HUTCHMED (China) Limited American Depositary Shares (HCM)

FairStock Score: 57/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Graham-style investor, I start with price and value. HUTCHMED closed at $13.50 on 2026-10-13 with a $2.4B market cap. FairStock’s calculations show a P/E of 135 and P/B of 1.86. The Graham Number is $1.80, giving a margin of safety of -650%; that tells me the market price is not supported by current earnings and book value. Returns are weak: ROE 1.46%, ROCE -1.24%. A Piotroski F-Score of 1/9 is poor. The balance sheet is a relative bright spot: D/E 0.07 and Altman Z-Score 3.39 suggest low leverage and limited near-term distress risk. Beta is 0.45. Business quality depends on the oncology and immunology pipeline, including Fruquintinib, but from the supplied numbers I cannot see a durable moat yet. The company has 1,790 employees, and FairStock gives it 57/100. No Lynch category is assigned because there are only 0 years of filed results, while three are needed; that is a history warning for me. Growth figures are N/A in the data, so I cannot underwrite a growth story. What I can say is that the current price already assumes a lot of future success. If approvals and commercialization turn into durable profits, today’s multiple could be justified. If not, negative returns on capital and a thin earnings base leave little valuation support. I would watch filings, pipeline milestones, and whether ROE/ROCE move toward positive territory.

In plain English: HUTCHMED develops and sells targeted cancer and immune treatments, mainly in China and internationally. The business looks financially weak on current profits and returns, though it carries little debt. At the 2026-10-13 close of $13.50, the price looks expensive relative to the company’s current earnings and book value, even if the pipeline could change that picture.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer