DB:49B

Stock Analysis Report

Executive Summary

BeiGene, Ltd., a commercial-stage biotechnology company, develops and commercializes molecularly-targeted and immuno-oncology drugs for the treatment of cancer in the People’s Republic of China, the United States, and internationally.

Rewards

Revenue is forecast to grow 34.62% per year

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year



Snowflake Analysis

Flawless balance sheet with limited growth.

Share Price & News

How has BeiGene's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 49B has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.3%

49B

0.4%

DE Biotechs

0.2%

DE Market


1 Year Return

29.3%

49B

9.0%

DE Biotechs

14.4%

DE Market

Return vs Industry: 49B exceeded the German Biotechs industry which returned 9% over the past year.

Return vs Market: 49B exceeded the German Market which returned 14.4% over the past year.


Shareholder returns

49BIndustryMarket
7 Day4.3%0.4%0.2%
30 Day-0.8%-2.1%0.9%
90 Day-10.4%8.0%4.6%
1 Year29.3%29.3%9.2%9.0%17.9%14.4%
3 Yearn/a45.5%43.9%15.7%5.6%
5 Yearn/a12.8%10.5%23.4%6.5%

Price Volatility Vs. Market

How volatile is BeiGene's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is BeiGene undervalued compared to its fair value and its price relative to the market?

8.17x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 49B (€12.1) is trading above our estimate of fair value (€10.19)

Significantly Below Fair Value: 49B is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 49B is unprofitable, so we can't compare its PE Ratio to the Biotechs industry average.

PE vs Market: 49B is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 49B's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 49B is overvalued based on its PB Ratio (8.2x) compared to the DE Biotechs industry average (3.6x).


Next Steps

Future Growth

How is BeiGene forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

26.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 49B is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 49B is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 49B is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 49B's revenue (34.6% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: 49B's revenue (34.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 49B is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has BeiGene performed over the past 5 years?

-64.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 49B is currently unprofitable.

Growing Profit Margin: 49B is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 49B is unprofitable, and losses have increased over the past 5 years at a rate of -64.9% per year.

Accelerating Growth: Unable to compare 49B's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 49B is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (-4.7%).


Return on Equity

High ROE: 49B has a negative Return on Equity (-64.08%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is BeiGene's financial position?


Financial Position Analysis

Short Term Liabilities: 49B's short term assets ($1.4B) exceed its short term liabilities ($265.7M).

Long Term Liabilities: 49B's short term assets ($1.4B) exceed its long term liabilities ($321.1M).


Debt to Equity History and Analysis

Debt Level: 49B's debt to equity ratio (19.8%) is considered satisfactory.

Reducing Debt: 49B's debt to equity ratio has reduced from 191.1% to 19.8% over the past 5 years.


Balance Sheet

Inventory Level: 49B has a low level of unsold assets or inventory.

Debt Coverage by Assets: 49B's debt is covered by short term assets (assets are 5.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 49B has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: 49B has sufficient cash runway for 1.9 years if free cash flow continues to reduce at historical rates of -63.1% each year.


Next Steps

Dividend

What is BeiGene's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.0%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 49B's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 49B's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 49B's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 49B's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 49B's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

John Oyler (51yo)

10.1yrs

Tenure

US$27,895,819

Compensation

Mr. John V. Oyler Co-Founded BeiGene, Ltd. and has been its Chief Executive Officer since 2010. Mr. Oyler Co-founded BioDuro, LLC and served as its Chief Executive Officer and President from 2005 to 2009.  ...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD27.90M) is above average for companies of similar size in the German market ($USD4.31M).

Compensation vs Earnings: John's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
John Oyler
Co-Founder10.1yrsUS$27.90m6.27% $763.3m
Xiaobin Wu
GM of China & President1.8yrsUS$21.74m0.068% $8.3m
Xiaodong Wang
Co-Founder9.1yrsUS$6.06m0.74% $90.0m
Heng Liang
CFO & Chief Strategy Officer4.6yrsUS$3.94m0.00072% $87.7k
Jane Huang
Chief Medical Officer of Hematology3.4yrsUS$3.46m0.019% $2.4m
Lucy Li
Investor Contact0yrsno datano data
Scott Samuels
Senior VP & General Counsel0yrsno datano data
Luo Lusong
Head of Discovery Biology & Senior VP9.3yrsno datano data
Steven Young
Acting Head of Medicinal Chemistry & Member of Scientific Advisory Board0yrsno datano data
Wei Min
Head of Molecular Sciences and Senior Vice President3.4yrsno datano data

4.6yrs

Average Tenure

56yo

Average Age

Experienced Management: 49B's management team is considered experienced (4.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Oyler
Co-Founder10.1yrsUS$27.90m6.27% $763.3m
Xiaodong Wang
Co-Founder9.1yrsUS$6.06m0.74% $90.0m
Steven Young
Acting Head of Medicinal Chemistry & Member of Scientific Advisory Board0yrsno datano data
Thomas Malley
Independent Non-Executive Director4.1yrsUS$368.54k0.040% $4.8m
Donald Glazer
Independent Non-Executive Director7yrsUS$358.54k0.36% $44.1m
Ronald Levy
Member of Scientific Advisory Board0yrsno datano data
Neal Rosen
Member of Scientific Advisory Board0yrsno datano data
Charles Sawyers
Member of Scientific Advisory Board0yrsno datano data
David Schenkein
Member of Scientific Advisory Board0yrsno datano data
Nuoqing Yi
Independent Non-Executive Director5.3yrsUS$373.54k0.015% $1.8m

6.2yrs

Average Tenure

58yo

Average Age

Experienced Board: 49B's board of directors are considered experienced (6.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15%.


Top Shareholders

Company Information

BeiGene, Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BeiGene, Ltd.
  • Ticker: 49B
  • Exchange: DB
  • Founded: 2010
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$13.175b
  • Listing Market Cap: US$12.179b
  • Shares outstanding: 77.14m
  • Website: https://www.beigene.com

Number of Employees


Location

  • BeiGene, Ltd.
  • No.30 Science Park Road
  • Zhong-Guan-Cun Life Science Park
  • Beijing
  • 102206
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BGNENasdaqGS (Nasdaq Global Select)YesSPONSORED ADRUSUSDFeb 2016
49BADB (Deutsche Boerse AG)YesSPONSORED ADRDEEURFeb 2016
BGNE NBMV (Bolsa Mexicana de Valores)YesSPONSORED ADRMXMXNFeb 2016
49BDB (Deutsche Boerse AG)Ordinary SharesDEEURAug 2018
6160SEHK (The Stock Exchange of Hong Kong Ltd.)Ordinary SharesHKHKDAug 2018

Biography

BeiGene, Ltd., a commercial-stage biotechnology company, develops and commercializes molecularly-targeted and immuno-oncology drugs for the treatment of cancer in the People’s Republic of China, the United States, and internationally. Its commercial products include ABRAXANE, a chemotherapy product for the treatment of breast, non-small cell lung, pancreatic, and gastric cancers; REVLIMID, an oral immunomodulatory drug for the treatment of multiple myeloma in combination with dexamethasone; and VIDAZA, a pyrimidine nucleoside analog for the treatment of intermediate-2 and myelodysplastic syndromes, chronic myelomonocyte leukemia, and acute myeloid leukemia with 20% to 30% blasts and multi-lineage dysplasia. The company’s clinical stage drug candidates include BGB-3111, a small molecule Bruton’s tyrosine kinase (BTK) inhibitor for the treatment of lymphomas; BGB-A317, a humanized monoclonal antibody for solid and hematological cancers; and BGB-290, a small molecule inhibitor of PARP1 and PARP2 for the treatment of homologous recombination deficient cancers. In addition, its clinical stage drugs include BGB-283, a small molecule RAF dimer inhibitor to treat cancers with aberrations in the mitogen-activated protein kinase pathway; BGB-A333, a humanized monoclonal antibody for the immune checkpoint receptor ligand PD-L1; BGB-A425, a TIM-3 inhibitor; MGCD-0516, a multi-kinase inhibitor; CC-122, a cereblon modulator; and BGB-3245, an oral small molecule inhibitor of specific BRAF mutations, including B-RAF non-V600 mutations and RAF fusions for various solid tumor indications. The company has collaborations with Celgene Corporation, Merck KGaA, Mirati Therapeutics, Inc., Zymeworks, BioAtla, LLC, and Ambrx, Inc. BeiGene, Ltd. was founded in 2010 and is headquartered in Beijing, the People’s Republic of China. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 23:37
End of Day Share Price2020/02/19 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.