Valuation Update With 7 Day Price Move • Apr 27
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to zł8.50, the stock trades at a trailing P/E ratio of 13.2x. Average trailing P/E is 21x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 144% over the past three years. Board Change • Feb 13
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 2 highly experienced directors. 1 independent director (4 non-independent directors). Independent Director Alexandar Chaushev was the last independent director to join the board, commencing their role in 2011. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Valuation Update With 7 Day Price Move • Jul 21
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to zł13.00, the stock trades at a trailing P/E ratio of 14x. Average trailing P/E is 22x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 70% over the past three years. New Risk • Jul 09
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 6.3% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks High level of debt (43% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (12% average weekly change). Declared Dividend • Jul 02
Dividend of лв0.08 announced Shareholders will receive a dividend of лв0.08. Ex-date: 10th July 2025 Payment date: 25th August 2025 Dividend yield will be 1.6%, which is lower than the industry average of 2.4%. Sustainability & Growth Dividend is well covered by both earnings (33% earnings payout ratio) and cash flows (31% cash payout ratio). The dividend has increased by an average of 7.9% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to decline by 63% to shift the payout ratio to a potentially unsustainable range, which is more than the 4.3% EPS decline seen over the last 5 years. New Risk • Jun 26
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Polish stocks, typically moving 12% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risk High level of debt (43% net debt to equity). New Risk • Jun 02
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 43% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Minor Risks High level of debt (43% net debt to equity). Share price has been volatile over the past 3 months (10% average weekly change). Reported Earnings • Jun 02
First quarter 2025 earnings released: EPS: лв0.24 (vs лв0.23 in 1Q 2024) First quarter 2025 results: EPS: лв0.24 (up from лв0.23 in 1Q 2024). Revenue: лв644.0m (up 25% from 1Q 2024). Net income: лв40.3m (up 36% from 1Q 2024). Profit margin: 6.3% (up from 5.8% in 1Q 2024). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. 공시 • May 26
Sopharma AD, Annual General Meeting, Jun 27, 2025 Sopharma AD, Annual General Meeting, Jun 27, 2025, at 11:00 FLE Standard Time. Location: sofia at 5 lachezar stanchev st, sofia Bulgaria Board Change • Apr 23
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 2 highly experienced directors. 1 independent director (4 non-independent directors). Independent Director Alexandar Tchaoushev was the last independent director to join the board, commencing their role in 2011. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Mar 02
Full year 2024 earnings released: EPS: лв0.47 (vs лв0.73 in FY 2023) Full year 2024 results: EPS: лв0.47 (down from лв0.73 in FY 2023). Revenue: лв2.15b (up 14% from FY 2023). Net income: лв77.8m (down 18% from FY 2023). Profit margin: 3.6% (down from 5.0% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Reported Earnings • Dec 01
Third quarter 2024 earnings released: EPS: лв0.11 (vs лв0.12 in 3Q 2023) Third quarter 2024 results: EPS: лв0.11. Revenue: лв543.1m (up 17% from 3Q 2023). Net income: лв18.6m (up 30% from 3Q 2023). Profit margin: 3.4% (up from 3.1% in 3Q 2023). The increase in margin was driven by higher revenue. Upcoming Dividend • Nov 01
Upcoming dividend of лв0.075 per share Eligible shareholders must have bought the stock before 07 November 2024. Payment date: 23 December 2024. Payout ratio is a comfortable 18% but the company is paying out more than the cash it is generating. Trailing yield: 17%. Within top quartile of Polish dividend payers (8.0%). Higher than average of industry peers (2.4%). Reported Earnings • Sep 01
Second quarter 2024 earnings released: EPS: лв0.081 (vs лв0.26 in 2Q 2023) Second quarter 2024 results: EPS: лв0.081 (down from лв0.26 in 2Q 2023). Revenue: лв495.1m (up 9.3% from 2Q 2023). Net income: лв16.1m (down 48% from 2Q 2023). Profit margin: 3.3% (down from 6.9% in 2Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 15% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Aug 09
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Polish stocks, typically moving 7.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Payout ratio: 136% Paying a dividend despite having no free cash flows. High level of non-cash earnings (26% accrual ratio). Minor Risks Share price has been volatile over the past 3 months (7.5% average weekly change). Shareholders have been diluted in the past year (48% increase in shares outstanding). Recent Insider Transactions • Jun 26
Independent Director recently bought zł728k worth of stock On the 24th of June, Alexandar Tchaoushev bought around 56k shares on-market at roughly zł13.09 per share. This transaction amounted to 14% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold zł2.2m more in shares than they bought in the last 12 months. Recent Insider Transactions • Jun 08
Chairman recently bought zł82k worth of stock On the 4th of June, Ognian Donev bought around 6k shares on-market at roughly zł13.64 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent buy, Ognian has been a net seller over the last 12 months, reducing personal holdings by zł3.6m. Reported Earnings • Jun 04
First quarter 2024 earnings released: EPS: лв0.23 (vs лв0.27 in 1Q 2023) First quarter 2024 results: EPS: лв0.23 (down from лв0.27 in 1Q 2023). Revenue: лв514.0m (up 9.5% from 1Q 2023). Net income: лв29.7m (down 7.9% from 1Q 2023). Profit margin: 5.8% (down from 6.9% in 1Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 17% per year whereas the company’s share price has increased by 19% per year. Reported Earnings • Mar 03
Full year 2023 earnings released: EPS: лв0.73 (vs лв0.58 in FY 2022) Full year 2023 results: EPS: лв0.73 (up from лв0.58 in FY 2022). Revenue: лв1.90b (up 13% from FY 2022). Net income: лв95.2m (up 34% from FY 2022). Profit margin: 5.0% (up from 4.3% in FY 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. New Risk • Jan 25
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 12% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (0.9% operating cash flow to total debt). Share price has been highly volatile over the past 3 months (13% average weekly change). Dividend is not well covered by earnings and cash flows. Payout ratio: 225% Paying a dividend despite having no free cash flows. Earnings are forecast to decline by an average of 12% per year for the foreseeable future. Minor Risks Profit margins are more than 30% lower than last year (4.4% net profit margin). Shareholders have been diluted in the past year (31% increase in shares outstanding). Significant insider selling over the past 3 months (zł1.8m sold). Valuation Update With 7 Day Price Move • Jan 09
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to zł15.80, the stock trades at a trailing P/E ratio of 11.3x. Average trailing P/E is 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 86% over the past three years. Recent Insider Transactions • Dec 22
Chairman recently sold zł131k worth of stock On the 19th of December, Ognian Donev sold around 10k shares on-market at roughly zł13.09 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger sale worth zł1.2m. Ognian has been a net seller over the last 12 months, reducing personal holdings by zł3.9m. Recent Insider Transactions • Dec 14
Chairman recently bought zł749k worth of stock On the 8th of December, Ognian Donev bought around 55k shares on-market at roughly zł13.60 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent buy, Ognian has been a net seller over the last 12 months, reducing personal holdings by zł2.6m. New Risk • Dec 08
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 0.9% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (0.9% operating cash flow to total debt). Share price has been highly volatile over the past 3 months (15% average weekly change). Dividend is not well covered by earnings and cash flows. Payout ratio: 225% Paying a dividend despite having no free cash flows. Minor Risks Profit margins are more than 30% lower than last year (4.4% net profit margin). Shareholders have been diluted in the past year (31% increase in shares outstanding). Reported Earnings • Dec 01
Third quarter 2023 earnings released: EPS: лв0.12 (vs лв0.20 in 3Q 2022) Third quarter 2023 results: EPS: лв0.12 (down from лв0.20 in 3Q 2022). Revenue: лв465.9m (up 12% from 3Q 2022). Net income: лв14.3m (down 42% from 3Q 2022). Profit margin: 3.1% (down from 5.9% in 3Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Nov 30
Upcoming dividend of лв0.90 per share at 8.5% yield Eligible shareholders must have bought the stock before 07 December 2023. Payment date: 22 January 2024. Payout ratio is on the higher end at 80%, however this is supported by cash flows. Trailing yield: 8.5%. Within top quartile of Polish dividend payers (7.9%). Higher than average of industry peers (2.6%). Buying Opportunity • Nov 29
Now 30% undervalued Over the last 90 days, the stock is up 7.5%. The fair value is estimated to be zł20.47, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 8.6% over the last 3 years. Earnings per share has grown by 20%. 공시 • Nov 25
Sopharma AD Approves Distribution for the First Half of 2023, Payable on January 22, 2024 Sopharma AD at its EGM held on November 24, 2023, approved the proposal by the Board of Directors for the distribution of 6-month gross dividend amounting to BGN 0.90 (90 stotinki) per share. The persons eligible for dividend are those present in the register of the Central Depository 14 days after the day of the EGM on which the financial statements of the Company for the first half of 2023 was approved and the decision for dividend was taken, namely December 8, 2023 (record date) ex-dividend date December 7, 2023. The starting date for dividend payment is January 22, 2024. 공시 • Oct 31
Sopharma AD to Report Q3, 2023 Results on Nov 29, 2023 Sopharma AD announced that they will report Q3, 2023 results on Nov 29, 2023 Valuation Update With 7 Day Price Move • Oct 26
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to zł14.05, the stock trades at a trailing P/E ratio of 12.2x. Average trailing P/E is 20x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 26% over the past three years. Buying Opportunity • Oct 13
Now 26% undervalued Over the last 90 days, the stock is up 9.1%. The fair value is estimated to be zł18.66, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 8.6% over the last 3 years. Earnings per share has grown by 20%. New Risk • Oct 12
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 31% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risks Dividend is not well covered by cash flows (212% cash payout ratio). Shareholders have been diluted in the past year (31% increase in shares outstanding). Significant insider selling over the past 3 months (zł3.7m sold). Valuation Update With 7 Day Price Move • Oct 05
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to zł15.50, the stock trades at a trailing P/E ratio of 9.4x. Average forward P/E is 18x in the Pharmaceuticals industry in Europe. Total loss to shareholders of 3.3% over the past three years. Recent Insider Transactions • Oct 01
Chairman recently bought zł170k worth of stock On the 28th of September, Ognian Donev bought around 10k shares on-market at roughly zł16.65 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth zł190k. Despite this recent buy, Ognian has been a net seller over the last 12 months, reducing personal holdings by zł3.4m. 공시 • Sep 21
Sopharma AD to Report Q3, 2023 Results on Oct 30, 2023 Sopharma AD announced that they will report Q3, 2023 results on Oct 30, 2023 Recent Insider Transactions • Sep 13
Chairman recently bought zł190k worth of stock On the 8th of September, Ognian Donev bought around 13k shares on-market at roughly zł14.61 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent buy, Ognian has been a net seller over the last 12 months, reducing personal holdings by zł3.4m. Valuation Update With 7 Day Price Move • Sep 11
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to zł14.10, the stock trades at a trailing P/E ratio of 8.3x. Average trailing P/E is 24x in the Pharmaceuticals industry in Europe. Total loss to shareholders of 5.5% over the past three years. Recent Insider Transactions • Sep 07
Chairman recently sold zł2.4m worth of stock On the 1st of September, Ognian Donev sold around 778k shares on-market at roughly zł3.09 per share. This transaction amounted to 12% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Ognian has been a net seller over the last 12 months, reducing personal holdings by zł3.7m. Reported Earnings • Sep 02
Second quarter 2023 earnings released: EPS: лв0.26 (vs лв0.19 in 2Q 2022) Second quarter 2023 results: EPS: лв0.26 (up from лв0.19 in 2Q 2022). Revenue: лв452.8m (up 11% from 2Q 2022). Net income: лв31.2m (up 38% from 2Q 2022). Profit margin: 6.9% (up from 5.6% in 2Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. New Risk • Aug 31
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 11% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (16% average weekly change). Minor Risks Dividend is not well covered by cash flows (100% cash payout ratio). Shareholders have been diluted in the past year (11% increase in shares outstanding). Significant insider selling over the past 3 months (zł353k sold). 공시 • Jul 16
Sopharma AD (BUL:SFA) signed an agreement to acquire Pharmanova d.o.o. Sopharma AD (BUL:SFA) signed an agreement to acquire Pharmanova d.o.o on July 14, 2023. Sopharma will initially acquire an interest of 25% in Pharmanova, then purchase another 50% ownership in a year's time, with the remaining 25% to be bought within two years. The transaction is subject to approval by the Serbian competition authority and is expected to complete within 2 years. As of FY 2022, Pharmanova generated net sales revenue of over €10.2 million. Recent Insider Transactions • Jul 05
Chairman recently sold zł673k worth of stock On the 30th of June, Ognian Donev sold around 28k shares on-market at roughly zł23.96 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Ognian has been a net seller over the last 12 months, reducing personal holdings by zł673k. Valuation Update With 7 Day Price Move • Jun 25
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to zł12.00, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 17x in the Pharmaceuticals industry in Europe. Total loss to shareholders of 6.3% over the past three years. New Risk • Jun 14
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 9.8% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (13% average weekly change). Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Valuation Update With 7 Day Price Move • Jun 10
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to zł16.40, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 17x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 19% over the past three years. Upcoming Dividend • Jun 09
Upcoming dividend of лв0.60 per share Eligible shareholders must have bought the stock before 15 June 2023. Payment date: 31 July 2023. The company last paid an ordinary dividend in March 2013. The average dividend yield among industry peers is 2.6%. 공시 • Jun 03
Sopharma AD Declares Dividend for 2022, Payable on 31 July 2023 Sopharma AD announced that, at the General Meeting of Shareholders of the company dated 02 June 2023 has taken the following dividend distribution decision for 2022: Gross dividend per share: BGN 0.60 - Dividend payout starting date: 31 July 2023. Dividend payout: Via the Central Depository and CB Eurobank Bulgaria AD /Postbank/The right to a dividend will be entitled to all shareholders registered with the central securities register on the 14th day following the GMS date, i.e. by 16 June 2023 (Record Date). The final date for transacting shares of this company on the Exchange, so the holder will be entitled to receive a dividend, will be 14 June 2023 (Ex-Dividend Date: 15 June 2023). Reported Earnings • May 31
First quarter 2023 earnings released: EPS: лв0.27 (vs лв0.17 in 1Q 2022) First quarter 2023 results: EPS: лв0.27 (up from лв0.17 in 1Q 2022). Revenue: лв469.9m (up 18% from 1Q 2022). Net income: лв32.3m (up 56% from 1Q 2022). Profit margin: 6.9% (up from 5.2% in 1Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 6.4% growth forecast for the Pharmaceuticals industry in Europe. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Board Change • May 09
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director Alexandar Tchaoushev was the last independent director to join the board, commencing their role in 2011. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Mar 06
Full year 2022 earnings released: EPS: лв0.60 (vs лв0.71 in FY 2021) Full year 2022 results: EPS: лв0.60 (down from лв0.71 in FY 2021). Revenue: лв1.67b (up 3.7% from FY 2021). Net income: лв72.6m (down 19% from FY 2021). Profit margin: 4.3% (down from 5.6% in FY 2021). The decrease in margin was driven by higher expenses. Post-clinical trial products Approved (during full year): 3 Revenue is forecast to grow 4.0% p.a. on average during the next 3 years, compared to a 5.6% growth forecast for the Pharmaceuticals industry in Europe. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 16% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Feb 27
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to zł11.55, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 18x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 51% over the past three years. 공시 • Dec 22
Sopharma AD, Annual General Meeting, Jun 30, 2023 Sopharma AD, Annual General Meeting, Jun 30, 2023. Reported Earnings • Dec 01
Third quarter 2022 earnings released: EPS: лв0.20 (vs лв0.14 in 3Q 2021) Third quarter 2022 results: EPS: лв0.20 (up from лв0.14 in 3Q 2021). Revenue: лв421.0m (flat on 3Q 2021). Net income: лв24.5m (up 34% from 3Q 2021). Profit margin: 5.8% (up from 4.3% in 3Q 2021). Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 5.8% growth forecast for the Pharmaceuticals industry in Europe. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director Alexandar Tchaoushev was the last independent director to join the board, commencing their role in 2011. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Buying Opportunity • Oct 24
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 3.1%. The fair value is estimated to be zł11.90, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. For the next 3 years, revenue is forecast to grow by 2.5% per annum. Earnings is forecast to decline by 9.4% per annum over the same time period. Buying Opportunity • Oct 07
Now 29% undervalued after recent price drop Over the last 90 days, the stock is down 10%. The fair value is estimated to be zł12.42, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. For the next 3 years, revenue is forecast to grow by 2.5% per annum. Earnings is forecast to decline by 9.4% per annum over the same time period. Reported Earnings • Aug 31
Second quarter 2022 earnings released: EPS: лв0.19 (vs лв0.12 in 2Q 2021) Second quarter 2022 results: EPS: лв0.19 (up from лв0.12 in 2Q 2021). Revenue: лв409.1m (up 7.1% from 2Q 2021). Net income: лв22.7m (up 61% from 2Q 2021). Profit margin: 5.5% (up from 3.7% in 2Q 2021). Over the next year, revenue is expected to shrink by 4.0% compared to a 3.6% growth forecast for the Pharmaceuticals industry in Poland. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Buying Opportunity • Aug 18
Now 27% undervalued Over the last 90 days, the stock is up 1.1%. The fair value is estimated to be zł12.49, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings is forecast to decline by 7.7% per annum over the same time period. Buying Opportunity • Jul 22
Now 24% undervalued after recent price drop Over the last 90 days, the stock is down 5.8%. The fair value is estimated to be zł12.91, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings is forecast to decline by 7.7% per annum over the same time period. Buying Opportunity • Jul 04
Now 21% undervalued Over the last 90 days, the stock is up 3.7%. The fair value is estimated to be zł12.54, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 18%. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings is forecast to decline by 7.7% per annum over the same time period. Reported Earnings • Jun 02
First quarter 2022 earnings released: EPS: лв0.17 (vs лв0.14 in 1Q 2021) First quarter 2022 results: EPS: лв0.17 (up from лв0.14 in 1Q 2021). Revenue: лв399.7m (up 4.8% from 1Q 2021). Net income: лв20.7m (up 14% from 1Q 2021). Profit margin: 5.2% (up from 4.8% in 1Q 2021). Board Change • May 31
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director Alexandar Tchaoushev was the last independent director to join the board, commencing their role in 2011. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • May 05
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director Alexandar Tchaoushev was the last independent director to join the board, commencing their role in 2011. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Mar 14
Investor sentiment improved over the past week After last week's 19% share price gain to zł9.90, the stock trades at a trailing P/E ratio of 5.8x. Average forward P/E is 21x in the Pharmaceuticals industry in Europe. Total returns to shareholders of 23% over the past three years. Reported Earnings • Mar 03
Full year 2021 earnings: EPS in line with analyst expectations despite revenue beat Full year 2021 results: EPS: лв0.73 (up from лв0.20 in FY 2020). Revenue: лв1.62b (up 12% from FY 2020). Net income: лв91.4m (up 266% from FY 2020). Profit margin: 5.7% (up from 1.7% in FY 2020). Revenue exceeded analyst estimates by 4.4%. Over the next year, revenue is forecast to stay flat compared to a 7.5% growth forecast for the pharmaceuticals industry in Poland. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Reported Earnings • Dec 02
Third quarter 2021 earnings: EPS in line with analyst expectations despite revenue beat Third quarter 2021 results: EPS: лв0.14. Revenue: лв425.8m (up 24% from 3Q 2020). Net income: лв18.3m (up лв17.1m from 3Q 2020). Profit margin: 4.3% (up from 0.4% in 3Q 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 4.8%. Over the next year, revenue is forecast to stay flat compared to a 11% growth forecast for the industry in Poland. Over the last 3 years on average, earnings per share has increased by 7% per year and the company’s share price has also increased by 7% per year. Reported Earnings • Sep 03
Second quarter 2021 earnings released The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: лв384.4m (up 22% from 2Q 2020). Net income: лв14.1m (up 43% from 2Q 2020). Profit margin: 3.7% (up from 3.1% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Sep 03
Chairman recently bought zł182k worth of stock On the 1st of September, Ognian Donev bought around 52k shares on-market at roughly zł3.50 per share. This was the largest purchase by an insider in the last 3 months. This was Ognian's only on-market trade for the last 12 months. Board Change • Jul 27
Less than half of directors are independent Following the recent departure of a director, there is only 1 independent director on the board. The company's board is composed of: 1 independent director. 4 non-independent directors. Independent Director Alexander Tchaushev was the last independent director to join the board, commencing their role in 2011. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Jun 03
First quarter 2021 earnings released The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: лв382.8m (up 4.1% from 1Q 2020). Net income: лв18.1m (up 68% from 1Q 2020). Profit margin: 4.7% (up from 2.9% in 1Q 2020). The increase in margin was driven by higher revenue. Analyst Estimate Surprise Post Earnings • Mar 05
Revenue beats expectations Revenue exceeded analyst estimates by 4.8%. Over the next year, revenue is forecast to stay flat compared to a 6.0% growth forecast for the Pharmaceuticals industry in Poland. Reported Earnings • Mar 05
Full year 2020 earnings released: EPS лв0.20 (vs лв0.69 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: лв1.45b (up 12% from FY 2019). Net income: лв25.0m (down 71% from FY 2019). Profit margin: 1.7% (down from 6.8% in FY 2019). Valuation Update With 7 Day Price Move • Feb 03
Investor sentiment improved over the past week After last week's 23% share price gain to лв11.30, the stock is trading at a trailing P/E ratio of 4.7x, up from the previous P/E ratio of 3.8x. This compares to an average P/E of 24x in the Pharmaceuticals industry in Europe. Total returns to shareholders over the past three years are 20%. Valuation Update With 7 Day Price Move • Jan 05
Investor sentiment improved over the past week After last week's 19% share price gain to лв11.10, the stock is trading at a trailing P/E ratio of 4.5x, up from the previous P/E ratio of 3.8x. This compares to an average P/E of 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders over the past three years are 25%. Valuation Update With 7 Day Price Move • Dec 28
Investor sentiment improved over the past week After last week's 17% share price gain to лв9.80, the stock is trading at a trailing P/E ratio of 4.5x, up from the previous P/E ratio of 3.8x. This compares to an average P/E of 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders over the past three years are 10.0%. Is New 90 Day High Low • Dec 14
New 90-day low: zł9.30 The company is down 42% from its price of zł16.00 on 15 September 2020. The Polish market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is down 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is zł14.62 per share. Valuation Update With 7 Day Price Move • Nov 26
Market pulls back on stock over the past week After last week's 15% share price decline to лв10.00, the stock is trading at a trailing P/E ratio of 4.2x, down from the previous P/E ratio of 5x. This compares to an average P/E of 23x in the Pharmaceuticals industry in Europe. Total returns to shareholders over the past three years are 12%. Is New 90 Day High Low • Nov 26
New 90-day low: zł10.00 The company is down 37% from its price of zł16.00 on 25 August 2020. The Polish market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Pharmaceuticals industry, which is down 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is zł13.50 per share. Valuation Update With 7 Day Price Move • Nov 02
Market pulls back on stock over the past week After last week's 21% share price decline to лв11.10, the stock is trading at a trailing P/E ratio of 4.4x, down from the previous P/E ratio of 5.5x. This compares to an average P/E of 21x in the Pharmaceuticals industry in Europe. Total returns to shareholders over the past three years are 18%. 
