- Eisai’s operating income forecast of 53.50 billion yen fell short of the estimated 57.03 billion yen.
- Eisai’s projected net income was 43.00 billion yen, as opposed to the higher estimate of 52.68 billion yen.
- The reported net sales was 754.00 billion yen, which was below the expected 778.94 billion yen.
- The proposed dividend of Eisai was 160.00 yen, falling short of estimations of 163.64 yen per share.
- However, Eisai’s fourth quarter results saw operating income of 15.87 billion yen, overtaking the estimated 12.97 billion yen.
- The company’s net income for the fourth quarter surpassed the estimate at 13.31 billion yen against an estimated 12.48 billion yen.
- A slight setback with net sales in the fourth quarter was observed with the provided figure of 190.5 billion yen versus the estimate of 191.56 billion yen.
- On a yearly result basis, operating income is reported at 53.41 billion yen, and it exceeded the estimated 51.5 billion yen.
- The company’s net income for the year, at 42.41 billion yen, surpassed the yearly estimate of 42 billion yen.
- On the other hand, net sales were 741.75 billion yen, just over the estimated 739.66 billion yen.
- The investor sentiment towards Eisai’s stock reflected mixed reactions with 6 buys, 8 holds, and 1 sell.
Eisai Co Ltd on Smartkarma
On Smartkarma, independent analyst Tina Banerjee covers Eisai Co Ltd with a bearish perspective. In one report titled “Eisai Co Ltd (4523 JP): Despite Sluggish Launch, Ambitious Long-Term Target Set for Leqembi,” Banerjee highlights Eisai’s ambitious revenue targets for the Alzheimer’s drug Leqembi. Despite the company’s goal of reaching ¥1.6T in revenue by FY33, slow patient uptake in the US poses a challenge, with only 2,000 patients reached by January compared to a target of 10,000 by March.
Another report by Banerjee, “Eisai Co Ltd (4523 JP): Why Performance Reversal Is Not Expected in the Near-Term,” discusses the downtrend of Eisai shares primarily attributed to disappointment over the Alzheimer’s drug Leqembi. Additionally, the impending patent expiration in 2025 for the top-selling drug Lenvima and the competitive market for tasurgratinib approval further add to investor concerns. Despite Eisai’s efforts, the outlook remains bearish with a correction of over 60% from previous highs.
A look at Eisai Co Ltd Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 2 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Eisai Co Ltd shows a promising long-term outlook. The company receives solid scores in Dividend, Resilience, and Momentum, indicating a strong foundation for growth and stability. With a focus on producing prescription drugs and medical equipment, Eisai Co Ltd has the potential for consistent performance and market presence.
Additionally, Eisai Co Ltd‘s diversified business model, which includes selling diagnostic drugs, foods, livestock feeds, chemicals, and agrochemicals, positions the company well for future expansion and revenue streams. Through strategic marketing efforts in key regions such as the US, Europe, and Asia, Eisai Co Ltd has the opportunity to further strengthen its market position and drive growth in the long run.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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