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Pharmaron Beijing Co., Ltd. Class H (HK:3759)
:3759

Pharmaron Beijing Co., Ltd. Class H (3759) AI Stock Analysis

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HK

Pharmaron Beijing Co., Ltd. Class H

(Frankfurt:3759)

Rating:67Neutral
Price Target:
Pharmaron Beijing Co., Ltd. has demonstrated strong financial performance with robust revenue and income growth. However, increased leverage and volatile cash flow growth are areas to monitor. The technical analysis indicates bearish trends with potential overbought conditions. Valuation metrics suggest the stock is fairly valued, providing a reasonable entry point for investors. These factors culminate in a moderate overall stock score.

Pharmaron Beijing Co., Ltd. Class H (3759) vs. iShares MSCI Hong Kong ETF (EWH)

Pharmaron Beijing Co., Ltd. Class H Business Overview & Revenue Model

Company DescriptionPharmaron Beijing Co., Ltd. Class H (3759) is a leading contract research organization (CRO) offering a comprehensive range of R&D and manufacturing services to the pharmaceutical and biotechnology sectors. Founded in Beijing, China, Pharmaron provides integrated services in discovery, development, and manufacturing, covering various stages of drug research and production. The company's core services include drug discovery, preclinical research, clinical development, and commercial manufacturing, serving clients across the globe.
How the Company Makes MoneyPharmaron makes its money primarily through service contracts with pharmaceutical and biotechnology companies. Its revenue streams are diversified across several key areas: drug discovery services, which include medicinal chemistry and biology; preclinical services that involve safety assessment and pharmacokinetics; clinical development services, focusing on clinical trial management and patient recruitment; and commercial manufacturing services, which involve the production of active pharmaceutical ingredients (APIs) and finished dosage forms. The company engages in strategic partnerships and collaborations with leading global pharmaceutical companies, which enhance its service offerings and expand its market reach. These partnerships, alongside its broad service portfolio, contribute significantly to its revenue generation.

Pharmaron Beijing Co., Ltd. Class H Financial Statement Overview

Summary
Pharmaron Beijing Co., Ltd. exhibits strong growth and profitability, particularly in revenue and net income. The balance sheet remains robust, though the increased leverage requires monitoring. Cash flow generation is solid, but some volatility in free cash flow growth warrants attention. Overall, the financial health is strong, with good prospects for future growth.
Income Statement
80
Positive
Pharmaron Beijing Co., Ltd. has shown consistent revenue growth, with a significant increase from 2019 to 2024. The gross profit margin is healthy, around 34% for the recent year. The net profit margin has improved over the years, indicating efficient cost management. EBIT and EBITDA margins are strong, reflecting good operational performance.
Balance Sheet
75
Positive
The company maintains a solid balance sheet with a stable equity ratio over 50%. The debt-to-equity ratio has increased, showing higher leverage, which could be a risk if not managed carefully. However, return on equity is strong, indicating good returns for shareholders.
Cash Flow
70
Positive
Operating cash flow remains robust, and the company has improved free cash flow generation in recent years. The operating cash flow to net income ratio suggests good cash conversion. However, free cash flow growth has been volatile, highlighting potential fluctuations in cash generation.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue12.70B12.28B11.54B10.27B7.44B5.13B
Gross Profit4.37B4.20B4.12B3.77B2.68B1.92B
EBITDA2.40B3.38B2.95B2.53B2.49B1.72B
Net Income1.87B1.79B1.60B1.37B1.66B1.17B
Balance Sheet
Total Assets24.33B23.93B26.48B20.49B18.39B11.91B
Cash, Cash Equivalents and Short-Term Investments2.68B2.81B6.72B2.24B5.10B3.85B
Total Debt5.53B5.54B9.36B6.12B5.29B1.05B
Total Liabilities9.69B9.70B13.24B9.65B8.09B2.98B
Stockholders Equity14.04B13.62B12.56B10.55B10.13B8.87B
Cash Flow
Free Cash Flow561.71M536.02M332.77M
Operating Cash Flow1.16B2.58B2.75B2.14B2.06B1.65B
Investing Cash Flow456.45M-2.25B
Financing Cash Flow3.92B3.66B

Pharmaron Beijing Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Positive
Last Price15.94
Price Trends
50DMA
14.60
Positive
100DMA
15.12
Positive
200DMA
14.44
Positive
Market Momentum
MACD
0.31
Positive
RSI
53.71
Neutral
STOCH
34.23
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3759, the sentiment is Positive. The current price of 15.94 is below the 20-day moving average (MA) of 16.02, above the 50-day MA of 14.60, and above the 200-day MA of 14.44, indicating a neutral trend. The MACD of 0.31 indicates Positive momentum. The RSI at 53.71 is Neutral, neither overbought nor oversold. The STOCH value of 34.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3759.

Pharmaron Beijing Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$1.04T7.22
6.99%11.71%37.04%
76
Outperform
$88.89B19.3313.20%2.56%-9.60%-27.18%
74
Outperform
$102.33B28.378.17%7.52%-1.92%
74
Outperform
HK$32.85B11.8514.56%4.08%-5.37%6.28%
69
Neutral
$94.79B49.956.14%11.85%7.63%-24.23%
67
Neutral
€42.67B14.0714.15%1.51%9.24%23.72%
51
Neutral
$7.41B0.36-61.88%2.33%16.99%1.69%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3759
Pharmaron Beijing Co., Ltd. Class H
15.94
7.69
93.21%
HK:2318
Ping An Insurance Company of China
50.40
16.31
47.86%
HK:1177
Sino Biopharmaceutical
5.30
2.65
99.70%
HK:2269
Wuxi Biologics (Cayman)
25.15
13.97
124.96%
HK:1513
Livzon Pharmaceutical Group
29.35
6.14
26.43%
HK:1093
CSPC Pharmaceutical Group
7.73
1.72
28.66%

Pharmaron Beijing Co., Ltd. Class H Corporate Events

Pharmaron Announces Director Resignation
Apr 29, 2025

Pharmaron Beijing Co., Ltd. announced the resignation of Mr. Hu Baifeng from his role as a non-executive director and member of the strategy committee. This change is due to the reallocation of Mr. Hu’s primary work responsibilities, which may impact the company’s strategic direction and governance structure.

Pharmaron Beijing Co., Ltd. Releases 2025 First Quarterly Report
Apr 27, 2025

Pharmaron Beijing Co., Ltd. has released its first quarterly report for 2025, prepared in accordance with PRC Accounting Standards for Business Enterprises. The report, which remains unaudited, provides insights into the company’s financial performance for the quarter, potentially impacting its operations and market positioning.

Pharmaron Announces Director Resignation and Nomination
Apr 27, 2025

Pharmaron Beijing Co., Ltd. announced the resignation of Mr. Hu Baifeng from his position as a non-executive director and member of the strategy committee. Mr. Hu will continue his duties until a new director is elected at the 2024 AGM. The company has nominated Ms. Wan Xuan as a candidate for the non-executive director position, with her appointment subject to shareholder approval at the AGM. Ms. Wan, who has a background in investment management within the healthcare and biotechnology sectors, will also serve on the strategy committee if elected.

Pharmaron Beijing Co., Ltd. Schedules Board Meeting for Quarterly Results
Apr 11, 2025

Pharmaron Beijing Co., Ltd. has announced that its board of directors will meet on April 25, 2025, to consider and approve the company’s first quarterly results for the period ending March 31, 2025. This meeting is significant as it will provide insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and stakeholder interests.

Pharmaron Beijing Co., Ltd. Reports 2024 Financial Results with Increased Revenue and Profit
Mar 26, 2025

Pharmaron Beijing Co., Ltd. reported its annual financial results for the year ending December 31, 2024, showing a 6.4% increase in revenue to RMB12,275.8 million and a 12% rise in profit attributable to owners of the parent to RMB1,793.4 million compared to the previous year. Despite a decrease in net cash flows from operating activities by 6.4%, the company proposed a final dividend of RMB2.0 per 10 shares, reflecting its continued commitment to shareholder returns.

Pharmaron Beijing Announces Final Cash Dividend for 2024
Mar 26, 2025

Pharmaron Beijing Co., Ltd. has announced a final cash dividend of RMB 2 per 10 shares for the financial year ending December 31, 2024. The distribution is contingent upon approval at the upcoming AGM, with an expected payout by the end of August 2025, reflecting the company’s solid financial performance and commitment to shareholder returns.

Pharmaron Announces New Share Award Scheme and Capital Increase
Mar 26, 2025

Pharmaron Beijing Co., Ltd. has announced several strategic initiatives, including the adoption of a new 2025 H Share Award Scheme to enhance employee loyalty and the expansion of its existing H Share Award Scheme to attract and retain talent. Additionally, the company plans to increase its registered capital and amend its articles of association to reflect these changes, aligning with recent regulatory updates and enhancing its operational framework.

Pharmaron Beijing Co., Ltd. Enhances Governance with New Nomination Committee
Mar 26, 2025

Pharmaron Beijing Co., Ltd. has established a Nomination Committee to enhance its corporate governance structure. This committee is tasked with overseeing the selection and appointment of directors and senior management, ensuring a diverse and independent board composition, which is crucial for the company’s strategic direction and operational efficiency.

Pharmaron Beijing Co., Ltd. Schedules Board Meeting to Approve Annual Results
Mar 12, 2025

Pharmaron Beijing Co., Ltd. has announced a board meeting scheduled for March 26, 2025, to discuss and approve the annual results for the year ended December 31, 2024, and to consider the recommendation of a final dividend payment. This meeting is significant as it will provide insights into the company’s financial performance and potential returns for shareholders, impacting its market positioning and stakeholder interests.

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: Apr 30, 2025