Sosei Group (4565) AI Stock Analysis

• Market Cap: ¥72.67B
• Dividend Yield: N/A
• Average Volume (3M): 762.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: 87.83%
• EPS Growth: 75.84%
• Country: JP
• Employees: 387
• Sector: Healthcare
• Sector Strength: 43
• Industry: Biotechnology
• EPS (TTM): -8.45
• Shares Outstanding: 90,384,090
• 10 Day Avg. Volume: 615,090
• 30 Day Avg. Volume: 762,850
• PEG Ratio: 0.55
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -9.80
• 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: ¥1,849.83
• Price Target Upside: 130.08% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 48 Neutral
• Price Target: ¥869.00 ▲( 8.08% Upside)

Sosei Group's overall stock score reflects strong revenue growth but is significantly impacted by persistent profitability issues and cash flow challenges. The technical analysis suggests some positive momentum, yet valuation concerns due to negative earnings and the absence of dividends weigh heavily. The stability of the balance sheet offers some reassurance but increasing debt levels need monitoring.

Sosei Group Business Overview & Revenue Model

Company Description

Sosei Group Corporation, a prominent biopharmaceutical company based in Japan, specializes in the development and commercialization of innovative medicines. The company operates primarily in the biotechnology and pharmaceutical sectors, focusing on drug discovery and early-stage clinical development. Sosei Group leverages its proprietary drug discovery platform to create novel therapeutics, with a particular emphasis on addressing unmet medical needs in disease areas such as neurology, immunology, and oncology.

How the Company Makes Money

Sosei Group generates revenue through multiple streams, primarily from partnerships and collaborations with global pharmaceutical companies. These collaborations often involve co-development or licensing agreements for promising drug candidates, allowing Sosei to receive milestone payments and royalties based on the progress and sales of these drugs. Additionally, the company earns revenue from research and development services provided to its partners. Sosei's strategic alliances and partnerships are crucial to its business model, enabling it to leverage its drug discovery platform while sharing the financial risks associated with drug development.

Sosei Group Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
28.84B	12.77B	15.57B	17.71B	8.84B
	Gross Profit
21.22B	9.66B	14.64B	16.78B	8.08B
	EBIT
-5.42B	-9.53B	3.67B	4.02B	2.20B
	EBITDA
-1.44B	-5.71B	5.01B	8.19B	2.20B
	Net Income Common Stockholders
-4.84B	-7.19B	382.00M	1.02B	1.48B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
36.20B	49.06B	66.56B	60.17B	40.01B
	Total Assets
151.50B	157.20B	99.42B	96.98B	76.47B
	Total Debt
67.90B	73.97B	29.73B	29.27B	16.62B
	Net Debt
35.63B	24.91B	-36.82B	-30.82B	-23.39B
	Total Liabilities
82.98B	90.39B	41.48B	39.52B	24.08B
	Stockholders Equity
68.52B	66.81B	57.94B	57.47B	52.38B
Cash Flow		Free Cash Flow
-8.24B	-6.12B	9.65B	6.89B	4.57B
	Operating Cash Flow
-7.72B	-5.27B	9.95B	7.09B	4.67B
	Investing Cash Flow
-4.76B	-63.79B	1.04B	278.00M	-150.00M
	Financing Cash Flow
-6.85B	48.33B	-4.89B	11.12B	20.28B

Sosei Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 804.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4565, the sentiment is Negative. The current price of 804 is below the 20-day moving average (MA) of 864.80, below the 50-day MA of 854.98, and below the 200-day MA of 1113.89, indicating a bearish trend. The MACD of -7.90 indicates Positive momentum. The RSI at 40.94 is Neutral, neither overbought nor oversold. The STOCH value of 7.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4565.

Sosei Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2160	61 Neutral	€124.85B	108.76	-2.52%	―	-17.18%	-108.99%
7774	58 Neutral	¥22.86B	―		―	-2.34%	-278.32%
Sector *	53 Neutral	$5.14B	3.06	-43.57%	2.81%	16.81%	-0.12%
4974	51 Neutral	¥91.28B	87.68		2.24%	-9.69%	-103.31%
4593	49 Neutral	¥35.51B	―		―	374.19%	35.53%
4565	48 Neutral	¥72.67B	―	-3.36%	―	87.83%	75.84%

Sosei Group Corporate Events

Nxera Pharma Reports Strong Q1 2025 Results and Strategic Advances

Nxera Pharma has reported its first quarter 2025 results, highlighting significant operational progress and financial improvements. The company has secured key development and commercialization agreements, including the assignment of rights for cenerimod and a partnership for daridorexant, while advancing its partnered programs with Neurocrine Biosciences and Tempero Bio. Financially, Nxera saw a notable increase in revenue and a reduction in net loss, attributed to increased sales and strategic cost management.

Nxera Pharma’s Schizophrenia Treatment Enters Phase 3 Trials

Nxera Pharma announced that its partner, Neurocrine Biosciences, has initiated a Phase 3 trial for NBI-1117568, an investigational treatment for schizophrenia. This marks a significant milestone as it is the first NxWave™-designed molecule to reach this stage, potentially enhancing Nxera’s position in the neuropsychiatric treatment market. The trial will assess the drug’s efficacy, safety, and tolerability, with the potential to offer a novel mechanism for treating schizophrenia without the need for combination therapy, which could have significant implications for stakeholders.

Nxera Pharma’s Partner Advances Phase 2 Trial for Alcohol Use Disorder Treatment

Nxera Pharma’s partner, Tempero Bio, has initiated a Phase 2 trial for TMP-301, a drug aimed at treating alcohol use disorder. This development marks a significant step forward for Nxera’s NxWave™ discovery platform, showcasing its capability to produce innovative drug candidates. The collaboration with Tempero Bio, which holds exclusive global rights to Nxera’s mGluR5 NAM portfolio, is expected to advance the clinical development of treatments for substance use disorders. While no milestone payment is due at this stage, Nxera stands to benefit from future success-based payments and royalties, highlighting the strategic importance of this partnership.

Nxera Pharma Assigns Cenerimod Rights to Viatris for Japan and APAC

Nxera Pharma has entered into an agreement with Viatris Inc., granting them exclusive rights to develop and commercialize cenerimod, a novel oral S1P1 receptor modulator, in Japan and the Asia-Pacific region excluding China. This strategic move allows Viatris to hold global rights to cenerimod, which is in Phase 3 trials for systemic lupus erythematosus, potentially positioning it as a first-in-class therapy for autoimmune diseases. The deal includes an upfront payment of $10 million to Nxera, with additional milestone and royalty payments contingent on regulatory approval and sales, thereby enhancing Nxera’s shareholder value and expanding Viatris’ immunology platform.

Nxera Pharma Corrects Financial Notice on Capital Reserve and Surplus Disposition

Nxera Pharma announced a correction to its previous notice regarding the reduction of capital reserve and disposition of surplus. The correction involves changes in the amounts transferred to retained earnings, which will be used to compensate for the company’s deficit. This adjustment reflects the company’s efforts to manage its financial structure effectively, potentially impacting its financial stability and stakeholder interests.