Update shared on 07 Nov 2025
Fair value Increased 5.11%Narrative Update: WuXi AppTec Price Target Revision
Analysts have raised their price target for WuXi AppTec from $118.42 to $124.47. This change reflects improved profit margin expectations and a lower anticipated future price-to-earnings ratio.
What's in the News
- WuXi AppTec signed two strategic memoranda of understanding with NEOM and Saudi Arabia's Ministry of Health to localize pharmaceutical research and manufacturing and to develop the biotechnology sector in Saudi Arabia (Strategic Alliances).
- The company raised its 2025 full-year total revenue guidance to RMB 43.5 to 44.0 billion, up from the previous range of RMB 42.5 to 43.5 billion (Corporate Guidance, Raised).
- The board convened on October 24, 2025, to approve and publish the third quarterly results for the nine months ended September 30, 2025 (Board Meeting).
- Shareholders approved amendments to the Articles of Association at the extraordinary general meeting held on September 23, 2025 (Changes in Company Bylaws or Rules).
- WuXi AppTec completed a share buyback program, repurchasing over 11.8 million shares for CNY 1,000 million between July 1 and August 26, 2025 (Buyback Tranche Update).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from CN¥118.42 to CN¥124.47, reflecting improved outlook and valuation.
- The discount rate increased modestly from 7.47% to 7.70%, suggesting a somewhat higher perceived risk or return expectation.
- Revenue growth forecast decreased from 14.13% to 13.09%, indicating a more conservative projection for future expansion.
- Net profit margin improved from 25.57% to 27.02%, signaling expectations for greater profitability.
- The future P/E ratio fell significantly from 38.79x to 25.03x, suggesting the stock is now considered less expensive based on earnings forecasts.
Disclaimer
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