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000963.SZ

STRONG BUYREMOVE

Huadong Medicine Co., Ltd · Healthcare · China · $7.5B · Avg Vol: $58M/d

84
StockRank
Q
72
V
62
M
37
P/E (TTM)
14.4x
ROE
13.8%
D/E
0.1x
Dividend %
3.2%
Director Trades · 180d
None in 180d →
Buybacks · 180d
None in 180d →
AI CONVICTION THESIS

Huadong Medicine is a diversified Chinese healthcare firm, but it is not a pure-play global CDMO and faces domestic regulatory headwinds (VBP) in China, reducing its appeal as a high-conviction compounder.

COMPANY DESCRIPTION

Huadong Medicine Co., Ltd operates across pharmaceutical manufacturing, medical aesthetics, and pharmaceutical distribution. The company holds a leading position in China's immunology and diabetes markets, complemented by a rapidly growing global medical aesthetics portfolio. It is a highly diversified healthcare giant transitioning successfully from generic drugs to innovative biopharmaceuticals and high-end aesthetics.

FINANCIAL SUMMARY

Year2022202320242025CAGR
Revenue5.6B6.0B6.2B6.4B5.0%
EPS0.210.240.300.2910.9%
Shares1.8B1.8B1.8B1.8B+0.0%
Debt330M260M403M306M-2.4%
Equity2.7B3.1B3.4B3.7B10.1%
Op CF352M581M554M627M21.2%
Inv CF-360M-259M-321M-247M—
Fin CF-15M-206M-111M-417M—
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PRICE (1M)-13.0%
4.114.324.544.754.96Apr 30May 26Jun 15
SMA 50SMA 200
Close
$4.29
RSI (14)
53.6
52W High
$6.80
From 52W High
0.6%

SCORE BREAKDOWN

Quality
72
ROIC
15.8%86.6
ROE
13.8%80.3
GP/Assets
37.0%75.8
Op. Margin
10.7%67.7
FCF/Assets
6.3%75.9
Piotroski
—83.5
Int. Cover
47.7x82.5
D/E Ratio
0.08x68.2
Current Ratio
1.67x29.3
Value
62
P/E (TTM)
14.4x74.6
EV/EBITDA
9.8x42.7
P/FCF
141.2x55.7
P/B
2.0x56.0
P/S
1.1x81.7
Div Yield
3.2%73.5
Momentum
37
52W High %
63%45.3
RS 6M
-38%31.5
SMA 50/200
0.85x21.2
EPS Rev 4W
—N/A
EPS Rev 12W
—N/A
EPS Improve
+26%37.8
Q Growth
10%51.9

FUNDAMENTALS

Market Cap
$7.5B
P/E (Forward)
11.5x
Gross Margin
32.6%

SECTOR PEERS

Closest peers in Healthcare, ranked by industry match, size, and score similarity. Cross-listings of 000963.SZ are excluded.

TickerCompanyMkt CapStockRankSignal
000963.SZHuadong Medicine Co., Ltd(you)$7.5B84STRONG BUY
000999.SZChina Resources Sanjiu Medical & Pharmaceutical Co., Ltd.$6.0B87STRONG BUY
600329.SSTianjin Pharmaceutical Da Ren Tang Group Corporation Limited$4.6B87STRONG BUY
000538.SZYunnan Baiyao Group Co.,Ltd$13.2B91STRONG BUY
600535.SSTasly Pharmaceutical Group Co., Ltd$3.1B86STRONG BUY
000513.SZLivzon Pharmaceutical Group Inc.$4.0B94STRONG BUY
002262.SZJiangsu Nhwa Pharmaceutical Co., LTD$3.0B79BUY
2096.HKSimcere Pharmaceutical Group Limited$3.3B91STRONG BUY
600085.SSBeijing Tongrentang Co., Ltd$5.2B67BUY
3692.HKHansoh Pharmaceutical Group Company Limited$24.3B83STRONG BUY

Peer medians: ROE 4.7% · P/E 27.9x · Gross margin 53.1%

Huadong Medicine Co., Ltd (000963.SZ) — Stock Score Summary

Huadong Medicine Co., Ltd (000963.SZ) has a MoatMap StockRank of 84/100 based on Quality (72/100), Value (62/100), and Momentum (37/100) factor scores. The current signal is STRONG BUY. Huadong Medicine is a diversified Chinese healthcare firm, but it is not a pure-play global CDMO and faces domestic regulatory headwinds (VBP) in China, reducing its appeal as a high-conviction compounder.

Huadong Medicine Co., Ltd operates across pharmaceutical manufacturing, medical aesthetics, and pharmaceutical distribution. The company holds a leading position in China's immunology and diabetes markets, complemented by a rapidly growing global medical aesthetics portfolio. It is a highly diversified healthcare giant transitioning successfully from generic drugs to innovative biopharmaceuticals and high-end aesthetics.

Key Financial Metrics

Price$4.29
Market Cap$7.5B
P/E (TTM)14.43
P/E (Forward)11.47
Price/Book1.97
Return on Equity13.8%
Return on Invested Capital15.8%
Debt/Equity8.28
Gross Margin32.6%
Operating Margin10.7%
Revenue Growth4.2%
Dividend Yield3.2%
Free Cash Flow$53M

Huadong Medicine Co., Ltd operates in the Drug Manufacturers - Specialty & Generic industry, part of the Healthcare sector (China).

Frequently Asked Questions

What is Huadong Medicine Co., Ltd’s (000963.SZ) StockRank?
MoatMap’s StockRank for Huadong Medicine Co., Ltd (000963.SZ) is 84/100, with a Strong Buy signal. It is a composite of Quality (72), Value (62), and Momentum (37) factor ranks across MoatMap’s 19,000+ stock universe.
Does Huadong Medicine Co., Ltd have an economic moat?
Huadong Medicine Co., Ltd (000963.SZ) has a Quality factor score of 72/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Huadong Medicine Co., Ltd a buy, hold, or sell?
MoatMap’s current signal for Huadong Medicine Co., Ltd (000963.SZ) is Strong Buy, based on a StockRank of 84/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Huadong Medicine Co., Ltd in?
Huadong Medicine Co., Ltd (000963.SZ) operates in the Healthcare sector, specifically the Drug Manufacturers - Specialty & Generic industry (China).
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