SEHK:1548

Stock Analysis Report

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Market Cap

HK$69.2b

Last Updated

2021/06/24 10:18 UTC

Data Sources

Company Financials +

Executive Summary

Genscript Biotech Corporation, an investment holding company, engages in the manufacture and sale of life science research products and services in North America, Europe, China, Japan, the other Asia Pacific regions, and internationally. More Details


Snowflake Analysis

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 1548 is more volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: 1548's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of Hong Kong stocks.


Market Performance


7 Day Return

11.2%

1548

17.0%

HK Life Sciences

0.7%

HK Market


1 Year Return

113.7%

1548

164.6%

HK Life Sciences

21.9%

HK Market

Return vs Industry: 1548 underperformed the Hong Kong Life Sciences industry which returned 164.6% over the past year.

Return vs Market: 1548 exceeded the Hong Kong Market which returned 21.9% over the past year.


Shareholder returns

1548IndustryMarket
7 Day11.2%17.0%0.7%
30 Day34.8%27.0%-0.9%
90 Day142.7%58.3%1.2%
1 Year113.7%113.7%164.6%164.6%26.1%21.9%
3 Year66.8%66.8%218.9%216.6%15.4%3.0%
5 Year2,826.2%2,816.0%243.9%234.9%56.3%30.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1548 (HK$34.7) is trading below our estimate of fair value (HK$35.18)

Significantly Below Fair Value: 1548 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 1548 is unprofitable, so we can't compare its PE Ratio to the Asian Life Sciences industry average.

PE vs Market: 1548 is unprofitable, so we can't compare its PE Ratio to the Hong Kong market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1548's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1548 is overvalued based on its PB Ratio (9.7x) compared to the HK Life Sciences industry average (9.3x).


Future Growth

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

58.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1548 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 1548 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 1548 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 1548's revenue (25.7% per year) is forecast to grow faster than the Hong Kong market (12.8% per year).

High Growth Revenue: 1548's revenue (25.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1548 is forecast to be unprofitable in 3 years.


Past Performance

How has Genscript Biotech performed over the past 5 years?

-75.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1548 is currently unprofitable.

Growing Profit Margin: 1548 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1548 is unprofitable, and losses have increased over the past 5 years at a rate of 75.4% per year.

Accelerating Growth: Unable to compare 1548's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1548 is unprofitable, making it difficult to compare its past year earnings growth to the Life Sciences industry (66.3%).


Return on Equity

High ROE: 1548 has a negative Return on Equity (-34.51%), as it is currently unprofitable.


Financial Health

How is Genscript Biotech's financial position?


Financial Position Analysis

Short Term Liabilities: 1548's short term assets ($993.2M) exceed its short term liabilities ($327.9M).

Long Term Liabilities: 1548's short term assets ($993.2M) exceed its long term liabilities ($303.9M).


Debt to Equity History and Analysis

Debt Level: 1548's debt to equity ratio (5.6%) is considered satisfactory.

Reducing Debt: 1548's debt to equity ratio has increased from 0.02% to 5.6% over the past 5 years.


Balance Sheet


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: 1548 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 1548 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is Genscript Biotech current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1548's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1548'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 1548's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1548's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 1548 is not paying a notable dividend for the Hong Kong market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 1548's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Patrick Liu (44 yo)

0.83

Tenure

Dr. Zhenyu Liu, also known as Patrick, serves as the Chief Executive Officer of Genscript Biotech Corporation since August 2, 2020. He has management experience in the life science and biologics developmen...


Leadership Team

Experienced Management: 1548's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: 1548's board of directors are not considered experienced ( 2.6 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: 1548 insiders have only sold shares 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 8.7%.


Top Shareholders

Company Information

Genscript Biotech Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Genscript Biotech Corporation
  • Ticker: 1548
  • Exchange: SEHK
  • Founded: 2002
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: HK$69.182b
  • Shares outstanding: 2.08b
  • Website: https://www.genscript.com

Number of Employees


Location

  • Genscript Biotech Corporation
  • Jiangning Science Park
  • No. 28, Yongxi Road
  • Nanjing
  • Jiangsu Province
  • 211122
  • China

Listings


Biography

Genscript Biotech Corporation, an investment holding company, engages in the manufacture and sale of life science research products and services in North America, Europe, China, Japan, the other Asia Pacif...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/24 10:18
End of Day Share Price2021/06/24 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.