Sosei Group (4565) AI Stock Analysis

• Market Cap: ¥92.58B
• Dividend Yield: N/A
• Average Volume (3M): 800.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.03
• Revenue Growth: 33.71%
• EPS Growth: 68.32%
• Country: JP
• Employees: 387
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -26.37
• Shares Outstanding: 90,496,735
• 10 Day Avg. Volume: 640,010
• 30 Day Avg. Volume: 800,463
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥1,100.59
• Price Target Upside: 7.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 49 Neutral
• Price Target: ¥899.00 ▼(-12.12% Downside)

The overall stock score is primarily influenced by financial performance challenges, particularly in profitability and cash flow. Technical analysis provides some positive momentum, but valuation concerns due to negative earnings weigh heavily on the score.

Sosei Group Business Overview & Revenue Model

Company Description

Nxera Pharma Co., Ltd. develops and sells biopharmaceutical products in Japan, Switzerland, the United States, Bermuda, and the United Kingdom. Its product portfolio products include Ultibro/Breezhaler and Seebri/Breezhaler for the treatment of chronic obstructive pulmonary disease; Enerzair and Breezhaler for the treatment of asthma; ORAVI, a novel formulation for the treatment of oropharyngeal candidiasis; and PIVLAZ for the treatment of cerebral vasospasm indications. The company's development products pipeline consists of HTL0039732 for immuno-oncology indications; HTL0048149 for schizophrenia disorders; Daridorexant for the treatment of insomnia; HTL0016878 for schizophrenia and other neuropsychiatric disorders; PF-07081532 for Type 2 diabetes mellitus and obesity; PF-07054894 for inflammatory bowel disease; PF-07258669 for anorexia; PF-06954522 for metabolic diseases; NBI-1117569 for neurology diseases; and NBI-1117570 for central nervous system (CNS) disorders. It is also involved in the development of GPR35 agonist, for inflammatory bowel disease/GI disorders, which is in preclinical stage; and other discovery and preclinical stage drugs. Nxera Pharma Co., Ltd. has a strategic collaboration with AbbVie, Biohaven, Genentech Inc., GSK, Pfizer Inc., Neurocrine Biosciences Inc., Novartis International AG, and Verily. Nxera Pharma Co., Ltd. was incorporated in 1990 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sosei Group generates revenue through a combination of research and development collaborations, milestone payments, and royalties from its partnerships with major pharmaceutical companies. The company engages in strategic alliances where it licenses its proprietary GPCR technology to partners who further develop and commercialize the resulting drug candidates. These partnerships typically involve upfront payments, research funding, and success-based milestone payments upon achieving specific developmental or commercial objectives. Additionally, Sosei Group earns royalties on sales of products developed using its technology, providing a recurring revenue stream. The company's financial performance is significantly influenced by the progress and success of its partnered programs, as well as the expansion of its proprietary drug pipeline.

Sosei Group Financial Statement Overview

Summary

Sosei Group shows revenue growth but struggles with profitability and cash flow. The balance sheet is moderately stable, but negative returns on equity and cash flow issues indicate financial instability.

Income Statement

The income statement shows a mixed performance. While there is a positive revenue growth trend in the TTM, the company is struggling with negative net profit margins and EBIT margins, indicating operational inefficiencies. The gross profit margin remains relatively strong, but the consistent net losses are a concern.

Balance Sheet

The balance sheet reflects a moderate level of financial stability. The debt-to-equity ratio is close to 1, suggesting a balanced approach to leveraging. However, the negative return on equity indicates that the company is not generating sufficient returns on shareholders' investments. The equity ratio is stable, which is a positive sign.

Cash Flow

Cash flow analysis reveals significant challenges. The company has negative operating cash flow and free cash flow, although there is a notable improvement in free cash flow growth in the TTM. The free cash flow to net income ratio is above 1, which is positive, but the overall cash flow situation remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	31.21B	28.84B	12.77B	15.57B	17.71B	8.84B
Gross Profit	22.62B	21.22B	9.66B	14.64B	16.78B	8.08B
EBITDA	442.00M	105.00M	-5.71B	3.57B	2.19B	3.19B
Net Income	-3.27B	-4.84B	-7.19B	382.00M	1.02B	1.48B
Balance Sheet
Total Assets	144.69B	151.50B	157.20B	99.42B	96.98B	76.47B
Cash, Cash Equivalents and Short-Term Investments	33.00B	36.20B	49.06B	66.56B	60.17B	40.01B
Total Debt	64.72B	67.90B	73.97B	29.73B	29.27B	16.62B
Total Liabilities	78.83B	82.98B	90.39B	41.48B	39.52B	24.08B
Stockholders Equity	65.86B	68.52B	66.81B	57.94B	57.47B	52.38B
Cash Flow
Free Cash Flow	-9.42B	-8.24B	-6.12B	9.65B	6.89B	4.57B
Operating Cash Flow	-8.80B	-7.72B	-5.27B	9.95B	7.09B	4.67B
Investing Cash Flow	-1.68B	-4.76B	-63.79B	1.04B	278.00M	-150.00M
Financing Cash Flow	-6.71B	-6.85B	48.33B	-4.89B	11.12B	20.28B

Sosei Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1023.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4565, the sentiment is Positive. The current price of 1023 is above the 20-day moving average (MA) of 969.65, above the 50-day MA of 925.02, and above the 200-day MA of 925.25, indicating a bullish trend. The MACD of 21.84 indicates Negative momentum. The RSI at 61.44 is Neutral, neither overbought nor oversold. The STOCH value of 64.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4565.

Sosei Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4974	59 Neutral	114.76B	198.89	0.53%	1.78%	6.98%	406.15%
7774	58 Neutral	20.67B	-72.13	0.00%	―	6.33%	-250.29%
4565	49 Neutral	¥92.58B	―	-5.01%	―	33.71%	68.32%
4593	46 Neutral	68.21B	-9.66	-476.97%	―	-78.54%	10.23%
2160	42 Neutral	143.19B	-905.64	-0.76%	―	2.04%	-102.04%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Sosei Group Corporate Events

Nxera Pharma Reports Strong First Half 2025 Results and Strategic Advances

Nxera Pharma reported increased revenues in the first half of 2025, driven by sales of PIVLAZ® and QUVIVIQ® in Japan and progress in partnered programs. The company achieved significant milestones, including a Phase 3 trial for NBI-‘568 and the launch of a proprietary pipeline targeting obesity and metabolic disorders. Financially, Nxera saw a rise in revenue and R&D expenses, while operating losses decreased, indicating strategic investments in their pipeline and collaborations.

The most recent analyst rating on (JP:4565) stock is a Buy with a Yen2000.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Unveils New Obesity Treatment Pipeline

Nxera Pharma has launched a new pipeline targeting obesity and chronic weight management, led by a proprietary oral GLP-1 agonist and six additional programs targeting GIP, Amylin, and Apelin receptors. This initiative aims to transform the treatment landscape for obesity and associated metabolic disorders, addressing long-term weight management and co-morbid conditions. The pipeline leverages Nxera’s NxWave™ platform to develop highly differentiated drug candidates, positioning the company as a leader in next-generation obesity therapies. The announcement follows Pfizer’s discontinuation of a related GLP-1 agonist, with Nxera planning discussions for potential opportunities with Pfizer.

The most recent analyst rating on (JP:4565) stock is a Buy with a Yen2000.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.

Nxera Pharma Secures $4.8 Million Milestone Payment from Centessa

Nxera Pharma announced it will receive US$4.8 million in milestone payments from Centessa Pharmaceuticals following the initiation of clinical development for ORX142, a novel orexin receptor 2 agonist. This development marks a significant step in the treatment of neurological and neurodegenerative disorders, with the revenue from these milestones recognized in the second and third quarters of 2025. The collaboration underscores Nxera’s strategic partnerships and its impact on advancing treatments in high-growth medical areas.

The most recent analyst rating on (JP:4565) stock is a Buy with a Yen2000.00 price target. To see the full list of analyst forecasts on Sosei Group stock, see the JP:4565 Stock Forecast page.