YiChang HEC ChangJiang Pharmaceutical Co Ltd
HKEX:1558
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (3.5), the stock would be worth HK$3.17 (80% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 17.6 | HK$15.88 |
0%
|
| 3-Year Average | 3.5 | HK$3.17 |
-80%
|
| 5-Year Average | 3.5 | HK$3.17 |
-80%
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| Industry Average | 23.4 | HK$21.13 |
+33%
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| Country Average | 28.9 | HK$26.05 |
+64%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
HK$13.4B
|
/ |
Jan 2025
¥669m
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= |
|
|
HK$13.4B
|
/ |
Dec 2025
¥1.9B
|
= |
|
|
HK$13.4B
|
/ |
Dec 2026
¥2B
|
= |
|
|
HK$13.4B
|
/ |
Dec 2027
¥2.1B
|
= |
|
Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| CN |
Y
|
YiChang HEC ChangJiang Pharmaceutical Co Ltd
HKEX:1558
|
14B HKD | 17.6 | 25.5 | |
| US |
|
Eli Lilly and Co
NYSE:LLY
|
835.2B USD | 28.9 | 40 | |
| US |
|
Johnson & Johnson
NYSE:JNJ
|
547.8B USD | 21.2 | 25.8 | |
| CH |
|
Roche Holding AG
SIX:ROG
|
248.4B CHF | 13.4 | 20.1 | |
| UK |
|
AstraZeneca PLC
LSE:AZN
|
216.7B GBP | 21.9 | 28.1 | |
| CH |
|
Novartis AG
SIX:NOVN
|
218.2B CHF | 15.6 | 19.6 | |
| US |
|
Merck & Co Inc
NYSE:MRK
|
276.9B USD | 11.4 | 15 | |
| IE |
E
|
Endo International PLC
LSE:0Y5F
|
244.4B USD | 970 | -83.6 | |
| DK |
|
Novo Nordisk A/S
CSE:NOVO B
|
1.2T DKK | 9.8 | 11.4 | |
| US |
|
Pfizer Inc
NYSE:PFE
|
153.5B USD | 10.1 | 19.6 | |
| US |
|
Bristol-Myers Squibb Co
NYSE:BMY
|
118.2B USD | 8.8 | 16.6 |
Market Distribution
| Min | 0 |
| 30th Percentile | 16.6 |
| Median | 28.9 |
| 70th Percentile | 52.9 |
| Max | 49 021 |
Other Multiples
YiChang HEC ChangJiang Pharmaceutical Co Ltd
Glance View
YiChang HEC ChangJiang Pharmaceutical Co Ltd, situated in the heart of China's burgeoning biotech industry, operates as a dynamic player within the pharmaceutical landscape. Established as a crucial segment of the larger HEC Group, the company has carved a niche in pharmaceutical manufacturing and research. It specializes primarily in the development and production of antiviral drugs, with a broader portfolio spanning antibiotics, cardiovascular medicines, and various health supplements. This diversification strategy enables YiChang HEC to mitigate risks associated with market fluctuations and position itself resiliently in the ever-evolving world of pharmaceuticals. The company thrives by leveraging its extensive R&D capabilities and stringent quality control measures, which remain at the core of its value proposition, ensuring that each product not only meets but often exceeds global standards. Revenue generation at YiChang HEC hinges on its adeptness at spearheading cutting-edge pharmaceutical innovations while maintaining a robust pipeline of commercially viable products. By strategically investing in research and development, the company nurtures a sustainable growth trajectory, continually capitalizing on the rising global demand for healthcare solutions. The sales from their proprietary antiviral medications contribute significantly to their bottom line, supplemented by revenue from contract manufacturing services, where they harness excess production capacity to manufacture pharmaceuticals for third parties. Additionally, YiChang HEC effectively utilizes an integrated business model that spans from research and production to sales and distribution, thereby optimizing economies of scale and operational efficiency. This comprehensive approach underpins the company's ability to secure a strong foothold both domestically and in international markets.