HUTCHMED DRC (HCM)vsTakeda Pharmaceutical Co Ltd ADR (TAK)
HCM
HUTCHMED DRC
$10.87
-2.69%
HEALTHCARE · Cap: $1.88B
TAK
Takeda Pharmaceutical Co Ltd ADR
$15.60
+0.97%
HEALTHCARE · Cap: $49.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Takeda Pharmaceutical Co Ltd ADR generates 821344% more annual revenue ($4.51T vs $548.51M). HCM leads profitability with a 83.3% profit margin vs 4.3%. HCM trades at a lower P/E of 4.1x. TAK earns a higher WallStSmart Score of 57/100 (C).
HCM
Hold43
out of 100
Grade: D
TAK
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+44.0%
Fair Value
$26.99
Current Price
$10.87
$16.12 discount
Intrinsic value data unavailable for TAK.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 38 in profit
Keeps 83 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 330.2% YoY
Areas to Watch
Smaller company, higher risk/reward
Weak financial health signals
Revenue declined 16.5%
Earnings declined 98.1%
3.9% revenue growth
ROE of 2.5% — below average capital efficiency
4.3% margin — thin
Operating margin of 3.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : HCM
The strongest argument for HCM centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 83.3% and operating margin at -13.2%.
Bull Case : TAK
The strongest argument for TAK centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.40 suggests the stock is reasonably priced for its growth.
Bear Case : HCM
The primary concerns for HCM are Market Cap, Piotroski F-Score, Revenue Growth.
Bear Case : TAK
The primary concerns for TAK are Revenue Growth, Return on Equity, Profit Margin. A P/E of 42.5x leaves little room for execution misses. Thin 4.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
HCM profiles as a declining stock while TAK is a value play — different risk/reward profiles.
HCM carries more volatility with a beta of 0.37 — expect wider price swings.
TAK is growing revenue faster at 3.9% — sustainability is the question.
HCM generates stronger free cash flow (-79M), providing more financial flexibility.
Bottom Line
TAK scores higher overall (57/100 vs 43/100). HCM offers better value entry with a 44.0% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
HUTCHMED DRC
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
HUTCHMED (China) Limited discovers, develops and markets targeted immunotherapies and therapies for cancer and immune diseases globally. The company is headquartered in Central, Hong Kong.
Visit Website →Takeda Pharmaceutical Co Ltd ADR
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Takeda Pharmaceutical Company Limited is engaged in the research, development, manufacture and marketing of pharmaceuticals, over-the-counter drugs and quasi-drug consumer products, and other health care products. The company is headquartered in Tokyo, Japan.
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