Trinity Delta view: HUTCHMED’s path to profitability is supported by growing traction and market share capture of its China oncology products, potential launch (by partner Takeda) of the first HUTCHMED discovered and developed drug ex-China, and a solid balance sheet. As fruquintinib is a material near-term opportunity ex-China, investors are understandably focused on its November PDUFA date, this should be followed by a European EMA decision in 2024 (Japan PDMA submission is expected this year). A second global asset, savolitinib, is completing multiple pivotal trials with potential for filing(s) in 2024. HUTCHMED is also on the cusp of first China filing(s) for its second-wave haem-oncology assets and we expect these to feature in the Q423 Capital Markets Day. Our last published valuation of US$5.5bn (US$32.01 per ADS), £4.6bn and HK$43.2bn (534p or HK$49.94 per share), does not yet reflect the interim results and business update.
Lighthouse
1 August 2023
Price (US ADS) (UK share) (SEHK share) | US$14.07 223.25p HK$23.75 |
Market Cap   | US$2.43bn £1.93bn HK$20.57bn |
Exchanges | NASDAQ AIM London SEHK |
Sector | Healthcare |
Company Codes | HCM HCM.L 0013.HK |
Corporate client | Yes |
Company description
HUTCHMED is a Hong Kong headquartered biopharma focused on discovering, developing and commercializing innovative targeted therapeutics and immunotherapies to treat cancer and autoimmune diseases. It has a diverse pipeline of first-in-class/best-in-class selective oral TKIs in development for the China and global markets.
Analysts
Lala Gregorek
lgregorek@trinitydelta.org
+44 (0) 20 3637 5043
Philippa Gardner
pgardner@trinitydelta.org
+44 (0) 20 3637 5042
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