Ascentage Pharma Group International (6855) AI Stock Analysis

• Market Cap: HK$30.84B
• Dividend Yield: N/A
• Average Volume (3M): 6.63M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: 330.23%
• EPS Growth: 59.68%
• Country: HK
• Employees: 567
• Sector: Healthcare
• Sector Strength: 37
• Industry: Biotechnology
• EPS (TTM): -2.06
• Shares Outstanding: 371,853,500
• 10 Day Avg. Volume: 5,515,854
• 30 Day Avg. Volume: 6,634,856
• 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$93.00
• Price Target Upside: 10.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 48 Neutral
• Price Target: HK$78.00 ▼(-6.98% Downside)

The stock's score is driven by strong technical momentum, despite financial challenges. Significant revenue growth is overshadowed by negative profitability and high leverage, impacting valuation negatively. Technical analysis suggests potential overbought conditions, adding risk.

Ascentage Pharma Group International Business Overview & Revenue Model

Company Description

Ascentage Pharma Group International, a clinical-stage biotechnology company, engages in developing therapies for cancers, chronic hepatitis B virus (HBV), and age-related diseases in the United States and Mainland China. Its primary product HQP1351, a BCR-ABL inhibitor targeting BCR-ABL mutants, including those with the T315I mutation, as well as for patients with tyrosine kinase inhibitor resistant chronic phase chronic myeloid leukemia. It also has APG-2575, an orally administered Bcl-2 selective inhibitor for hematologic malignancies and solid tumors, which is under Phase Ib/II clinical study; APG-115, an oral small molecule inhibitor of the MDM2-p53 protein-protein interaction for treating solid tumors and hematological malignancies; and APG-1387, a small molecule inhibitor of apoptosis proteins for advanced solid tumors and chronic HBV infection. In addition, it is involved in the development of APG-1252, a small molecule drug to restore apoptosis through selective inhibition of the Bcl-2 and Bcl-xL proteins for SCLC, lymphoma, and other solid tumors; APG-2449 for non-small-cell lung carcinoma; APG-5918, an orally available and selective EED inhibitor with a best-in-class potential that is under pre-clinical stage; APG-265, which is in the IND-enabling stage for hematological malignancies and solid tumors; and UBX1967/1325 targeting Bcl family indicated for DME that is under Phase II development. Ascentage Pharma Group International has collaboration relationships with major biotechnology and pharmaceutical companies, and academic institutions, which include Innovent Biologics, Inc.; National Cancer Institute; Pfizer Inc.; and Clover Biopharmaceuticals (Hong Kong) Co., Limited. The company was founded in 2009 and is headquartered in Suzhou, China.

How the Company Makes Money

Ascentage Pharma Group International generates revenue primarily through the development and commercialization of its proprietary drug candidates. The company's revenue model includes income from licensing agreements, collaborative partnerships, and potential sales of its drug products upon receiving regulatory approvals. Key revenue streams involve milestone payments and royalties from strategic alliances with other pharmaceutical companies. Additionally, Ascentage Pharma may engage in out-licensing of its drug candidates to regional or global partners, further contributing to its earnings. The company's financial performance is significantly influenced by its ability to advance its drug pipeline through clinical trials and secure successful commercialization and partnerships.

Ascentage Pharma Group International Financial Statement Overview

Summary

The company shows impressive revenue growth but struggles with profitability and cash flow. High leverage and negative margins pose risks to financial stability, necessitating improvements in profitability and cash flow for better financial health.

Income Statement

The company has demonstrated significant revenue growth, with total revenue increasing from HK$221.98M in 2023 to HK$980.65M in 2024, marking a growth rate of 342%. However, profitability remains a concern as indicated by negative EBIT and net profit margins. The EBIT margin improved from -401.69% in 2023 to -38.63% in 2024, but is still negative, reflecting ongoing challenges in achieving operational efficiency. Gross profit margin is relatively high at 97.03% in 2024, but net profit margin remains deeply negative at -41.33%, indicating persistent net losses.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 6.31 in 2024, highlighting significant leverage and potential financial risk. Stockholders' equity has decreased, raising concerns about financial stability. However, the equity ratio improved slightly to 10.09% in 2024. While total assets increased, the high level of liabilities remains a concern for long-term solvency. Return on equity is negative due to ongoing net losses, emphasizing the need for profitability improvements.

Cash Flow

Cash flow analysis reveals challenges in generating positive operating cash flow, with a substantial reduction from HK$-726.08M in 2023 to HK$0 in 2024. Free cash flow remains negative, reflecting continuous cash outflows that may constrain future growth opportunities. The lack of available data for cash flow ratios further complicates the evaluation of cash flow health. The company needs to address cash flow generation to ensure sustainable operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	980.65M	221.98M	209.71M	27.91M	12.45M
Gross Profit	951.57M	191.44M	187.71M	24.58M	10.48M
EBITDA	-299.63M	-743.61M	-835.99M	-915.99M	-641.77M
Net Income	-405.43M	-925.64M	-882.92M	-782.42M	-677.61M
Balance Sheet
Total Assets	2.62B	2.50B	2.83B	2.94B	1.73B
Cash, Cash Equivalents and Short-Term Investments	1.26B	1.10B	1.50B	1.75B	1.03B
Total Debt	1.67B	1.80B	1.79B	1.08B	529.70M
Total Liabilities	2.34B	2.43B	2.42B	1.71B	884.42M
Stockholders Equity	264.19M	60.42M	408.66M	1.23B	846.62M
Cash Flow
Free Cash Flow	-135.65M	-782.92M	-857.20M	-1.04B	-859.88M
Operating Cash Flow	-111.36M	-726.08M	-653.91M	-604.68M	-609.96M
Investing Cash Flow	-362.04M	21.92M	-384.61M	-466.52M	-107.37M
Financing Cash Flow	314.77M	368.75M	619.27M	1.78B	1.04B

Ascentage Pharma Group International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 83.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6855, the sentiment is Positive. The current price of 83.85 is above the 20-day moving average (MA) of 76.47, above the 50-day MA of 71.45, and above the 200-day MA of 49.16, indicating a bullish trend. The MACD of 2.17 indicates Negative momentum. The RSI at 62.91 is Neutral, neither overbought nor oversold. The STOCH value of 93.98 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6855.

Ascentage Pharma Group International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2696	70 Outperform	HK$40.46B	44.81	31.65%	―	4.23%	47.71%
Sector *	64 Neutral	CHF27.21B	16.49	9.31%	2.33%	30.32%	7.54%
9969	61 Neutral	HK$28.43B	―	-6.35%	―	33.63%	31.50%
1877	54 Neutral	HK$41.38B	―	-19.78%	―	25.96%	39.58%
6855	48 Neutral	HK$30.84B	―	-253.12%	―	330.23%	59.68%
1952	48 Neutral	HK$25.51B	―	-23.03%	―	461.36%	-16.43%
2096	―	HK$31.58B	40.34	10.27%	1.40%	―	―

Ascentage Pharma Group International Corporate Events

Ascentage Pharma Completes Share Placement and Subscription, Raising HK$1.49 Billion

Ascentage Pharma Group International has successfully completed the placement of 22 million existing shares and a top-up subscription of 22 million new shares, raising approximately HK$1,492.5 million. The proceeds will be used to enhance commercialization efforts, advance global clinical development, and strengthen infrastructure and working capital, thereby positioning the company for growth in its core therapeutic areas.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma Announces Share Placing and Subscription to Raise HK$1.5 Billion

Ascentage Pharma Group International announced a placing and top-up subscription agreement involving the sale and issuance of up to 22 million shares at HK$68.60 each, representing a discount to recent trading prices. The transaction is expected to raise approximately HK$1,492.5 million in net proceeds, which the company plans to use as detailed in their announcement. This move is part of Ascentage Pharma’s strategy to strengthen its capital base, potentially enhancing its market position and operational capabilities. However, the completion of the transaction is contingent upon certain conditions being met, and investors are advised to exercise caution.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma’s Lisaftoclax Gains Approval for CLL/SLL Treatment in China

Ascentage Pharma has announced that its novel Bcl-2 selective inhibitor, lisaftoclax, has received approval from China’s National Medical Products Administration for treating adult patients with chronic lymphocytic leukemia/small lymphocytic lymphoma (CLL/SLL) who have previously undergone systemic therapy, including BTK inhibitors. This approval marks a significant milestone as lisaftoclax becomes the first Bcl-2 inhibitor approved in China for CLL/SLL and the second globally. The drug has shown promising efficacy and safety in clinical trials, offering a new treatment option for CLL/SLL patients and highlighting Ascentage Pharma’s capabilities in drug development. The approval is based on a successful Phase II study, and the company is conducting further Phase III trials to explore additional applications of lisaftoclax in combination therapies and other hematologic conditions.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma Grants Further RSUs to Employees Under 2021 Scheme

Ascentage Pharma Group International announced the further grant of 824,124 Restricted Share Units (RSUs) under its 2021 RSU Scheme to 439 selected employees. This grant represents approximately 0.24% of the company’s total issued share capital and is part of the company’s strategy to incentivize and retain key personnel. The new shares will be issued to a trustee and will rank equally with existing shares. This move is seen as a positive step in aligning employee interests with those of shareholders, potentially enhancing the company’s operational performance and market position.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma Reports Promising Study Results at EHA 2025

Ascentage Pharma announced promising results from 13 studies at the 2025 European Hematology Association Congress, highlighting the potential of its novel drug olverembatinib and investigational EED inhibitor APG-5918. Olverembatinib, a third-generation tyrosine kinase inhibitor, showed significant clinical benefits in treating Philadelphia chromosome-positive acute lymphoblastic leukemia, with high remission rates and favorable tolerability. The studies also revealed the drug’s potential in combination therapies, offering more treatment options for patients. APG-5918 demonstrated potent antitumor activity in preclinical studies, supporting its further clinical development.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma Unveils Promising Clinical Data at ASCO 2025

Ascentage Pharma announced the presentation of new clinical data from two ongoing studies at the 2025 ASCO Annual Meeting. The studies involve lisaftoclax in blood cancers and alrizomadlin in solid tumors, both showing promising antitumor activity. The data supports further clinical development, potentially enhancing Ascentage Pharma’s position in the oncology market and offering new treatment options for patients.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.

Ascentage Pharma Successfully Passes All AGM Resolutions

Ascentage Pharma Group International announced the successful passage of all resolutions at its Annual General Meeting held on May 19, 2025. Key resolutions included the re-election of board members, authorization of director remuneration, reappointment of Ernst & Young as auditors, and granting mandates for share issuance and repurchase. These decisions reflect the company’s strategic direction and governance stability, which may positively impact investor confidence and support its ongoing growth and development initiatives.

The most recent analyst rating on (HK:6855) stock is a Buy with a HK$40.00 price target. To see the full list of analyst forecasts on Ascentage Pharma Group International stock, see the HK:6855 Stock Forecast page.