HUTCHMED (China) (0013) AI Stock Analysis

• Market Cap: HK$22.28B
• Dividend Yield: N/A
• Average Volume (3M): 9.99M
• Price to Earnings (P/E): 75.6
• Beta (1Y): 1.06
• Revenue Growth: -25.07%
• EPS Growth: -64.03%
• Country: HK
• Employees: 1,811
• Sector: Healthcare
• Sector Strength: 37
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.11
• Shares Outstanding: 872,111,450
• 10 Day Avg. Volume: 6,052,155
• 30 Day Avg. Volume: 9,991,839
• PEG Ratio: -0.10
• Price to Book (P/B): 4.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.53
• Enterprise Value/Market Cap: 0.23
• Enterprise Value/Revenue: 1.76
• Enterprise Value/Gross Profit: 53.79
• Enterprise Value/Ebitda: -33.15
• 1Y Price Target: HK$24.50
• Price Target Upside: -4.11% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: HK$26.00 ▲(1.76%Upside)

The overall stock score for HUTCHMED is driven by a positive turnaround in financial performance and stable technical indicators, but is dampened by high valuation concerns. Although financial stability is evident, there is a need for improved revenue growth and cash flow efficiency. The technical analysis suggests potential for recovery, but the lack of earnings call insights and corporate events limits deeper analysis.

HUTCHMED (China) Business Overview & Revenue Model

Company Description

HUTCHMED (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 Money

HUTCHMED makes money through a combination of product sales, collaborations, and licensing agreements. The company's revenue streams include the commercialization of its proprietary drugs, particularly in the oncology sector, where it markets and sells pharmaceuticals both independently and through strategic alliances with global pharmaceutical companies. Additionally, HUTCHMED generates income from research and development collaborations, receiving milestone payments and royalties from its partnerships. Significant partnerships with major pharmaceutical firms enhance its market reach and contribute to its revenue through joint ventures and co-development agreements.

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

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

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

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	610.81M	630.20M	838.00M	426.41M	356.13M	227.98M
Gross Profit	97.18M	281.32M	453.55M	115.31M	97.89M	39.46M
EBITDA	-110.15M	14.11M	67.27M	-401.11M	-329.27M	-182.89M
Net Income	-41.97M	37.73M	100.78M	-410.14M	-227.66M	-194.56M
Balance Sheet
Total Assets	1.26B	1.27B	1.28B	1.03B	1.37B	724.12M
Cash, Cash Equivalents and Short-Term Investments	803.51M	836.11M	886.34M	631.00M	1.01B	435.18M
Total Debt	88.59M	89.82M	86.13M	23.30M	34.07M	35.71M
Total Liabilities	508.85M	502.34M	536.39M	392.57M	333.15M	205.17M
Stockholders Equity	740.08M	759.93M	730.54M	610.37M	986.89M	484.12M
Cash Flow
Free Cash Flow	-65.34M	-17.44M	186.65M	-305.26M	-220.98M	-81.65M
Operating Cash Flow	-46.98M	497.00K	219.26M	-268.60M	-204.22M	-62.07M
Investing Cash Flow	19.39M	-96.06M	-291.14M	296.59M	-306.32M	-125.44M
Financing Cash Flow	10.27M	-30.67M	48.66M	-82.76M	650.03M	296.43M

HUTCHMED (China) Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0013, the sentiment is Positive. The current price of 25.55 is above the 20-day moving average (MA) of 24.87, above the 50-day MA of 23.58, and above the 200-day MA of 24.99, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 56.85 is Neutral, neither overbought nor oversold. The STOCH value of 78.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0013.

HUTCHMED (China) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0013	60 Neutral	HK$22.28B	75.64	5.02%	―	-25.07%	-64.03%
Sector *	52 Neutral	$7.52B	0.25	-63.76%	2.30%	16.15%	0.89%
ULIHF	―	$3.29B	9.10	19.62%	4.91%	―	―
CHSYF	―	$3.82B	10.08	10.17%	3.50%	―	―
640	―	€3.63B	8.25		6.85%	―	―
0512	78 Outperform	HK$32.90B	13.15	15.61%	2.80%	10.59%	31.83%
1558	67 Neutral	HK$13.25B	25.35	5.88%	―	-42.02%	-76.29%

HUTCHMED (China) Corporate Events

HUTCHMED (China) Limited Outlines Audit Committee Responsibilities

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

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

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

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

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

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

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.