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BeOne Medicines (ONC)
NASDAQ:ONC
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BeOne Medicines (ONC) AI Stock Analysis

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ONC

BeOne Medicines

(NASDAQ:ONC)

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Outperform 79 (OpenAI - 5.2)
Rating:79Outperform
Price Target:
$370.00
▲(13.53% Upside)
Action:Reiterated
Date:08/05/26
The score is driven primarily by improved financial performance and cash generation (profitability inflection and strong free cash flow), supported by a very low P/E valuation and a positive earnings-call outlook with raised 2026 guidance. Technicals add modest support via an established uptrend, while historical volatility, rising leverage versus earlier years, and pipeline/competitive uncertainties keep the score below the top tier.
Positive Factors
High gross margins
Sustained gross margins near 90% reflect strong pricing power and operating leverage in core oncology franchises. High gross margins provide durable cash available to fund R&D, commercial expansion and manufacturing buildouts, cushioning earnings against input cost pressures.
Negative Factors
Elevated leverage vs history
Moderate but rising leverage compared with prior years reduces financial flexibility if growth stalls or interest costs rise. Management must sustain strong cash flow and discipline on capital allocation to avoid funding pressure or constrained strategic optionality.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margins
Sustained gross margins near 90% reflect strong pricing power and operating leverage in core oncology franchises. High gross margins provide durable cash available to fund R&D, commercial expansion and manufacturing buildouts, cushioning earnings against input cost pressures.
Read all positive factors

BeOne Medicines (ONC) vs. SPDR S&P 500 ETF (SPY)

BeOne Medicines Business Overview & Revenue Model

Company Description
BeOne Medicines AG, an oncology company, engages in discovering and developing various treatments for cancer patients in the United States, China, Europe, and internationally. The company’s commercial stage products include BRUKINSA, a small molec...
How the Company Makes Money
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BeOne Medicines Earnings Call Summary

Earnings Call Date:Aug 05, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call presented a strongly positive commercial and financial picture: robust revenue and EPS growth, raised full‑year guidance, doubled free cash flow, high gross margins, and multiple meaningful regulatory and late‑stage pipeline milestones (MANGROVE result, BEQALZI approval, BTK degrader progress). Headwinds and uncertainties were present but limited relative to the strength described — including a missed uMRD superiority in CELESTIAL‑301 (though PFS remains the primary endpoint), a $60 million tax settlement, increased operating expense guidance to fund pipeline investment, and ongoing competitive dynamics. On balance, the company emphasized durable demand for BRUKINSA, expanding global footprint, and an accelerating late‑stage pipeline, leading to an overall favorable outlook.
Positive Updates
Strong Top-Line Growth
Total revenue of $1.7 billion in Q2 2026, representing 30% year-over-year growth.
Negative Updates
CELESTIAL‑301 uMRD Readout Missed Superiority Bar
In CELESTIAL‑301, the zanubrutinib + sonrotoclax regimen did not reach statistical superiority in uMRD versus the VO regimen; IDMC recommended continuation to the primary PFS endpoint, creating near-term uncertainty around the uMRD comparator result.
Read all updates
Q2-2026 Updates
Negative
Strong Top-Line Growth
Total revenue of $1.7 billion in Q2 2026, representing 30% year-over-year growth.
Read all positive updates
Company Guidance
Management raised 2026 guidance, increasing revenue by $300 million to a new range of $6.6–$6.8 billion and boosting GAAP operating income by $250 million to $1.0–$1.1 billion (non‑GAAP operating income now $1.7–$1.8 billion); they expect full‑year gross margin in the high‑80% range and set operating expenses at $4.8–$5.0 billion to fund commercial and pipeline investments (with 2027 OPEX growth expected roughly in line with the past two years). For context from Q2, they reported $1.7 billion revenue, $1.5 billion gross profit (just under 90% gross margin), $1.2 billion operating expenses, $325 million operating income, $237 million net income, GAAP EPS $2.05, adjusted operating income $503 million, adjusted net income $444 million, adjusted diluted EPS $3.84, and free cash flow of $435 million.

BeOne Medicines Financial Statement Overview

Summary
Strong turnaround with high gross margins (~87%), positive operating profit (EBIT margin ~12%), solid net margin (~8.9%), and robust free cash flow (~$1.08B TTM). Key risks are cooler growth (~6.8% TTM) and historical volatility (losses/negative cash flow through 2024) alongside moderately higher leverage vs earlier years.
Income Statement
78
Positive
Balance Sheet
72
Positive
Cash Flow
81
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.13B5.34B3.81B2.46B1.42B1.18B
Gross Profit5.45B4.67B3.22B2.08B1.13B1.01B
EBITDA1.16B616.77M-361.24M-738.16M-1.89B-1.39B
Net Income655.71M286.93M-644.79M-881.71M-2.00B-1.46B
Balance Sheet
Total Assets9.18B8.19B5.92B5.81B6.38B8.54B
Cash, Cash Equivalents and Short-Term Investments5.10B4.55B2.63B3.17B4.53B6.62B
Total Debt1.14B2.00B1.08B930.18M596.67M694.64M
Total Liabilities4.00B3.83B2.59B2.27B2.00B2.40B
Stockholders Equity5.17B4.36B3.33B3.54B4.38B6.13B
Cash Flow
Free Cash Flow1.24B941.74M-669.77M-1.75B-1.97B-1.61B
Operating Cash Flow1.69B1.13B-140.63M-1.16B-1.50B-1.30B
Investing Cash Flow-228.38M-276.15M-548.35M60.00M1.08B640.66M
Financing Cash Flow1.19B1.06B193.45M416.48M-18.97M3.64B

BeOne Medicines Technical Analysis

Technical Analysis Sentiment
Positive
Last Price325.90
Price Trends
50DMA
302.74
Positive
100DMA
302.05
Positive
200DMA
315.20
Positive
Market Momentum
MACD
14.07
Negative
RSI
73.22
Negative
STOCH
84.44
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ONC, the sentiment is Positive. The current price of 325.9 is below the 20-day moving average (MA) of 330.56, above the 50-day MA of 302.74, and above the 200-day MA of 315.20, indicating a bullish trend. The MACD of 14.07 indicates Negative momentum. The RSI at 73.22 is Negative, neither overbought nor oversold. The STOCH value of 84.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ONC.

BeOne Medicines Risk Analysis

BeOne Medicines disclosed 93 risk factors in its most recent earnings report. BeOne Medicines reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

BeOne Medicines 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
$41.29B28.9714.27%34.39%
74
Outperform
$26.24B24.7414.49%1.46%9.87%12.51%
71
Outperform
$43.34B57.609.28%4.33%
68
Neutral
$30.86B37.094.52%0.53%-45.79%
52
Neutral
$12.05B-12.50-204.33%-11.10%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
51
Neutral
$23.30B-11.87-9.16%-1.05%-395.95%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ONC
BeOne Medicines
356.01
46.32
14.96%
BIIB
Biogen
210.65
75.71
56.11%
DGX
Quest Diagnostics
236.04
60.68
34.60%
TEVA
Teva Pharmaceutical
36.52
18.98
108.21%
SMMT
Summit Therapeutics
14.00
-12.45
-47.07%
BNTX
BioNTech SE
92.12
-20.58
-18.26%

BeOne Medicines Corporate Events

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance
BeOne Wins FDA Nod for BEQALZI Lymphoma Therapy
Positive
May 15, 2026
On May 13, 2026, BeOne Medicines announced that the U.S. FDA granted accelerated approval to its BCL2 inhibitor BEQALZI (sonrotoclax) for adults with relapsed or refractory mantle cell lymphoma after at least two prior systemic therapies, includin...
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: Aug 05, 2026