CSPC Pharmaceutical Group Ltd 01093

Morningstar Rating
HK$6.81 +0.59 (9.49%)
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Company Report

CSPC Is a Leading Chinese Pharmaceutical Company With Diversified Pipeline Portfolios

CSPC is one of the largest and oldest pharmaceutical companies in China. Anchored by its nervous system business segment due to its flagship drug NBP, CSPC has a portfolio of innovative and generic drugs covering a wide range of diseases. NBP is a Class 1 new chemical drug for acute ischemic stroke. Class 1 drugs under the Chinese classification system are innovative drugs that have never been marketed globally. Thanks to its portfolio breadth, CSPC has been growing its revenue with a 10-year historical compounded annual growth rate of 25.0%, exceeding GDP growth.

Price vs Fair Value

01093 is trading at a 571% premium.
Price
HK$6.81
Fair Value
HK$8.50
Uncertainty
High
1-Star Price
HK$27.58
5-Star Price
HK$2.28
Economic Moat
Rksdkq
Capital Allocation
Jgdvytcy

Bulls Say, Bears Say

Bulls

Lack of generic drug substitutes for NBP which allows NBP to continue to bring in more revenue as an off-patent drug.

Bears

NBP’s generic drug entry turns out to be earlier than we expected, leading to a significant revenue decrease in the next three years.

News

Trading Information

Previous Close Price
HK$6.22
Day Range
HK$6.166.87
52-Week Range
HK$4.457.41
Bid/Ask
HK$6.80 / HK$6.81
Market Cap
HK$78.97 Bil
Volume/Avg
155.2 Mil / 73.4 Mil

Key Statistics

Price/Earnings (Normalized)
11.71
Price/Sales
2.35
Dividend Yield (Trailing)
4.11%
Dividend Yield (Forward)
4.70%
Total Yield
4.60%

Company Profile

CSPC Pharmaceutical Group listed on the Hong Kong Stock Exchange in 1994 and is one of the largest pharmaceutical companies in China. Its biggest business segment is the finished drugs segment which accounts for nearly 80% of its total revenue. Now it has a diversified pipeline portfolio in seven therapeutic areas including nervous system diseases, oncology, anti-infective to cardiovascular disease, respiratory system disease, and metabolism. CSPC also has a bulk drug product segment including vitamin C, antibiotics, and a caffeine series.
Sector
Healthcare
Industry
Drug Manufacturers - General
Stock Style Box
Large Value
Total Number of Employees
20,300

Competitors

Valuation

Metric
01093
01801
01177
Price/Earnings (Normalized)
11.7126.18
Price/Book Value
2.147.102.14
Price/Sales
2.3510.122.64
Price/Cash Flow
17.376,239.1910.91
Price/Earnings
01093
01801
01177

Financial Strength

Metric
01093
01801
01177
Quick Ratio
2.202.461.07
Current Ratio
2.542.681.15
Interest Coverage
196.14−19.0812.68
Quick Ratio
01093
01801
01177

Profitability

Metric
01093
01801
01177
Return on Assets (Normalized)
13.78%−2.47%4.25%
Return on Equity (Normalized)
19.03%−4.60%8.93%
Return on Invested Capital (Normalized)
17.32%−5.53%5.91%
Return on Assets
01093
01801
01177

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