Latest Ratios: P/E Ratio 4.3x · EV/EBITDA N/A · ROE 45.3%. (2005–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.9B | $2.3B | $2.5B | $3.1B | $2.5B | $5.6B | $4.5B | $3.3B | $3.1B | $4.9B | $1.6B |
| Enterprise Value | $2.0B | $2.4B | $2.5B | $3.0B | $2.2B | $5.2B | $4.3B | $3.3B | $3.0B | $4.8B | $1.6B |
| P/E Ratio → | 4.26 | 5.13 | 65.50 | 30.18 | — | — | — | — | — | — | 138.47 |
| P/S Ratio | 3.52 | 4.23 | 3.99 | 3.76 | 5.87 | 15.62 | 19.61 | 16.29 | 14.33 | 20.17 | 7.53 |
| P/B Ratio | 1.55 | 1.86 | 3.26 | 4.23 | 3.93 | 5.35 | 8.61 | 10.67 | 7.44 | 10.03 | 7.98 |
| P/FCF | — | — | — | 16.87 | — | — | — | — | — | — | — |
| P/OCF | — | — | 5061.35 | 14.36 | — | — | — | — | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.28 | 3.89 | 3.52 | 5.20 | 14.67 | 18.74 | 15.86 | 14.05 | 19.95 | 7.43 |
| EV / EBITDA | — | — | — | 111.01 | — | — | — | — | — | — | — |
| EV / EBIT | — | — | — | 160.59 | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | 15.81 | — | — | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 38.7% | 38.7% | 44.6% | 54.1% | 27.0% | 27.5% | 17.3% | 21.8% | 32.8% | 27.1% | 27.7% |
| Operating Margin | -10.0% | -10.0% | -6.9% | 2.2% | -96.1% | -92.2% | -87.1% | -74.6% | -43.3% | -22.1% | -21.6% |
| Net Profit Margin | 83.3% | 83.3% | 6.0% | 12.0% | -84.6% | -54.7% | -55.2% | -51.7% | -34.9% | -11.1% | 5.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 45.3% | 45.3% | 5.0% | 14.6% | -43.0% | -25.0% | -30.2% | -29.2% | -16.7% | -7.8% | 7.6% |
| ROA | 30.3% | 30.3% | 3.0% | 8.7% | -30.0% | -18.6% | -21.1% | -21.3% | -13.2% | -5.7% | 4.1% |
| ROIC | -4.1% | -4.1% | -5.2% | 3.1% | -58.5% | -48.1% | -54.4% | -39.6% | -17.7% | -13.0% | -22.2% |
| ROCE | -4.7% | -4.7% | -4.9% | 2.4% | -47.2% | -40.4% | -43.3% | -38.3% | -19.7% | -14.4% | -23.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.08 | 0.08 | 0.12 | 0.12 | 0.04 | 0.04 | 0.07 | 0.11 | 0.07 | 0.07 | 0.28 |
| Debt / EBITDA | — | — | — | 3.24 | — | — | — | — | — | — | — |
| Net Debt / Equity | — | 0.02 | -0.08 | -0.27 | -0.45 | -0.33 | -0.38 | -0.28 | -0.14 | -0.11 | -0.11 |
| Net Debt / EBITDA | — | — | — | -7.43 | — | — | — | — | — | — | — |
| Debt / FCF | — | — | — | -1.06 | — | — | — | — | — | — | — |
| Interest Coverage | -19.05 | -19.05 | -15.22 | 24.21 | -628.48 | -363.43 | -252.37 | -136.00 | -84.88 | -35.79 | -28.02 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 4.96 | 4.96 | 2.83 | 2.72 | 2.37 | 3.89 | 3.35 | 2.80 | 4.33 | 4.13 | 1.76 |
| Quick Ratio | 4.83 | 4.83 | 2.70 | 2.60 | 2.21 | 3.77 | 3.23 | 2.66 | 4.19 | 4.02 | 1.62 |
| Cash Ratio | 4.33 | 4.33 | 2.22 | 2.20 | 1.78 | 3.25 | 2.75 | 1.92 | 3.52 | 3.43 | 1.09 |
| Asset Turnover | — | 0.31 | 0.49 | 0.65 | 0.41 | 0.26 | 0.31 | 0.44 | 0.40 | 0.40 | 0.63 |
| Inventory Turnover | 8.20 | 8.20 | 6.92 | 7.65 | 5.49 | 7.22 | 9.54 | 9.88 | 11.69 | 14.91 | 12.19 |
| Days Sales Outstanding | — | 98.11 | 97.15 | 65.53 | 108.47 | 151.41 | 76.64 | 137.48 | 74.75 | 86.63 | 82.00 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | 3.5% | 1.8% | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 23.5% | 19.5% | 1.5% | 3.3% | — | — | — | — | — | — | 0.7% |
| FCF Yield | — | — | — | 5.9% | — | — | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 1.4% | 0.3% | 1.9% | 0.5% | 0.3% | 0.0% | 0.2% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 1.4% | 0.3% | 5.4% | 2.3% | 0.3% | 0.0% | 0.2% | 0.0% | 0.0% |
| Shares Outstanding | — | $175M | $175M | $174M | $169M | $159M | $140M | $133M | $133M | $123M | $120M |
Lumpy milestone revenue dependency
According to recent market data, HUTCHMED trades at a trailing P/E of 3.91, a figure that appears highly distorted by non-recurring licensing gains rather than reflecting the underlying earnings power of its core oncology research and commercial distribution segments.
The disconnect between the trailing P/E and the forward P/E of 40.57 suggests that investors are pricing the company based on the expected long-term NPV of its pipeline rather than current profitability. This valuation approach warrants caution, as it assumes consistent milestone recognition that has historically proven volatile.
Based on reported financial statements, the company's ROIC has struggled to maintain positive territory, recently dipping to -0.2% in 2025Q2, which highlights the difficulty of generating sustainable returns while simultaneously funding an extensive and capital-intensive clinical trial pipeline.
The decay in ROIC relative to the 2023Q1 peak of 8.7% underscores the structural challenge of balancing high-growth R&D investments with the need for operational efficiency. Investors should monitor whether the transition to royalty-based revenue can eventually drive returns above the company's cost of capital.
As reported in recent filings, the cash conversion cycle has expanded to 101 days in 2025Q2, suggesting that the company's operational efficiency is periodically constrained by the timing of receivables and inventory management within its legacy distribution business.
The elevated DSO of 96 days indicates potential friction in collecting payments from the Chinese healthcare ecosystem, which may be impacting liquidity. This inefficiency appears to be a structural byproduct of the 'Other Ventures' segment rather than a failure of the core oncology business.
As indicated by the balance sheet data, HUTCHMED maintains a highly conservative capital structure with a debt-to-equity ratio of 0.08 as of 2025Q2, reflecting a strategic preference for equity-based funding over traditional debt to support its high-cost oncology research initiatives.
This low leverage profile provides significant financial flexibility, allowing the company to navigate periods of operational loss without the immediate pressure of debt service obligations. The lack of significant interest-bearing debt appears to be a deliberate choice to mitigate risk in a volatile biotech environment.
The reported net margin of 163.8% in 2025Q2 is frequently misapplied by market participants as a proxy for operational success, when in reality, it is heavily inflated by one-time upfront payments from licensing deals that do not represent recurring cash flow.
Analysts should instead focus on operating margins and free cash flow to gauge the true 'burn rate' of the core business. Relying on net income in this context obscures the underlying operational losses and the necessity of future capital raises to sustain the R&D pipeline.
Includes 30+ ratios · 21 years · Updated daily
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Quick answers to the most common questions about buying HCM stock.
HUTCHMED (China) Limited's current P/E ratio is 4.3x. The historical average is 59.8x.
HUTCHMED (China) Limited's return on equity (ROE) is 45.3%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -8.6%.
Based on historical data, HUTCHMED (China) Limited is trading at a P/E of 4.3x. Compare with industry peers and growth rates for a complete picture.
HUTCHMED (China) Limited has 38.7% gross margin and -10.0% operating margin.