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Scienture Holdings (SCNX)
NASDAQ:SCNX
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Scienture Holdings (SCNX) AI Stock Analysis

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SCNX

Scienture Holdings

(NASDAQ:SCNX)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
$0.50
▼(-15.25% Downside)
Scienture Holdings' overall stock score is primarily impacted by its weak financial performance and valuation metrics. The company's high leverage and negative cash flows pose significant risks. Technical analysis also indicates bearish momentum, further weighing on the stock's prospects. Improvements in net income and equity ratio are positive but insufficient to offset the broader challenges.
Positive Factors
Leadership Stability
Indemnification agreements for leadership can enhance stability and attract stakeholders by reducing legal risk for key executives.
Capital Raising
Successful capital raising efforts improve financial flexibility, enabling the company to invest in growth and manage operational needs.
Product Launch
Launching new products like Arbli Oral Suspension can drive revenue growth and strengthen market position in the healthcare sector.
Negative Factors
High Leverage
High leverage increases financial risk and can limit the company's ability to invest in growth or weather economic downturns.
Cash Flow Constraints
Negative cash flow indicates challenges in generating sufficient cash from operations, potentially affecting long-term sustainability.
Revenue Instability
Inconsistent revenue growth reflects potential instability in revenue streams, which can hinder long-term planning and investment.

Scienture Holdings (SCNX) vs. SPDR S&P 500 ETF (SPY)

Scienture Holdings Business Overview & Revenue Model

Company DescriptionScienture Holdings (SCNX) is a technology-driven company focused on the development and commercialization of innovative solutions in the healthcare and life sciences sectors. The company leverages its proprietary technologies to enhance drug discovery, optimize clinical trial processes, and improve patient outcomes. Core products and services include advanced data analytics platforms, software solutions for clinical research, and strategic consulting aimed at helping pharmaceutical and biotech companies streamline their operations.
How the Company Makes MoneyScienture Holdings generates revenue through multiple channels, including software licensing fees for its proprietary analytics platforms, consulting services for clinical trial optimization, and partnerships with pharmaceutical companies for collaborative research projects. Key revenue streams include subscription-based models for software products, one-time fees for consulting services, and milestone payments from strategic partnerships. The company also benefits from grants and funding related to research initiatives, which contribute to its overall earnings.

Scienture Holdings Financial Statement Overview

Summary
Scienture Holdings is facing significant financial challenges, with profitability and cash flow constraints weighing on performance. While recent improvements in net income and equity ratio are encouraging, the company needs to address revenue volatility and cash flow issues to achieve sustainable growth. High leverage remains a potential risk that could impact financial flexibility.
Income Statement
25
Negative
Scienture Holdings has faced significant challenges in maintaining profitability as indicated by a consistently negative EBIT and EBITDA. The net profit margin has been volatile, with a recent return to positive net income in 2024, which is a positive sign. However, the revenue growth rate has been inconsistent, showing a significant drop in 2023 before recovering slightly in 2024, reflecting potential instability in revenue streams.
Balance Sheet
30
Negative
The company's balance sheet displays high leverage with a debt-to-equity ratio that indicates a significant amount of debt relative to equity. However, the equity ratio has improved recently, suggesting a better capitalization structure. Return on equity remains concerning due to historically negative net income, though recent improvements are promising.
Cash Flow
20
Very Negative
Scienture Holdings exhibits strained cash flows with persistent negative free cash flow and operating cash flow over the years. There is a high reliance on financing activities to support operations, which could pose risks. The free cash flow growth rate has been negative, indicating challenges in generating sufficient cash from operations.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue653.39K136.64K1.36M10.25M9.89M17.12M
Gross Profit562.66K6.00K49.03K5.52M4.75M5.71M
EBITDA-16.54M-17.39M-6.29M-1.87M-5.15M-2.40M
Net Income-20.55M9.07M-17.84M-3.47M-5.32M-2.54M
Balance Sheet
Total Assets104.83M104.85M12.53M3.71M5.77M9.79M
Cash, Cash Equivalents and Short-Term Investments355.69K308.10K314.001.09M3.12M5.92M
Total Debt2.02M3.53M6.76M1.58M1.25M627.46K
Total Liabilities22.16M25.78M11.99M3.37M2.00M1.11M
Stockholders Equity82.67M79.07M542.35K763.14K3.77M8.68M
Cash Flow
Free Cash Flow-11.11M-14.28M-2.23M-1.56M-2.59M-2.25M
Operating Cash Flow-11.11M-14.27M-2.23M-1.56M-2.57M-2.21M
Investing Cash Flow0.0027.55M-275.72K-427.85K-22.60K-37.51K
Financing Cash Flow11.04M-12.98M1.41M-35.17K-208.18K5.30M

Scienture Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.59
Price Trends
50DMA
0.79
Negative
100DMA
1.16
Negative
200DMA
1.27
Negative
Market Momentum
MACD
-0.08
Positive
RSI
44.21
Neutral
STOCH
43.32
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SCNX, the sentiment is Negative. The current price of 0.59 is below the 20-day moving average (MA) of 0.67, below the 50-day MA of 0.79, and below the 200-day MA of 1.27, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 44.21 is Neutral, neither overbought nor oversold. The STOCH value of 43.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SCNX.

Scienture Holdings Risk Analysis

Scienture Holdings disclosed 76 risk factors in its most recent earnings report. Scienture Holdings 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

Scienture Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
51
Neutral
-14.88%54.76%
43
Neutral
$16.32M-8.96%-24.64%92.19%
41
Neutral
$28.21M-0.28-44.11%-73.18%92.38%
39
Underperform
$17.36M-0.24187.24%82.90%
27
Underperform
$15.45M-0.02-182.56%-21.88%68.40%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SCNX
Scienture Holdings
0.59
-6.76
-91.97%
STRM
Streamline Health Solutions
5.33
2.71
103.44%
ZCMD
Zhongchao
0.65
-0.69
-51.49%
HCTI
Healthcare Triangle
2.35
-170.43
-98.64%
VSEE
VSee Health
0.54
-1.56
-74.29%
MGRX
Mangoceuticals, Inc.
1.07
-1.43
-57.20%

Scienture Holdings Corporate Events

Business Operations and Strategy
Scienture Holdings Updates Investor Presentation Strategy
Neutral
Nov 18, 2025

On November 17, 2025, Scienture Holdings, Inc. released a revised investor presentation on its website, aimed at engaging analysts, potential investors, and other stakeholders. The presentation, which is part of the company’s ongoing communication strategy, includes forward-looking statements about its projects, potential financial performance, and growth opportunities, highlighting the inherent risks and uncertainties that could impact future results.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Executive/Board ChangesShareholder MeetingsStock Split
Scienture Holdings’ Stockholders Approve Key Proposals
Neutral
Nov 14, 2025

On November 12, 2025, Scienture Holdings, Inc. held its 2025 Annual Meeting of Stockholders virtually, where stockholders voted on six key proposals. The stockholders elected five directors to the board and approved amendments to the 2019 Equity Incentive Plan and a potential future offering of common stock. However, they rejected the proposal to increase the number of authorized shares of common and preferred stock. Additionally, the stockholders approved granting the board discretion to implement a reverse stock split and the option to adjourn the meeting if necessary, although the latter was deemed unnecessary due to sufficient votes.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Private Placements and FinancingRegulatory Filings and Compliance
Scienture Holdings Expands Equity Distribution Agreement
Neutral
Nov 13, 2025

On November 7, 2025, Scienture Holdings, Inc. filed a prospectus supplement with the SEC to increase the amount of common stock it can sell under an equity distribution agreement with Maxim Group LLC to $150 million. This move allows the company to potentially raise significant capital, impacting its financial strategy and market operations.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Private Placements and FinancingRegulatory Filings and Compliance
Scienture Holdings Increases Stock Offering with SEC Filing
Neutral
Oct 30, 2025

On October 24, 2025, Scienture Holdings, Inc. filed a prospectus supplement with the SEC to increase the amount of its common stock eligible for sale under a previous agreement with Maxim Group LLC, aiming for an aggregate offering price of up to $9,592,009. The company has already sold approximately $13,252,250 in securities over the past 12 months, leaving $9,592,009 available for future sale, which could impact its financial strategy and market presence.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Delistings and Listing ChangesRegulatory Filings and Compliance
Scienture Holdings Faces Nasdaq Non-Compliance Notice
Negative
Oct 17, 2025

On October 14, 2025, Scienture Holdings, Inc. received a notice from Nasdaq indicating non-compliance with the Minimum Bid Price Requirement, as its stock price remained below $1.00 for 30 consecutive business days. The company has until April 13, 2026, to regain compliance by ensuring its stock price meets or exceeds $1.00 for ten consecutive business days. This notice does not immediately affect the stock’s listing or trading, and the company is optimistic about regaining compliance, though there is no guarantee.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Private Placements and Financing
Scienture Holdings Completes Note Purchase Agreement
Neutral
Oct 16, 2025

Scienture Holdings, Inc., through its subsidiary Scienture, LLC, entered into a Second Amendment of a Loan and Security Agreement with NVK Finance LLC on October 10, 2025, extending the loan maturity date to December 8, 2025, and agreeing to pay various fees and issue shares to NVK. By October 15, 2025, Scienture had fully repaid the NVK Loan. Additionally, on October 14, 2025, Scienture entered into a note purchase agreement with Streeterville Capital, LLC, issuing a senior secured promissory note for $3,911,111.11. The net proceeds of $3,500,000 were used to repay the NVK Loan and for other corporate purposes, with the note due in seven months and carrying a 9% interest rate.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Business Operations and StrategyShareholder Meetings
Scienture Holdings Amends Bylaws for Quorum Change
Neutral
Oct 6, 2025

On October 1, 2025, Scienture Holdings, Inc. amended its bylaws to change the quorum requirement for stockholder meetings from a majority to one-third of voting stock. This adjustment is poised to streamline decision-making processes and potentially increase shareholder participation by lowering the threshold needed to conduct business.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Scienture Holdings Amends Convertible Debentures Agreement
Positive
Oct 3, 2025

On October 3, 2025, Scienture Holdings, Inc. amended the terms of its convertible debentures with Arena Finance Markets, LP and Arena Special Opportunities III LP, revising the conversion price to $2.4861 per share. This agreement facilitates the full conversion of the debentures into common stock, leading to the termination of all obligations, security interests, and transaction documents between the parties, effectively releasing Scienture Holdings from its financial commitments to the Arena Investors.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Scienture Holdings Enters Equity Distribution Agreement
Neutral
Sep 23, 2025

On September 19, 2025, Scienture Holdings, Inc. entered into an Equity Distribution Agreement with Maxim Group LLC to act as the sole sales agent for the offer and sale of up to $9,200,000 worth of its common stock. This agreement allows for “at the market” offerings on The Nasdaq Capital Market, with the company retaining the flexibility to determine the timing and amount of shares sold. The agreement includes a 3% commission for Maxim Group and provisions for termination or suspension of the offering. This strategic move could potentially impact Scienture Holdings’ market positioning by providing financial flexibility, although there is no guarantee of sales or the timing thereof.

The most recent analyst rating on (SCNX) stock is a Sell with a $2.00 price target. To see the full list of analyst forecasts on Scienture Holdings stock, see the SCNX 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: Nov 25, 2025