Biopharmaceuticals Co. Ltd., Innovent Biologics Co., Inc., Genor Biopharma Co. Ltd., Shanghai Junshi Biosciences Co. Ltd., and Epizyme, Inc. The company was formerly known as Hutchison China MediTech Limited and changed its name to HUTCHMED (China) Limited in May 2021. The company was incorporated in 2000 and is headquartered in Central, Hong Kong.
How the Company Makes MoneyHUTCHMED (China) Limited generates revenue through the commercialization of its pharmaceutical products, primarily targeting the Chinese market. The company makes money from the sales of both proprietary and partnered oncology and immunology drugs. Key revenue streams include product sales, collaborations, and licensing agreements with multinational pharmaceutical companies, which often involve upfront payments, milestones, and royalties. Significant partnerships with global pharmaceutical firms enhance HUTCHMED's earnings potential by expanding market reach and facilitating the co-development and co-commercialization of specific drug candidates. Additionally, income is derived from research and development service fees, as well as government grants and subsidies that support its innovative drug programs.

HUTCHMED (China) Financial Statement Overview

Summary
HUTCHMED's financial performance shows a positive turnaround in profitability with improved margins and a solid balance sheet. However, declining revenue and weak cash flow generation pose challenges. Strategic focus on revenue growth and cash flow efficiency is essential for sustained financial health.
Income Statement
65
Positive
HUTCHMED's financial performance shows an improving trend. The company achieved a positive net income in the latest period after several years of losses. The gross profit margin improved, indicating better cost management, though revenue declined significantly from the previous year, impacting the revenue growth rate negatively. EBITDA margin remains low, suggesting room for operational efficiency improvements.
Balance Sheet
72
Positive
The balance sheet is stable with a solid equity base, reflected in a strong equity ratio. The debt-to-equity ratio is low, indicating conservative leverage. The company's return on equity has improved due to recent profitability. Overall, the balance sheet reflects financial stability and strength.
Cash Flow
58
Neutral
Cash flow metrics indicate mixed results. Operating cash flow has significantly decreased, but the company managed to maintain a positive free cash flow in the most recent period. The free cash flow to net income ratio is weak, suggesting challenges in translating profits into cash. Focus on enhancing cash flow generation is necessary.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
610.81M630.20M838.00M426.41M356.13M227.98M
Gross Profit
97.18M281.32M453.55M115.31M97.89M39.46M
EBIT
-120.80M-40.61M18.38M-409.77M-336.46M-188.95M
EBITDA
-110.15M14.11M67.27M-401.11M-329.27M-182.89M
Net Income Common Stockholders
-41.97M37.73M100.78M-410.14M-227.66M-194.56M
Balance SheetCash, Cash Equivalents and Short-Term Investments
803.51M836.11M886.34M631.00M1.01B435.18M
Total Assets
1.26B1.27B1.28B1.03B1.37B724.12M
Total Debt
88.59M89.82M86.13M23.30M34.07M35.71M
Net Debt
-115.36M-64.14M-197.46M-289.98M-343.48M-199.92M
Total Liabilities
508.85M502.34M536.39M392.57M333.15M205.17M
Stockholders Equity
740.08M759.93M730.54M610.37M986.89M484.12M
Cash FlowFree Cash Flow
-65.34M-17.44M186.65M-305.26M-220.98M-81.65M
Operating Cash Flow
-46.98M497.00K219.26M-268.60M-204.22M-62.07M
Investing Cash Flow
19.39M-96.06M-291.14M296.59M-306.32M-125.44M
Financing Cash Flow
10.27M-30.67M48.66M-82.76M650.03M296.43M

HUTCHMED (China) Technical Analysis

Technical Analysis Sentiment
Negative
Last Price23.65
Price Trends
50DMA
22.97
Positive
100DMA
23.14
Positive
200DMA
25.16
Negative
Market Momentum
MACD
0.67
Positive
RSI
47.84
Neutral
STOCH
14.78
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0013, the sentiment is Negative. The current price of 23.65 is below the 20-day moving average (MA) of 24.07, above the 50-day MA of 22.97, and below the 200-day MA of 25.16, indicating a neutral trend. The MACD of 0.67 indicates Positive momentum. The RSI at 47.84 is Neutral, neither overbought nor oversold. The STOCH value of 14.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0013.

HUTCHMED (China) Peers Comparison

Overall Rating
UnderperformOutperform
Sector (53)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
56
Neutral
HK$20.61B70.015.02%-25.07%-64.03%
53
Neutral
$5.22B3.33-44.36%7.55%16.78%-0.12%
$3.71B9.1019.62%4.91%
$3.60B10.0810.17%0.48%
DE640
€3.56B8.03
3.16%
79
Outperform
HK$29.96B11.9715.61%3.08%10.59%31.83%
66
Neutral
HK$12.32B23.575.88%-42.02%-76.29%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0013
HUTCHMED (China)
23.65
-4.90
-17.16%
ULIHF
The United Laboratories International Holdings
1.85
0.73
65.18%
CHSYF
China Medical System Holdings
0.93
0.10
12.05%
DE:640
China Resources Pharmaceutical Group Ltd.
0.55
-0.11
-16.67%
HK:1558
YiChang HEC ChangJiang Pharmaceutical Co. Ltd. Class H
14.00
4.96
54.87%
HK:0512
Grand Pharmaceutical Group Limited
8.44
3.93
87.14%

HUTCHMED (China) Corporate Events

HUTCHMED (China) Limited Outlines Audit Committee Responsibilities
Jun 20, 2025

HUTCHMED (China) Limited has released the terms of reference for its Audit Committee, which is responsible for overseeing the company’s accounting and financial reporting processes and the audit of its financial statements. The committee is composed of independent non-executive directors, with at least one member designated as an ‘audit committee financial expert’ as per U.S. regulations, ensuring compliance with both U.S. and Hong Kong financial governance standards.

The most recent analyst rating on (HK:0013) stock is a Buy with a HK$35.61 price target. To see the full list of analyst forecasts on HUTCHMED (China) stock, see the HK:0013 Stock Forecast page.

HUTCHMED (China) Limited Strengthens Governance with New Nomination Committee Terms
Jun 20, 2025

HUTCHMED (China) Limited has outlined the terms of reference for its Nomination Committee, which is responsible for overseeing the appointment of board members. The committee will consist of a majority of independent non-executive directors and will meet at least once a year to ensure effective governance and diversity in leadership. This move is likely to enhance the company’s corporate governance structure and ensure a balanced representation on the board, potentially impacting its strategic direction and stakeholder confidence.

The most recent analyst rating on (HK:0013) stock is a Buy with a HK$35.61 price target. To see the full list of analyst forecasts on HUTCHMED (China) stock, see the HK:0013 Stock Forecast page.

HUTCHMED and Innovent’s New Drug Application for Renal Cancer Therapy Accepted in China
Jun 5, 2025

HUTCHMED and Innovent Biologics have announced the acceptance of their New Drug Application in China for a combination therapy of fruquintinib and sintilimab aimed at treating advanced renal cell carcinoma. This development marks a significant advancement in addressing the unmet medical needs for patients who have failed prior treatments, potentially strengthening HUTCHMED’s position in the oncology market and providing a new treatment option for stakeholders.

The most recent analyst rating on (HK:0013) stock is a Buy with a HK$35.61 price target. To see the full list of analyst forecasts on HUTCHMED (China) stock, see the HK:0013 Stock Forecast page.

HUTCHMED’s SACHI Phase III Study Shows Promising Results for Lung Cancer Treatment
Jun 2, 2025

HUTCHMED (China) Limited announced significant findings from the SACHI Phase III study, which were presented at the 2025 ASCO Annual Meeting. The study demonstrated that the combination of savolitinib and osimertinib offers a significant progression-free survival benefit over chemotherapy for patients with EGFR mutation-positive non-small cell lung cancer with MET amplification. The combination therapy showed a favorable safety profile and has led to the acceptance of a New Drug Application by the China National Medical Products Administration, potentially impacting the treatment landscape for this patient population.

The most recent analyst rating on (HK:0013) stock is a Buy with a HK$35.61 price target. To see the full list of analyst forecasts on HUTCHMED (China) stock, see the HK:0013 Stock Forecast page.

HUTCHMED to Present Promising Oncology Data at 2025 ASCO Meeting
May 23, 2025

HUTCHMED (China) Limited announced the presentation of new clinical data at the 2025 ASCO Annual Meeting, highlighting promising results from several studies involving their compounds savolitinib, ranosidenib, fruquintinib, and surufatinib. Key findings include the successful interim analysis of the SACHI Phase III study for savolitinib in combination with osimertinib, indicating improved progression-free survival in NSCLC patients, and the promising CNS activity observed in the SAVANNAH Phase II study. Additionally, the Phase I study of ranosidenib showed durable responses in solid tumor patients with IDH mutations, and the FRUSICA-1 study demonstrated meaningful efficacy of fruquintinib plus sintilimab in advanced endometrial cancer. These results underscore HUTCHMED’s potential impact on cancer treatment, reinforcing its position in the oncology market and offering significant implications for stakeholders.

The most recent analyst rating on (HK:0013) stock is a Buy with a HK$35.61 price target. To see the full list of analyst forecasts on HUTCHMED (China) stock, see the HK:0013 Stock Forecast page.

HUTCHMED to Showcase New Data at AACR 2025, Enhancing Oncology Portfolio
Apr 24, 2025

HUTCHMED announced that it will present new and updated data from several studies at the AACR Annual Meeting 2025, highlighting the progress of its compounds, including savolitinib, fruquintinib, and surufatinib. These presentations underscore HUTCHMED’s ongoing efforts to advance cancer treatment options and strengthen its position in the oncology field, potentially impacting its market presence and offering new hope for patients with various types of cancer.

HUTCHMED Completes Enrollment for Savolitinib Phase II Study in Gastric Cancer
Apr 22, 2025

HUTCHMED has completed patient enrollment for a Phase II registration study of savolitinib in gastric cancer patients with MET amplification in China. The study aims to evaluate the efficacy, safety, and tolerability of savolitinib, with interim results showing promising response rates. The drug has received Breakthrough Therapy Designation from China’s National Medical Products Administration, and if successful, HUTCHMED plans to seek marketing authorization in China by late 2025. This development could enhance HUTCHMED’s position in the oncology market, potentially offering a new treatment option for patients with MET-driven gastric cancer, which currently has a poor prognosis.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.