tiprankstipranks
Trending News
More News >
Sosei Group Corporation (JP:4565)
OTHER OTC:4565

Sosei Group (4565) AI Stock Analysis

Compare
3 Followers

Top Page

JP:4565

Sosei Group

(OTC:4565)

Select Model
Select Model
Select Model
Neutral 40 (OpenAI - 4o)
Rating:40Neutral
Price Target:
¥718.00
▼(-16.71% Downside)
Sosei Group's overall stock score is primarily impacted by its challenging financial performance, characterized by declining revenues and negative profitability. Technical analysis further indicates bearish momentum, with the stock trading below key moving averages and nearing oversold conditions. Valuation metrics are unfavorable due to the negative P/E ratio and lack of dividend yield, making the stock less attractive to investors.
Positive Factors
Strong Gross Profit Margin
A strong gross profit margin indicates efficient cost management and pricing power, which can support profitability as revenue stabilizes.
Partnership Revenue Model
Partnerships provide diversified revenue streams through upfront and milestone payments, reducing reliance on single product success.
Pipeline of Product Candidates
A robust pipeline in neurology, respiratory, and oncology can drive future growth and market expansion as products advance to commercialization.
Negative Factors
Declining Revenue
Declining revenue indicates challenges in market demand or competitive pressures, which could impact long-term financial health if not addressed.
Negative Profitability
Negative profitability suggests operational inefficiencies and challenges in achieving sustainable earnings, impacting future investment capacity.
Cash Flow Challenges
Cash flow issues can limit the company's ability to fund R&D and strategic initiatives, crucial for long-term growth in the biotech sector.

Sosei Group (4565) vs. iShares MSCI Japan ETF (EWJ)

Sosei Group Business Overview & Revenue Model

Company DescriptionSosei Group Corporation (4565) is a biopharmaceutical company based in Japan, specializing in the discovery and development of innovative medicines. The company focuses on drug development in the fields of neurology, respiratory diseases, and oncology, leveraging its expertise in drug design and development to create novel therapies. Sosei Group operates through various subsidiaries and has a strong pipeline of product candidates that target significant unmet medical needs.
How the Company Makes MoneySosei Group generates revenue primarily through partnerships and collaborations with other pharmaceutical and biotechnology companies, which provide upfront payments, milestone payments, and royalties based on the sales of products developed under these agreements. The company also earns revenue from licensing its proprietary technologies and drug candidates to third parties. Additionally, Sosei Group may receive funding from government grants or research institutions for specific projects. The successful advancement of its drug candidates through clinical trials and into commercialization is crucial for maximizing revenue streams.

Sosei Group Earnings Call Summary

Earnings Call Date:Aug 09, 2024
(Q2-2024)
|
% Change Since: |
Next Earnings Date:Feb 17, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted significant revenue growth and strategic partnerships, contributing to an improved core operating profit. However, concerns remain regarding operating losses and increasing expenses, which could affect future financial performance.
Q2-2024 Updates
Positive Updates
Record Revenue Growth
Revenue for the first half of FY 2024 was JPY 12.7 billion, compared to JPY 2.1 billion in the same period last year, driven by new partnerships and milestone revenues.
Core Operating Profit Turnaround
Core operating profit was JPY 1.1 billion, a significant improvement from a loss of JPY 2.7 billion in the same period last year.
Strong PIVLAZ Sales
PIVLAZ achieved JPY 6.5 billion in sales in the first half, with a target to exceed JPY 16 billion in NHI sales for the year.
Strategic Partnerships and Milestones
Entered an exclusive option to license agreement with Boehringer Ingelheim and received milestone payments from Neurocrine and AbbVie.
Robust R&D Pipeline
Nine active clinical programs in collaboration with strategic partners, including significant progress in muscarinic agonist programs.
Negative Updates
Operating Loss on IFRS Basis
Operating loss on IFRS basis was JPY 3.6 billion, albeit an improvement from last year's JPY 4.1 billion loss.
Impact of Non-Cash Costs
JPY 1.6 billion non-cash cost of sales charge related to PIVLAZ inventory affected operating profit.
R&D and SG&A Expense Concerns
SG&A and R&D expenses are expected to increase in the second half, potentially impacting financial performance.
Company Guidance
During the Q2 2024 earnings call for company 4565.T, several key financial metrics and strategic goals were discussed. Revenue for the first half of FY 2024 was reported at JPY 12.7 billion, a significant increase from JPY 2.1 billion year-over-year. Core operating profit reached JPY 1.1 billion, rebounding from a previous loss of JPY 2.7 billion, primarily due to new partnerships and milestone revenues from collaborations with companies like Boehringer, Neurocrine, Centessa, and AbbVie. However, the operating profit on an IFRS basis showed a loss of JPY 3.6 billion, slightly improved from last year's loss of JPY 4.1 billion. The company continues to have a robust cash position with cash and cash equivalents totaling JPY 50.9 billion as of June. Additionally, they maintain their full-year guidance, emphasizing continued investment in R&D and the commercialization of key products like PIVLAZ and daridorexant in Japan and South Korea. The strategic goals for 2024 include achieving JPY 16 billion in PIVLAZ sales, obtaining Japanese NDA approval for daridorexant, and advancing their R&D pipeline to include more Phase Ib trials.

Sosei Group Financial Statement Overview

Summary
Sosei Group shows revenue growth but struggles with profitability and cash flow. The balance sheet is moderately stable, but negative returns on equity and cash flow issues indicate financial instability.
Income Statement
The income statement shows a mixed performance. While there is a positive revenue growth trend in the TTM, the company is struggling with negative net profit margins and EBIT margins, indicating operational inefficiencies. The gross profit margin remains relatively strong, but the consistent net losses are a concern.
Balance Sheet
The balance sheet reflects a moderate level of financial stability. The debt-to-equity ratio is close to 1, suggesting a balanced approach to leveraging. However, the negative return on equity indicates that the company is not generating sufficient returns on shareholders' investments. The equity ratio is stable, which is a positive sign.
Cash Flow
Cash flow analysis reveals significant challenges. The company has negative operating cash flow and free cash flow, although there is a notable improvement in free cash flow growth in the TTM. The free cash flow to net income ratio is above 1, which is positive, but the overall cash flow situation remains weak.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue28.70B28.84B12.77B15.57B17.71B8.84B
Gross Profit20.43B21.22B9.66B14.64B16.78B8.08B
EBITDA-3.42B105.00M-5.71B3.57B2.19B3.19B
Net Income-6.14B-4.84B-7.19B382.00M1.02B1.48B
Balance Sheet
Total Assets144.18B151.50B157.20B99.42B96.98B76.47B
Cash, Cash Equivalents and Short-Term Investments28.46B36.20B49.06B66.56B60.17B40.01B
Total Debt63.14B67.90B73.97B29.73B29.27B16.62B
Total Liabilities78.52B82.98B90.39B41.48B39.52B24.08B
Stockholders Equity65.66B68.52B66.81B57.94B57.47B52.38B
Cash Flow
Free Cash Flow-13.97B-8.24B-6.12B9.65B6.89B4.57B
Operating Cash Flow-13.51B-7.72B-5.27B9.95B7.09B4.67B
Investing Cash Flow-1.48B-4.76B-63.79B1.04B278.00M-150.00M
Financing Cash Flow-6.70B-6.85B48.33B-4.89B11.12B20.28B

Sosei Group Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price862.00
Price Trends
50DMA
841.42
Positive
100DMA
907.11
Negative
200DMA
889.80
Negative
Market Momentum
MACD
6.30
Negative
RSI
54.37
Neutral
STOCH
77.83
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4565, the sentiment is Neutral. The current price of 862 is above the 20-day moving average (MA) of 838.65, above the 50-day MA of 841.42, and below the 200-day MA of 889.80, indicating a neutral trend. The MACD of 6.30 indicates Negative momentum. The RSI at 54.37 is Neutral, neither overbought nor oversold. The STOCH value of 77.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4565.

Sosei Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
54
Neutral
¥22.01B-54.84-5.65%-469.19%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
47
Neutral
¥137.14B-167.09-1.81%13.78%-110.02%
47
Neutral
¥98.74B-15.472.18%-0.16%-802.20%
40
Neutral
¥78.73B-12.76-9.05%-1.96%-64.18%
38
Underperform
¥31.52B-6.94-82.33%47.73%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4565
Sosei Group
870.00
-100.00
-10.31%
JP:2160
GNI Group
2,466.00
-619.00
-20.06%
JP:4593
Healios KK
273.00
72.00
35.82%
JP:4974
Takara Bio Inc.
820.00
-152.55
-15.69%
JP:7774
Japan Tissue Engineering Co., Ltd.
542.00
64.00
13.39%

Sosei Group Corporate Events

Nxera Pharma Completes ¥5 Billion Buyback of 2028 Convertible Bonds
Dec 21, 2025

Nxera Pharma has completed a tender offer to repurchase ¥5 billion in principal amount of its euro-yen denominated convertible bonds due 2028, paying a total of approximately ¥4.84 billion excluding accrued interest, based on a slight discount to face value. Following the transaction, ¥27 billion in principal amount of the convertible bonds remains outstanding, indicating a targeted balance-sheet action that may modestly reduce future potential dilution for shareholders while maintaining significant outstanding convertible debt.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen718.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Regains Full Rights to Phase 2–Ready Schizophrenia Drug After Boehringer Ingelheim Opts Out
Dec 18, 2025

Nxera Pharma will regain full rights to its GPR52 agonist program for schizophrenia, including Phase 2–ready lead candidate NXE0048149, after Boehringer Ingelheim chose not to exercise its exclusive licensing option. The decision triggers the return to Nxera of all data and intellectual property generated under the collaboration and leaves the company free to pursue new strategic options, including a formal out‑licensing process in 2026, without affecting its current-period consolidated financial results.
NXE0048149, designed using Nxera’s NxWave discovery platform, has shown a highly favorable safety profile in Phase 1 studies, dose-proportional pharmacokinetics and pharmacodynamic evidence of engaging brain circuitry relevant to schizophrenia, supporting once‑daily dosing and continued development. With GPR52 expression linked to positive, negative and cognitive symptom domains, Nxera believes the program could offer a first‑in‑class treatment that addresses shortcomings of existing therapies, and management views the return of full rights as a strategic opportunity to partner the asset with a major pharmaceutical or specialized neuroscience company.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen858.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Completes Buyback and Consent Solicitation for Convertible Bonds
Dec 10, 2025

Nxera Pharma Co., Ltd. has successfully completed its buyback and consent solicitation for its existing Euro-yen denominated convertible bonds due 2028. The company received the necessary electronic consents to approve an extraordinary resolution, allowing it to execute a supplemental trust deed and cancel a planned meeting. The tender offer was conducted with a total purchase price of ¥4,837,500,000, leaving ¥27,000,000,000 in principal amount of the bonds outstanding.

The most recent analyst rating on (JP:4565) stock is a Buy with a Yen1400.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Receives Dividends from UK Subsidiary
Dec 8, 2025

Nxera Pharma Co. Ltd announced the receipt of dividends amounting to JPY 8,193 million from its subsidiary, Nxera Pharma UK Limited. The dividend income of JPY 2,793 million will be recorded as non-operating income in the company’s non-consolidated financial statements for the fiscal year ending December 31, 2025, with no impact on its consolidated financial results.

The most recent analyst rating on (JP:4565) stock is a Buy with a Yen1400.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Initiates Bond Buyback and Consent Solicitation
Nov 26, 2025

Nxera Pharma Co., Ltd. has announced a buyback and consent solicitation for its existing convertible bonds due in 2028. The company aims to amend the terms of these bonds to reduce near-term redemption risk and secure liquidity for strategic growth investments. By removing bondholders’ early redemption options and conducting a tender offer up to ¥5 billion, Nxera seeks to maintain lower funding costs and avoid dilutive effects on shareholders.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen767.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Launches New Employee Stock Ownership Plan in Japan
Nov 19, 2025

Nxera Pharma has announced the introduction of a new Employee Stock Ownership Plan (J-ESOP) for its employees residing in Japan, replacing the existing Restricted Share Unit Plan. This strategic move aims to enhance employee motivation and engagement by aligning their interests with the company’s performance, providing tax benefits, and reducing the concentration of share sales, thereby potentially increasing the company’s corporate value and market performance.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen767.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Announces Strategic Restructuring to Boost Profitability
Nov 17, 2025

Nxera Pharma Co., Ltd. announced a strategic restructuring to enhance its path to profitability by concentrating on high-value programs and reducing operating expenses. The company aims to achieve significant cost savings and streamline operations, including a 15% workforce reduction, to support its ambitious 2030 vision of achieving JPY50 billion in net sales and a 30% operating profit margin. This restructuring will focus on prioritized R&D programs, particularly in obesity and metabolic disorders, while utilizing AI technology to enhance drug discovery processes.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen767.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Advances in Metabolic Therapies Amid Financial Challenges
Oct 31, 2025

Nxera Pharma reported significant advancements in its strategic focus on obesity and metabolic diseases during the third quarter of 2025, highlighted by the launch of a proprietary pipeline led by an oral GLP-1 agonist. The company also achieved key milestones in its collaborations, including a $10 million payment from AbbVie for neurological disease research, and presented promising Phase 1 trial results for its cancer immunotherapy candidate. Despite these operational successes, Nxera experienced a financial downturn with increased R&D expenses and a net loss of JPY 4,809 million, reflecting the company’s investment in future growth and the impact of a weaker yen.

The most recent analyst rating on (JP:4565) stock is a Hold with a Yen883.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

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: Dec 20, 2025