Everest Medicines Ltd. (1952) AI Stock Analysis

• Market Cap: HK$25.02B
• Dividend Yield: N/A
• Average Volume (3M): 7.84M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.96
• Revenue Growth: 461.36%
• EPS Growth: -16.43%
• Country: HK
• Employees: 665
• Sector: Healthcare
• Sector Strength: 38
• Industry: Biotechnology
• EPS (TTM): -1.39
• Shares Outstanding: 350,920,040
• 10 Day Avg. Volume: 11,603,938
• 30 Day Avg. Volume: 7,835,008
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: HK$62.64
• Price Target Upside: -12.15% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 48 Neutral
• Price Target: HK$61.00 ▼(-14.45% Downside)

The overall stock score is primarily impacted by financial performance, which shows strong revenue growth but significant profitability and cash flow challenges. Technical analysis presents mixed signals, with some positive momentum offset by neutral indicators. Valuation concerns, due to a negative P/E ratio and no dividend, further weigh down the score.

Everest Medicines Ltd. Business Overview & Revenue Model

Company Description

Everest Medicines Limited, a biopharmaceutical company, engages in discovery, licensing, clinical development, and commercialization of therapies to address critical unmet medical needs in Greater China and other Asia Pacific markets. Its pipeline products include eleven clinical-stage drug candidates for the treatment of oncology, immunology, cardio-renal, and infectious diseases. Everest Medicines Limited was incorporated in 2017 and is headquartered in Shanghai, China.

How the Company Makes Money

Everest Medicines Ltd. generates revenue primarily through the commercialization of pharmaceutical products in its target markets. The company earns money by licensing drugs from global partners and then managing the clinical development, regulatory approval, and marketing of these drugs in Asia. Its revenue streams include sales of approved drugs, milestone payments, and royalties from partnerships with international pharmaceutical companies. Additionally, the company may engage in strategic collaborations and joint ventures to expand its product portfolio and market reach, contributing to its earnings.

Everest Medicines Ltd. Financial Statement Overview

Summary

Everest Medicines Ltd. shows impressive revenue growth but struggles with profitability and cash flow, typical in biotechnology. A strong equity position contrasts with operational hurdles impacting financial health.

Income Statement

Everest Medicines Ltd. has shown substantial revenue growth from 2020 to 2024, with revenue increasing from zero to 706.68 million. However, the company is struggling with profitability, as evidenced by persistent negative EBIT and net income margins, indicating ongoing operational challenges. The gross profit margin is relatively high, suggesting good product profitability, but overall high expenses are impacting net profitability.

Balance Sheet

The company's debt-to-equity ratio is low, reflecting limited financial leverage, which is positive for stability. However, this is countered by negative net income, leading to a negative return on equity, impacting overall shareholder returns. The equity ratio is strong, indicating a solid asset base funded by equity, which provides some financial resilience.

Cash Flow

Everest Medicines Ltd. is facing challenges with negative operating cash flow and free cash flow, highlighting cash generation issues. However, there is an improvement in free cash flow from 2023 to 2024. The company has relied on significant financing activities in prior years, affecting cash positions positively, but ongoing negative cash flows remain a concern.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	706.68M	125.93M	12.79M	54.00K	0.00
Gross Profit	528.89M	91.52M	8.15M	31.00K	0.00
EBITDA	-670.04M	-744.63M	-198.91M	-972.78M	-683.03M
Net Income	-1.04B	-844.46M	-247.28M	-1.01B	-5.68B
Balance Sheet
Total Assets	4.96B	5.77B	6.61B	6.65B	7.48B
Cash, Cash Equivalents and Short-Term Investments	1.60B	2.35B	1.65B	2.64B	4.48B
Total Debt	575.61M	510.63M	503.71M	485.03M	447.33M
Total Liabilities	886.05M	804.10M	960.25M	753.83M	636.11M
Stockholders Equity	4.07B	4.97B	5.65B	5.89B	6.84B
Cash Flow
Free Cash Flow	-744.92M	-1.04B	-1.59B	-1.71B	-991.83M
Operating Cash Flow	-679.51M	-769.19M	-1.16B	-729.94M	-471.90M
Investing Cash Flow	974.40M	752.50M	-1.03B	-975.82M	-519.93M
Financing Cash Flow	37.80M	10.10M	-25.31M	-76.51M	5.64B

Everest Medicines Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 71.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1952, the sentiment is Positive. The current price of 71.3 is above the 20-day moving average (MA) of 70.65, above the 50-day MA of 61.65, and above the 200-day MA of 48.64, indicating a bullish trend. The MACD of 2.01 indicates Positive momentum. The RSI at 56.52 is Neutral, neither overbought nor oversold. The STOCH value of 75.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1952.

Everest Medicines Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6826	76 Outperform	HK$12.59B	15.07	7.25%	3.75%	-1.81%	-3.79%
Sector *	63 Neutral	€5.96B	17.56	-2.83%	2.08%	0.47%	-41.02%
9969	61 Neutral	HK$26.07B	―	-6.35%	―	33.63%	31.50%
2157	57 Neutral	HK$16.91B	―	-51.40%	―	58.75%	-1310.16%
2162	55 Neutral	HK$19.13B	―	-18.87%	―	16.35%	-49.63%
2171	53 Neutral	HK$11.53B	―	-55.68%	―	―	-4.33%
1952	48 Neutral	HK$25.02B	―	-23.03%	―	461.36%	-16.43%

Everest Medicines Ltd. Corporate Events

Everest Medicines Expands U.S. Presence with Strategic Investment in I-Mab

Everest Medicines Limited has announced a strategic investment by subscribing to 15,846,154 American depositary shares of I-Mab, a U.S.-based biotech company specializing in precision immuno-oncology agents. This investment, valued at approximately US$30.9 million, allows Everest to hold a 16.1% stake in I-Mab, enhancing its presence in the U.S. market and complementing its existing investments in mRNA cancer vaccines. The acquisition is expected to leverage I-Mab’s clinical capabilities in the U.S. and synergize with Everest’s strong presence in Asia, potentially strengthening its industry positioning and offering new opportunities for stakeholders.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.

Everest Medicines Completes Share Placement and Raises HK$1.55 Billion

Everest Medicines Ltd. announced the completion of a placing and subscription agreement, resulting in the successful placement of 22,561,000 shares and raising approximately HK$1,553.39 million. The proceeds will be used for research and development, commercialization efforts, and general business operations, with a focus on advancing pipeline products and launching new medicines.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.

Everest Medicines Announces Strategic Share Placement and Subscription

Everest Medicines Ltd. has announced a strategic financial maneuver involving the placement of existing shares and a top-up subscription of new shares under a general mandate. The transaction is expected to raise approximately HK$1,553.39 million in net proceeds, which the company plans to utilize for strategic purposes. This move could potentially strengthen Everest Medicines’ financial position and support its ongoing efforts to expand its market presence in the biopharmaceutical industry. However, the completion of these transactions is contingent upon certain conditions being met, and stakeholders are advised to exercise caution.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.

Everest Medicines Ltd. AGM Approves Key Resolutions and Executive Awards

Everest Medicines Ltd. successfully held its Annual General Meeting on June 27, 2025, where all proposed resolutions were approved by shareholders. Key resolutions included the re-election of executive directors, authorization for the board to fix directors’ remuneration, re-appointment of Ernst & Young as auditors, and granting of general mandates for share repurchase and issuance. The approval of performance target awards for key executives under the Pre-IPO ESOP was also confirmed, indicating strong shareholder support for the company’s strategic direction and leadership.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.

Everest Medicines Expands Shareholder Base with Strategic Share Disposal

Everest Medicines Ltd. announced that its controlling shareholder, CBC Group, plans to sell 25,000,000 shares, representing approximately 7.63% of the company’s issued share capital, to global long-only and healthcare specialist investors. This move aims to broaden the company’s shareholder base with high-quality investors to support its long-term growth. The company remains committed to its strategic focus areas, including increasing sales of its key products, advancing regulatory processes, and developing next-generation treatments, without any material changes to its business operations or financial position.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.

Everest Medicines Announces Virtual AGM with Key Resolutions

Everest Medicines Ltd. has announced that its Annual General Meeting (AGM) will be held virtually on June 27, 2025. Key agenda items include the adoption of the company’s financial statements for 2024, re-election of executive directors, re-appointment of Ernst & Young as auditors, and granting of mandates to repurchase shares and issue additional shares. These resolutions aim to strengthen the company’s governance and operational flexibility, potentially enhancing its market position and shareholder value.

The most recent analyst rating on (HK:1952) stock is a Hold with a HK$48.32 price target. To see the full list of analyst forecasts on Everest Medicines Ltd. stock, see the HK:1952 Stock Forecast page.