# HUTCHMED (China) Limited (HCM.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Healthcare / Biotechnology. Price 206p, market value 1.8 billionp.

## Valuation
- **P/E (trailing): 206.3×** (5-yr avg 2732.7×, 3-yr avg 2732.7×). HUTCHMED (China) Limited trades at 206.3× trailing earnings, well below its own five-year average of 2732.7×: cheap by its own standards. The Healthcare median in the September 2026 study was 28.5×. Forward P/E is 42.5×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.04**. A PEG of 0.04 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 4.4×**. Each dollar of revenue is priced at 4.4×.
- **Price / book: 1.9×**. The shares trade at 1.9× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: -3.2%** (5-yr avg -0.0%). Free cash flow is negative: the business is consuming cash, which is normal for heavy investment phases but a warning otherwise.
- **Earnings yield: 0.5%**. The inverse of the P/E: 0.5% of the price is earned each year.

## Profitability
- **Gross margin: 38.7%**. HUTCHMED (China) Limited keeps 38.7% of revenue after the direct cost of what it sells.
- **Operating margin: -10.0%**. Operating margin is negative: the business loses money before interest and tax.
- **Net margin: 83.3%**. 83.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 37.0%**. 37.0% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 152.6%**. Return on all capital, debt included, is 152.6%: comfortably above what that capital costs.
- **Return on assets: 26.1%**. Each dollar of assets produces 26.1% of profit.

## Growth
- **Revenue growth (1 yr): -12.9%** (3-yr 8.8%/yr, 5-yr 19.2%/yr). Revenue fell 12.9% over the last year, against 19.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 1103.7%**. Earnings per share rose 1103.7%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Debt to equity: 0.08**. Debt is 0.08 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 30.7×**. It would take 30.7 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: -19.1×**. Operating profit covers interest only -19.1×: fragile.
- **Current ratio: 4.96** (quick 4.83). Current assets cover the next year's liabilities 4.96 times.
- **Altman Z-score: 4.21**. A Z-score of 4.21 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. HUTCHMED (China) Limited does not currently pay a dividend.

## Analyst view
- **Analyst consensus: buy** (7 analysts). 7 analysts cover HUTCHMED (China) Limited; the consensus is buy, with an average price target of 328p (+59% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -9.2%** (YTD 1.9%, 3-mo 28.7%). The shares are down 9.2% over twelve months including dividends.
- **From 52-week high: -22.4%** (37.1% above the low). Trading 22% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 71**. An RSI of 71 is in overbought territory; short-term pullbacks are common from here.
- **Beta (1 yr): 0.49** (volatility 44%). Beta of 0.49 against the FTSE All-Share: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=HCM.L · Page: https://foliofundamentals.com/stocks/hcm.l

Not investment advice.