DB:JSS

Stock Analysis Report

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Executive Summary

Sosei Group Corporation discovers, develops, and commercializes biopharmaceutical products worldwide.


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

1.6%

JSS

-1.3%

DE Pharmaceuticals

0.7%

DE Market


1 Year Return

-31.7%

JSS

16.0%

DE Pharmaceuticals

3.9%

DE Market

Return vs Industry: JSS underperformed the German Pharmaceuticals industry which returned 16% over the past year.

Return vs Market: JSS underperformed the German Market which returned 3.9% over the past year.


Shareholder returns

JSSIndustryMarket
7 Day1.6%-1.3%0.7%
30 Day-11.4%-1.6%1.4%
90 Day11.7%12.7%17.3%
1 Year-31.7%-31.7%19.8%16.0%6.2%3.9%
3 Yearn/a29.7%14.6%1.8%-6.2%
5 Yearn/a23.8%2.4%9.3%-5.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

13.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JSS (€12.4) is trading below our estimate of fair value (€14.25)

Significantly Below Fair Value: JSS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: JSS is unprofitable, so we can't compare its PE Ratio to the DE Pharmaceuticals industry average.

PE vs Market: JSS 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 JSS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: JSS is good value based on its PB Ratio (2.8x) compared to the DE Pharmaceuticals industry average (3.2x).


Next Steps

Future Growth

How is Sosei Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

25.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JSS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: JSS is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: JSS's is expected to become profitable in the next 3 years.

Revenue vs Market: JSS's revenue (8.1% per year) is forecast to grow faster than the German market (5.9% per year).

High Growth Revenue: JSS's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JSS's Return on Equity is forecast to be low in 3 years time (5.9%).


Next Steps

Past Performance

How has Sosei Group performed over the past 5 years?

-34.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JSS is currently unprofitable.

Growing Profit Margin: JSS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: JSS is unprofitable, and losses have increased over the past 5 years at a rate of -34.2% per year.

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

Earnings vs Industry: JSS is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (15.8%).


Return on Equity

High ROE: JSS has a negative Return on Equity (-0.79%), as it is currently unprofitable.


Next Steps

Financial Health

How is Sosei Group's financial position?


Financial Position Analysis

Short Term Liabilities: JSS's short term assets (¥18.4B) exceed its short term liabilities (¥1.7B).

Long Term Liabilities: JSS's short term assets (¥18.4B) exceed its long term liabilities (¥8.9B).


Debt to Equity History and Analysis

Debt Level: JSS is debt free.

Reducing Debt: JSS has no debt compared to 5 years ago when its debt to equity ratio was 133.2%.

Debt Coverage: JSS has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: JSS has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Sosei Group current dividend yield, its reliability and sustainability?

0.042%

Forecast Dividend Yield


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if JSS'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 JSS'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?

1.5yrs

Average management tenure


CEO

Shinichi Tamura (71yo)

1.5yrs

Tenure

JP¥182,000,000

Compensation

Mr. Shinichi Tamura is the founder of Sosei Co. Ltd. and has been its President and Representative Executive Officer since November 2006. Mr. Tamura is the Founder of Sosei Group Corporation and has been i ...


CEO Compensation Analysis

Compensation vs Market: Shinichi's total compensation ($USD1.70M) is about average for companies of similar size in the German market ($USD1.43M).

Compensation vs Earnings: Shinichi's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Shinichi Tamura
Founder1.5yrsJP¥182.00m1.42% ¥14.4m
Malcolm Weir
Executive Vice Chairman0.33yrJP¥134.00mno data
Chris Cargill
Executive Officer2.08yrsJP¥101.00mno data
Rob Cooke
Chief Technology Officer0.67yrno datano data
Miles Congreve
Chief Scientific Officer0.67yrno datano data
Shinichiro Nishishita
Vice President of Investor Relationsno datano datano data
Kazuhiko Yoshizumi
Executive Officer2.5yrsno datano data
Candelle Chong
Vice President of Corporate Strategy & Communicationsno datano datano data
Tim Tasker
Executive Officer2.5yrsno datano data
Tadayoshi Yasui
Executive Officer & Executive VP1.33yrsno data0.00099% ¥10.0k

1.5yrs

Average Tenure

61.5yo

Average Age

Experienced Management: JSS's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Shinichi Tamura
Founder1.5yrsJP¥182.00m1.42% ¥14.4m
Malcolm Weir
Executive Vice Chairman0.33yrJP¥134.00mno data
Rolf Kristian Berndtson Soderstrom
Independent External Director0.33yrno datano data
Tomohiro Tohyama
Independent External Director9.08yrsno data0.0071% ¥72.1k
Noriaki Nagai
External Independent Director1.33yrsno datano data
Kuniaki Kaga
Independent External Director2.08yrsno data0.0063% ¥64.1k
David Roblin
Independent External Director2.08yrsno data0.00011% ¥1.1k

2.1yrs

Average Tenure

63yo

Average Age

Experienced Board: JSS's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.4%.


Top Shareholders

Company Information

Sosei Group Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sosei Group Corporation
  • Ticker: JSS
  • Exchange: DB
  • Founded: 1990
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: JP¥122.516b
  • Listing Market Cap: JP¥1.014b
  • Shares outstanding: 80.50m
  • Website: https://soseiheptares.com

Number of Employees


Location

  • Sosei Group Corporation
  • PMO Hanzomon
  • 11th Floor
  • Tokyo
  • 102-0083
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOLT.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJul 2004
4565TSE (The Tokyo Stock Exchange)YesCommon SharesJPJPYJul 2004
JSSDB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2004

Biography

Sosei Group Corporation discovers, develops, and commercializes biopharmaceutical products worldwide. Its marketed products include Ultibro/Breezhaler and Seebri/Breezhaler for the treatment of chronic obstructive pulmonary disease; and ORAVI, an oropharyngeal candidiasis. The company’s product pipeline consists of AZD4635, an adenosine A2a antagonist, which is in Phase II clinical trial for the treatment of solid tumors and metastatic castration resistant prostate cancer; HTL0016878, a muscarinic M4 agonist, which is in Phase I clinical trial for the treatment of Alzheimer’s disease; and dual muscarinic M1/M4 agonist, which is in pre-clinical stage for the treatment of Alzheimer’s disease. It also develops HTL0014242, a mGlu5 small molecule negative-allosteric modulator, which is in Phase I clinical trial for the treatment of certain neurological order; SSTR agonist, a novel somatostatin peptide agonist, which is in Phase I clinical trial for the treatment of endocrine disorders; HTL0022562, a calcitonin gene related peptide antagonist, which is in pre-clinical stage for the treatment of migraine and other severe headaches; GLP-1 antagonist, a potent glucagon-like peptide-1 antagonist, which is in pre-clinical stage for the treatment of severe hypoglycaemia in rare diseases; and GLP-2 agonist, a potent glucagon-like peptide-2 agonist, which is in pre-clinical stage for the treatment of intestinal disorders. In addition, the company’s pipeline products include OX-1 antagonist to treat cocaine-use disorders; Apelin agonist for pulmonary arterial hypertension; GPR35 agonist to treat inflammatory bowel disease; H4 antagonist and PAR2 mAb for atopic dermatitis. Sosei Group Corporation has a strategic collaboration with Kymab, PeptiDream Inc., Pfizer, MorphoSys, Genentech, and Takeda Pharmaceutical Company Limited. The company was founded in 1990 and is headquartered in Tokyo, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 21:19
End of Day Share Price2020/07/10 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.