Ypsomed Holding (SWX:YPSN): Assessing Valuation After Net Income and EPS Surge for H1 2025

Ypsomed Holding (SWX:YPSN) released its half-year earnings, reporting net income of CHF 139 million compared to CHF 33 million a year earlier. Earnings per share also rose sharply in the same period.

See our latest analysis for Ypsomed Holding.

Ypsomed Holding’s robust jump in profits seems to have caught the market’s eye, with the share price gaining nearly 5% over the past month. However, longer-term momentum has faded, reflected in a 1-year total shareholder return of -7%. Still, investors with patience have seen exceptional 3- and 5-year total returns of 74% and 136% respectively. This underscores how sentiment around the stock can shift quickly when growth accelerates or risk recedes.

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But with shares up lately and long-term performance still mixed, is Ypsomed Holding genuinely undervalued after these results, or is the current price already factoring in future growth prospects?

Most Popular Narrative: 19.4% Undervalued

Ypsomed Holding’s fair value in the most popular narrative is set at CHF 408.92, noticeably higher than the last close price of CHF 329.5. The valuation assumes the company’s transformation and ambitious expansion will dramatically impact its earnings profile over the coming years.

Ypsomed's robust pipeline of 200 ongoing projects and strategic partnerships in the GLP-1 space, with over 40 deals, positions the company for sustained long-term revenue growth as new drug delivery systems enter the market.

Read the complete narrative.

What if just one assumption tips the scales? The fair value hinges on a bold profit margin forecast and a market multiple more typical of industry leaders. Want to know what else the analysts are counting on to get to that target? Dive deeper and see how each projection could turn expectations upside down.

Result: Fair Value of $408.92 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, if Ypsomed encounters setbacks integrating its new B2B model or if project execution falters, forecasts for margin expansion and earnings growth could quickly unravel.

Find out about the key risks to this Ypsomed Holding narrative.

Build Your Own Ypsomed Holding Narrative

If you see the numbers differently or want to dig into the details yourself, you can build a narrative from scratch in just a few minutes. Do it your way

A great starting point for your Ypsomed Holding research is our analysis highlighting 5 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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