Legend Biotech Corporation American Depositary Shares (LEGN)

FairStock Score: 30/100 — RISKY

Key Financials

AI Analysis

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

I look for understandable businesses, durable competitive advantages, conservative finances, and a price that gives me a margin of safety. Legend Biotech is a biopharma company selling CAR-T cell therapies, led by cilta-cel for multiple myeloma. There is real commercial traction: in fiscal Q2 2026, revenue was $387.5M and net income was $33.2M, an 8.57% margin. That is a hopeful sign. But the full picture is still speculative. Trailing 12-month free cash flow is -$121.8M, and FairStock's FCF yield is -2.8%. FairStock's ROE is -8.08% and ROCE is -1.92%, so the business is not yet earning an adequate return on capital. At the 2026-10-13 close of $17.88, FairStock's P/B is 2.82, P/E is -35.76, and EV/EBITDA is 352.15. Those numbers show there is no earnings-based valuation anchor; the value rests on future pipeline and commercialization. The balance sheet is not stretched, with D/E of 0.23, an Altman Z-Score of 4.40, and a Piotroski F-Score of 6/9. But the FairStock Score is only 30/100, and the Lynch category is none because there are only 0 years of filed results when 3 are needed. Beta of 0.40 and a price near the 52-week low of $16.24 may attract contrarians, but I prefer a clearer margin of safety. This is a promising but unproven biotech, not a classic value bargain.

In plain English: Legend Biotech is a biotech company that develops cell-based cancer treatments, mainly for multiple myeloma. Sales are growing and it made a small profit in its latest quarter, but it still used more cash than it brought in and lost money over the past year. At its recent price near the low end of its one-year range, it does not look clearly cheap based on steady profits, because steady profits are not there yet.

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