HUTCHMED CHINA-ADR (HCM) Stock Fundamental Analysis
USA - NASDAQ:HCM - US44842L1035 - ADR
14.95 USD
-0.5 (-3.24%)
14.95 USD
0 (0%)
Overall HCM gets a fundamental rating of 5 out of 10. We evaluated HCM against 191 industry peers in the Pharmaceuticals industry. HCM has an average financial health and profitability rating. HCM is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year HCM was profitable.
HCM had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: HCM reported negative net income in multiple years.
In multiple years HCM reported negative operating cash flow during the last 5 years.
1.2 Ratios
HCM's Return On Assets of 26.29% is amongst the best of the industry. HCM outperforms 98.44% of its industry peers.
The Return On Equity of HCM (37.99%) is better than 96.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.29% | ||
| ROE | 37.99% | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HCM has a Profit Margin of 77.53%. This is amongst the best in the industry. HCM outperforms 99.48% of its industry peers.
With a decent Gross Margin value of 44.15%, HCM is doing good in the industry, outperforming 62.50% of the companies in the same industry.
In the last couple of years the Gross Margin of HCM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 77.53% | ||
| GM | 44.15% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y17.54%
GM growth 5Y15.38%
2. Health
2.1 Basic Checks
HCM does not have a ROIC to compare to the WACC, probably because it is not profitable.
HCM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 3.67 indicates that HCM is not in any danger for bankruptcy at the moment.
HCM has a better Altman-Z score (3.67) than 73.44% of its industry peers.
A Debt/Equity ratio of 0.08 indicates that HCM is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.08, HCM perfoms like the industry average, outperforming 50.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.67 |
ROIC/WACCN/A
WACC8.76%
2.3 Liquidity
A Current Ratio of 4.65 indicates that HCM has no problem at all paying its short term obligations.
With a decent Current ratio value of 4.65, HCM is doing good in the industry, outperforming 67.19% of the companies in the same industry.
HCM has a Quick Ratio of 4.51. This indicates that HCM is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 4.51, HCM is doing good in the industry, outperforming 67.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.65 | ||
| Quick Ratio | 4.51 |
3. Growth
3.1 Past
HCM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1172.34%, which is quite impressive.
HCM shows a decrease in Revenue. In the last year, the revenue decreased by -1.41%.
The Revenue has been growing by 25.20% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)1172.34%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1661.49%
Revenue 1Y (TTM)-1.41%
Revenue growth 3Y20.96%
Revenue growth 5Y25.2%
Sales Q2Q%-9.16%
3.2 Future
HCM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 52.63% yearly.
The Revenue is expected to grow by 20.25% on average over the next years. This is a very strong growth
EPS Next Y900.95%
EPS Next 2Y81.49%
EPS Next 3Y57.45%
EPS Next 5Y52.63%
Revenue Next Year-11.78%
Revenue Next 2Y0.94%
Revenue Next 3Y6.11%
Revenue Next 5Y20.25%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 5.50, the valuation of HCM can be described as very cheap.
Based on the Price/Earnings ratio, HCM is valued cheaper than 95.83% of the companies in the same industry.
HCM is valuated cheaply when we compare the Price/Earnings ratio to 26.06, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 35.69, which means the current valuation is very expensive for HCM.
HCM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HCM is cheaper than 71.88% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HCM to the average of the S&P500 Index (32.73), we can say HCM is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.5 | ||
| Fwd PE | 35.69 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
HCM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as HCM's earnings are expected to grow with 57.45% in the coming years.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y81.49%
EPS Next 3Y57.45%
5. Dividend
5.1 Amount
No dividends for HCM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
14.95
-0.5 (-3.24%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners21.97%
Inst Owner Change-1.62%
Ins Owners0.58%
Ins Owner ChangeN/A
Market Cap2.57B
Revenue(TTM)602.20M
Net Income(TTM)466.88M
Analysts83.7
Price Target16.25 (8.7%)
Short Float %0.37%
Short Ratio7.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-4.66%
PT rev (3m)-13.46%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.48%
EPS NY rev (3m)9.15%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-15.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.5 | ||
| Fwd PE | 35.69 | ||
| P/S | 4.27 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.09 | ||
| P/tB | 2.09 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.72
EY18.19%
EPS(NY)0.42
Fwd EY2.8%
FCF(TTM)-0.35
FCFYN/A
OCF(TTM)-0.19
OCFYN/A
SpS3.5
BVpS7.15
TBVpS7.15
PEG (NY)0.01
PEG (5Y)N/A
Graham Number20.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.29% | ||
| ROE | 37.99% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 77.53% | ||
| GM | 44.15% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y17.54%
GM growth 5Y15.38%
F-Score5
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 221.94% | ||
| Cap/Sales | 4.5% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.65 | ||
| Quick Ratio | 4.51 | ||
| Altman-Z | 3.67 |
F-Score5
WACC8.76%
ROIC/WACCN/A
Cap/Depr(3y)321.95%
Cap/Depr(5y)304.39%
Cap/Sales(3y)5.11%
Cap/Sales(5y)5.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1172.34%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1661.49%
EPS Next Y900.95%
EPS Next 2Y81.49%
EPS Next 3Y57.45%
EPS Next 5Y52.63%
Revenue 1Y (TTM)-1.41%
Revenue growth 3Y20.96%
Revenue growth 5Y25.2%
Sales Q2Q%-9.16%
Revenue Next Year-11.78%
Revenue Next 2Y0.94%
Revenue Next 3Y6.11%
Revenue Next 5Y20.25%
EBIT growth 1Y83.69%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year98.89%
EBIT Next 3Y51.23%
EBIT Next 5Y43.18%
FCF growth 1Y-2591.94%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-168.32%
OCF growth 3YN/A
OCF growth 5YN/A
HUTCHMED CHINA-ADR / HCM FAQ
Can you provide the ChartMill fundamental rating for HUTCHMED CHINA-ADR?
ChartMill assigns a fundamental rating of 5 / 10 to HCM.
What is the valuation status of HUTCHMED CHINA-ADR (HCM) stock?
ChartMill assigns a valuation rating of 5 / 10 to HUTCHMED CHINA-ADR (HCM). This can be considered as Fairly Valued.
Can you provide the profitability details for HUTCHMED CHINA-ADR?
HUTCHMED CHINA-ADR (HCM) has a profitability rating of 4 / 10.
Can you provide the financial health for HCM stock?
The financial health rating of HUTCHMED CHINA-ADR (HCM) is 5 / 10.