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Everest Medicines Ltd. (HK:1952)
:1952
Hong Kong Market

Everest Medicines Ltd. (1952) AI Stock Analysis

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HK

Everest Medicines Ltd.

(1952)

Rating:49Neutral
Price Target:
HK$56.00
▼(-2.10%Downside)
The overall score reflects strong revenue growth and positive technical indicators, but is significantly weighed down by profitability challenges and a poor valuation due to ongoing losses. The absence of earnings call and corporate events data limits additional insights.

Everest Medicines Ltd. (1952) vs. iShares MSCI Hong Kong ETF (EWH)

Everest Medicines Ltd. Business Overview & Revenue Model

Company DescriptionEverest 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 MoneyEverest Medicines Ltd. generates revenue through a diverse range of activities primarily centered around the development, licensing, and commercialization of innovative pharmaceutical products. The company collaborates with global biotech and pharmaceutical companies to bring cutting-edge therapies to markets with high medical need. Revenue streams include licensing fees, milestone payments, and royalties from partnered products. Furthermore, the company seeks to establish a strong commercial presence in its target regions by building a robust portfolio of proprietary and in-licensed products, contributing significantly to its earnings. Key partnerships and strategic alliances play a crucial role in enhancing the company's capacity to deliver value through shared resources and expertise, thereby driving revenue growth.

Everest Medicines Ltd. Financial Statement Overview

Summary
Everest Medicines Ltd. exhibits strong revenue growth but faces profitability and cash flow challenges, typical for its industry. While the balance sheet is stable, ongoing operational hurdles hinder financial health.
Income Statement
45
Neutral
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
50
Neutral
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
40
Negative
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.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue706.68M125.93M12.79M54.00K0.00
Gross Profit528.89M91.52M8.15M31.00K0.00
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 Assets4.96B5.77B6.61B6.65B7.48B
Cash, Cash Equivalents and Short-Term Investments1.60B2.35B1.65B2.64B4.48B
Total Debt575.61M510.63M503.71M485.03M447.33M
Total Liabilities886.05M804.10M960.25M753.83M636.11M
Stockholders Equity4.07B4.97B5.65B5.89B6.84B
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 Flow974.40M752.50M-1.03B-975.82M-519.93M
Financing Cash Flow37.80M10.10M-25.31M-76.51M5.64B

Everest Medicines Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price57.20
Price Trends
50DMA
48.34
Positive
100DMA
48.86
Positive
200DMA
42.13
Positive
Market Momentum
MACD
2.09
Negative
RSI
63.58
Neutral
STOCH
87.98
Negative
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 57.2 is above the 20-day moving average (MA) of 51.46, above the 50-day MA of 48.34, and above the 200-day MA of 42.13, indicating a bullish trend. The MACD of 2.09 indicates Negative momentum. The RSI at 63.58 is Neutral, neither overbought nor oversold. The STOCH value of 87.98 is Negative, 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

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
HK$11.75B12.857.25%4.43%-1.81%-3.79%
57
Neutral
HK$19.90B-6.35%33.63%31.50%
54
Neutral
HK$12.99B-18.87%16.35%-49.63%
53
Neutral
HK$13.30B-55.68%-4.33%
51
Neutral
$7.41B0.36-61.88%2.33%16.99%1.69%
49
Neutral
HK$9.84B-51.40%58.75%-1310.16%
49
Neutral
HK$18.70B-23.03%461.36%-16.43%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1952
Everest Medicines Ltd.
57.20
38.58
207.20%
HK:9969
InnoCare Pharma Ltd.
13.30
8.22
161.81%
HK:2157
Lepu Biopharma Co. Ltd. Class H
5.75
2.31
67.15%
HK:2162
Keymed Biosciences, Inc.
46.25
14.05
43.63%
HK:2171
CARsgen Therapeutics Holdings Ltd.
23.10
18.60
413.33%
HK:6826
Shanghai Haohai Biological Technology Co., Ltd. Class H
24.70
-6.16
-19.96%

Everest Medicines Ltd. Corporate Events

Everest Medicines Ltd. AGM Approves Key Resolutions and Executive Awards
Jun 27, 2025

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
Jun 12, 2025

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
Jun 3, 2025

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.

Everest Medicines’ NEFECON® Gains Full Approval in China for IgAN Treatment
May 6, 2025

Everest Medicines Ltd. announced that its drug NEFECON® has received full approval from China’s National Medical Products Administration for treating primary immunoglobulin A nephropathy (IgAN) in adults at risk of disease progression. This approval marks NEFECON® as the first etiological treatment for IgAN to receive such approval in China, and it is already approved in the U.S. and Europe. The approval is based on successful results from the global Phase 3 NefIgArd clinical trial, which demonstrated significant benefits in kidney function and disease progression delay. NEFECON® is now commercially available in several regions, with further launches anticipated, potentially enhancing Everest Medicines’ market position and offering substantial benefits to IgAN patients.

Everest Medicines Updates Stock Short Name
Apr 25, 2025

Everest Medicines Limited, a company incorporated in the Cayman Islands, announced the removal of the ‘B’ marker from its stock short name. This change, effective from May 2, 2025, will see the company’s shares traded under the new stock short name ‘EVEREST MED’ in English and ‘雲頂新耀’ in Chinese, while retaining the stock code ‘1952’. This update reflects a strategic adjustment in the company’s market presence and may influence investor perception and trading activities.

Everest Medicines Gains Approval for Listing Rule Changes
Apr 21, 2025

Everest Medicines Limited announced that it has received approval from the Hong Kong Stock Exchange to dis-apply certain listing rules, resulting in the removal of the ‘B’ marker from its stock short name. This change reflects the company’s compliance with the market capitalization and revenue requirements, signifying its growth and stability in the biotechnology sector.

Everest Medicines Announces Leadership Change and Clarifies ESOP Details
Apr 15, 2025

Everest Medicines Ltd. has announced a change in its company secretary, with Ms. Leah Liu resigning and Mr. King Hang Yeung being appointed as the new joint company secretary effective April 15, 2025. This change is part of the company’s ongoing efforts to strengthen its corporate governance. Additionally, the company has clarified an error in the calculation of restricted share units (RSUs) under its Pre-IPO Employee Stock Ownership Plan (ESOP), which impacts the reported outstanding and available shares as of June 30, 2024. These adjustments are crucial for maintaining transparency and accuracy in the company’s financial reporting, which is vital for stakeholders’ trust.

Everest Medicines Announces New Share Option and Award Grants
Apr 1, 2025

Everest Medicines Ltd. announced the grant of 4,451,533 options under its Post-IPO Share Option Scheme and 1,150,397 awards under its Pre-IPO ESOP, with some awards subject to shareholder approval. This move aims to attract, retain, and incentivize key personnel, enhancing operational efficiency and aligning with the company’s remuneration policy. The grants, especially to directors and senior managers, are seen as market competitive and consistent with the company’s strategic goals, potentially impacting its operational dynamics and stakeholder interests positively.

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.Date of analysis: Jun 27, 2025