Adagene Inc.

NasdaqGM:ADAG Stock Report

Market Cap: US$250.4m

Adagene Valuation

Is ADAG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of ADAG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: Insufficient data to calculate ADAG's future cash flow value for valuation analysis.

Significantly Below Future Cash Flow Value: Insufficient data to calculate ADAG's future cash flow value for valuation analysis.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ADAG?

Key metric: As ADAG is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ADAG. This is calculated by dividing ADAG's market cap by their current revenue.
What is ADAG's PS Ratio?
PS Ratio31.5x
SalesUS$7.67m
Market CapUS$250.42m

Price to Sales Ratio vs Peers

How does ADAG's PS Ratio compare to its peers?

The above table shows the PS ratio for ADAG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average19.1x
FATE Fate Therapeutics
39.4x58.60%US$253.5m
VYGR Voyager Therapeutics
6.9x18.40%US$248.9m
IRD Opus Genetics
26.1x48.14%US$365.6m
ARCT Arcturus Therapeutics Holdings
4.3x46.94%US$245.4m
ADAG Adagene
31.5x14.05%US$250.4m

Price-To-Sales vs Peers: ADAG is expensive based on its Price-To-Sales Ratio (31.5x) compared to the peer average (19.1x).

Historical Price to Sales Ratio

Historical Price to Sales Ratio compares a stock's price to its sales over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Sales Ratio vs Industry

How does ADAG's PS Ratio compare vs other companies in the US Biotechs Industry?

122 CompaniesPrice / SalesEstimated GrowthMarket Cap
BIIB Biogen
3x2.40%US$29.22b
INCY Incyte
3.7x-2.06%US$20.04b
BMRN BioMarin Pharmaceutical
3.2x10.25%US$10.16b
ACAD ACADIA Pharmaceuticals
3.4x10.12%US$3.73b
ADAG 31.5xIndustry Avg. 9.7xNo. of Companies122PS01632486480+
122 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ADAG is expensive based on its Price-To-Sales Ratio (31.5x) compared to the US Biotechs industry average (9.7x).

Price to Sales Ratio vs Fair Ratio

What is ADAG's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ADAG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio31.5x
Fair PS Ratio5.8x

Price-To-Sales vs Fair Ratio: ADAG is expensive based on its Price-To-Sales Ratio (31.5x) compared to the estimated Fair Price-To-Sales Ratio (5.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ADAG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$3.66
US$9.40
+156.83%
26.57%US$14.00US$7.00n/a5
May ’27US$3.82
US$9.40
+146.07%
26.57%US$14.00US$7.00n/a5
Apr ’27US$4.61
US$8.25
+78.96%
10.05%US$9.00US$7.00n/a4
Mar ’27US$2.96
US$8.00
+170.27%
11.18%US$9.00US$7.00n/a5
Feb ’27US$2.75
US$9.22
+235.43%
55.67%US$21.07US$3.50n/a7
Jan ’27US$1.89
US$9.22
+388.06%
55.67%US$21.07US$3.50n/a7
Dec ’26US$1.88
US$9.22
+390.65%
55.67%US$21.07US$3.50n/a7
Nov ’26US$1.78
US$9.51
+434.49%
63.52%US$21.07US$3.50n/a5
Oct ’26US$2.00
US$9.51
+375.70%
63.52%US$21.07US$3.50n/a5
Sep ’26US$2.13
US$9.64
+352.70%
70.01%US$21.07US$3.50n/a4
Aug ’26US$1.92
US$10.86
+465.45%
68.64%US$21.07US$3.50n/a3
Jul ’26US$1.85
US$5.75
+210.81%
39.13%US$8.00US$3.50n/a2
Jun ’26US$1.94
US$5.75
+196.39%
39.13%US$8.00US$3.50n/a2
May ’26US$1.58
US$10.19
+544.73%
64.18%US$19.06US$3.50US$3.823
Apr ’26US$1.82
US$10.19
+461.25%
64.18%US$19.06US$3.50US$4.613
Mar ’26US$2.01
US$10.19
+406.80%
64.18%US$19.06US$3.50US$2.963
Feb ’26US$1.90
US$10.19
+436.14%
64.18%US$19.06US$3.50US$2.753
Jan ’26US$1.99
US$8.09
+306.53%
78.61%US$19.06US$3.50US$1.894
Dec ’25US$2.34
US$8.09
+246.47%
78.61%US$19.06US$3.50US$1.884
Nov ’25US$3.00
US$9.22
+207.17%
63.20%US$19.06US$4.80US$1.784
Oct ’25US$2.18
US$9.15
+319.84%
62.47%US$18.81US$4.80US$2.004
Sep ’25US$2.80
US$9.15
+226.87%
62.47%US$18.81US$4.80US$2.134
Aug ’25US$2.59
US$9.20
+255.32%
61.73%US$18.81US$5.00US$1.924
Jul ’25US$3.05
US$9.20
+201.72%
61.73%US$18.81US$5.00US$1.854
US$9.4
Fair Value
61.1% undervalued intrinsic discount
5
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/05/12 00:52
End of Day Share Price 2026/05/12 00:00
Earnings2025/12/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Adagene Inc. is covered by 8 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ziyi ChenGoldman Sachs
Paul JengGuggenheim Securities, LLC
Yu HeH.C. Wainwright & Co.