Immunotech Biopharm Ltd (6978) AI Stock Analysis

• Market Cap: HK$1.60B
• Dividend Yield: N/A
• Average Volume (3M): 1.34M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.35
• Revenue Growth: N/A
• EPS Growth: 27.90%
• Country: HK
• Employees: 154
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.25
• Shares Outstanding: 617,500,800
• 10 Day Avg. Volume: 1,608,107
• 30 Day Avg. Volume: 1,338,788
• PEG Ratio: 0.13
• Price to Book (P/B): -83.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.23
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: HK$2.50 ▼(-6.72% Downside)

The score is weighed down primarily by weak financial fundamentals—no revenue, ongoing losses/negative free cash flow, and a high-risk balance sheet with negative equity and elevated debt. Technicals also point to a continued downtrend, while valuation support is limited due to negative earnings and no dividend data.

Positive Factors

Trend in loss reduction

The substantial reduction in net loss year-over-year signals improving cost control or scaled-back spend. Persistently narrowing losses can extend runway and reduce near-term financing urgency, which materially lowers execution risk and supports continued R&D progress over the next several quarters.

Improving cash burn

Reduced operating and free cash outflows indicate stronger spending discipline and a slower rate of capital depletion. That structural improvement can extend the company’s funding runway, make future financings less dilutive, and preserve capacity to reach clinical milestones over the medium term.

Sizable asset base

A meaningful asset base provides a tangible cushion and potential collateral for creditors or strategic partners. Over time this can improve access to bridge financing or structured funding and helps absorb shocks, supporting continuity of R&D programs versus peers with limited asset backing.

Negative Factors

Pre-revenue model

With no revenue history, the company’s business viability depends entirely on future product commercialization and trial success. This raises structural execution risk, limits internal funding capacity, and keeps the company reliant on external capital and binary clinical/regulatory outcomes for long-term sustainability.

Negative equity and rising leverage

Negative shareholders' equity combined with higher debt materially weakens the capital structure and reduces financial flexibility. This raises refinancing and covenant risks, increases the likelihood of dilution or expensive funding, and constrains the ability to invest in growth or weather program setbacks.

Persistent negative free cash flow

Ongoing negative free cash flow means the business must continually access external capital to fund operations. Structurally, this increases dilution risk, ties program timelines to fundraising cycles, and can force prioritization of short-term survival over longer-term R&D investments and strategic optionality.

Immunotech Biopharm Ltd Business Overview & Revenue Model

Company Description

Immunotech Biopharm Ltd, a cellular immunotherapy biopharmaceutical company, focuses on the research, development, and commercialization of T cell immunotherapy products for the treatment of cancers in the People's Republic of China. Its core product is EAL, a multi-target cellular immunotherapy product that is in Phase II clinical trials for the prevention of postsurgical recurrence of liver cancer. The company is also conducting pre-clinical and clinical trial studies for EAL to treat lung cancer, glioma, gastric cancer, and colorectal cancer. In addition, it develops 6B11-OCIK injection that is in Phase I clinical trial for ovarian cancer; CAR-T-19 injection product for B-cell acute lymphoblastic leukaemia; and TCR-T cell series products to treat solid tumors. The company was founded in 2006 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Immunotech Biopharm Ltd generates revenue through the development and commercialization of its proprietary cellular immunotherapy products. The company's primary revenue streams include the sale of its approved therapies and treatments to healthcare providers and hospitals. Additionally, Immunotech Biopharm Ltd may engage in partnerships or licensing agreements with other pharmaceutical companies, which can provide upfront payments, milestone payments, and royalties based on product sales. The company's earnings are also influenced by its investment in research and development, which can lead to the discovery of new treatments and expansion of its product portfolio.

Immunotech Biopharm Ltd Financial Statement Overview

Summary

Pre-revenue with persistent operating and net losses, and free cash flow remains negative. 2024 shows improved loss and cash-burn trends, but the balance sheet is a major weakness with equity turning negative alongside higher debt, raising financing and solvency risk.

Income Statement

The company remains pre-revenue (revenue is 0 across all reported years), so profitability is driven entirely by R&D/operating spend rather than commercialization. Losses are persistent, but improved in 2024 versus 2023 (net loss narrowed to -186.9M from -334.8M and operating loss also improved), indicating better cost control or lower spend. The key weakness is the lack of a visible revenue base and ongoing operating losses, which keeps overall earnings quality and scalability low.

Balance Sheet

Leverage and capital structure deteriorated sharply: total debt rose while equity moved from positive in 2023 to negative in 2024 (-13.3M), a major red flag for financial flexibility. With negative equity, debt metrics become structurally pressured and indicate a thin capital cushion against ongoing losses. While the company still reports sizable assets, the combination of high debt and negative equity meaningfully increases refinancing and dilution risk.

Cash Flow

Cash burn is ongoing, but there is improvement in 2024 versus 2023: operating cash outflow narrowed (-125.7M vs -163.6M) and free cash outflow also improved (-153.8M vs -186.2M). Free cash flow remains negative every year provided, so the business is still dependent on external funding. A partial positive is that cash burn has been reduced recently, suggesting better spending discipline, but sustainability remains weak without revenue generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00	0.00
EBITDA	-122.01M	-148.68M	-178.83M	-231.11M	-324.33M	-333.99M
Net Income	-223.50M	-186.91M	-334.82M	-318.11M	-354.22M	-439.05M
Balance Sheet
Total Assets	488.90M	564.04M	846.28M	879.44M	1.10B	1.21B
Cash, Cash Equivalents and Short-Term Investments	21.05M	57.49M	176.97M	79.46M	353.34M	845.39M
Total Debt	111.73M	384.56M	784.01M	149.81M	111.05M	51.06M
Total Liabilities	634.38M	580.50M	675.39M	373.07M	274.51M	81.38M
Stockholders Equity	-142.40M	-13.30M	173.62M	508.44M	822.26M	1.13B
Cash Flow
Free Cash Flow	-53.83K	-153.81M	-186.17M	-277.49M	-435.89M	-339.34M
Operating Cash Flow	-46.23K	-125.74M	-163.63M	-180.92M	-254.65M	-263.67M
Investing Cash Flow	23.43K	141.10M	-116.60M	23.38M	-328.21M	-204.07M
Financing Cash Flow	-9.91K	-20.59M	273.92M	-36.06M	-11.00M	1.05B

Immunotech Biopharm Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.68
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6978, the sentiment is Negative. The current price of 2.68 is below the 20-day moving average (MA) of 2.71, below the 50-day MA of 2.86, and below the 200-day MA of 3.46, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 40.58 is Neutral, neither overbought nor oversold. The STOCH value of 37.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6978.

Immunotech Biopharm Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1875	60 Neutral	HK$3.18B	392.38	0.99%	―	9.41%	-32.69%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
6622	47 Neutral	HK$2.02B	-6.68	-14.84%	―	-38.38%	-22.12%
3681	45 Neutral	HK$1.87B	-9.46	-55.33%	―	-100.00%	30.68%
2179	44 Neutral	HK$2.40B	-3.40	-129.05%	―	―	-18.99%
2185	44 Neutral	HK$1.28B	-13.25	-14.87%	―	―	22.65%
6978	43 Neutral	HK$1.60B	-6.01	―	―	―	27.90%

Immunotech Biopharm Ltd Corporate Events

Immunotech Biopharm Subsidiary Signs RMB9.75 Million Cell Therapy Service Deal With Tasly

Immunotech Biopharm Ltd, a Hong Kong-listed biopharmaceutical company, develops and processes cell therapies and related services, leveraging its subsidiary Yongtai Beijing’s GMP-compliant facilities and technical expertise in cell product processing and quality control. The company announced that Yongtai Beijing has entered into a roughly 24‑month entrustment service agreement with connected party Tasly to provide cell product thawing, washing, formulation, filling, testing and project management services for a clinical project, for a service fee of RMB9.75 million subject to adjustment, with the deal classified as a continuing connected transaction under Hong Kong listing rules that requires reporting, annual review and announcement but is exempt from independent shareholders’ approval due to its size, signaling incremental service revenue and a deeper operational tie with a substantial shareholder.

The most recent analyst rating on (HK:6978) stock is a Hold with a HK$2.50 price target. To see the full list of analyst forecasts on Immunotech Biopharm Ltd stock, see the HK:6978 Stock Forecast page.

Immunotech Biopharm Moves to Refinance 2023 Convertible Bonds via New Issue

Immunotech Biopharm Ltd has entered into a legally binding framework agreement with the existing holder of its 2023 Convertible Bonds for the subscription of new convertible bonds and a note, with the entire consideration to be used to fully settle the principal of the 2023 bonds maturing on 20 February 2026. The new convertible bonds will be issued under the company’s general mandate and the resulting conversion shares will rank pari passu with existing shares, while completion of the transaction remains subject to agreement on final terms, regulatory and board approvals, and other conditions precedent, meaning the deal may or may not proceed and investors are urged to exercise caution when trading the company’s securities.

The most recent analyst rating on (HK:6978) stock is a Sell with a HK$2.50 price target. To see the full list of analyst forecasts on Immunotech Biopharm Ltd stock, see the HK:6978 Stock Forecast page.

Immunotech Biopharm Ltd Engages in Strategic Financial Investment

Immunotech Biopharm Ltd has announced a discloseable transaction involving the subscription of structured deposit products from Bank of China Limited, with a total investment value of RMB120,000,000. This strategic financial move is subject to the notification and announcement requirements under the Listing Rules, highlighting the company’s efforts to manage its financial assets effectively and potentially enhance its financial returns through structured investments.

Immunotech Biopharm Ltd’s Rights Issue Oversubscribed, Raising HK$257.29 Million

Immunotech Biopharm Ltd announced the successful completion of its rights issue, which was significantly oversubscribed. The company raised approximately HK$257.29 million in gross proceeds, with net proceeds estimated at HK$251.88 million, which will be used according to their planned allocation. The oversubscription indicates strong investor confidence and could enhance the company’s financial position and operational capabilities.