Lotus Pharmaceutical Co., Ltd. AI Stock Analysis
Lotus Pharmaceutical Co., Ltd. (1795) AI Stock Analysis
Lotus Pharmaceutical Co., Ltd.
(TWSE:1795)
Lotus Pharmaceutical scores in the middle of the range. The dominant consideration is financial: strong revenue growth and peer-beating margins are offset by a newly stretched balance sheet, where debt quadrupled to NT$55.9bn and equity now funds only about a fifth of assets — leaving little room for execution error while free cash flow has fallen. Technicals reinforce caution, with the share price below all major moving averages and negative MACD momentum. The main support comes from valuation: an 11.5x P/E, a 1.55% dividend yield and low beta suggest much of the bad news may already be priced in. The investment case hinges on whether the acquired assets deliver enough earnings and cash flow to reduce leverage.
Lotus Pharmaceutical Co., Ltd. (1795) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 41.62B
- Dividend Yield
- 1.64%
- Average Volume (3M)
- 1.08M
- Price to Earnings (P/E)
- 10.8
- Beta (1Y)
- 0.40
- Revenue Growth
- 48.98%
- EPS Growth
- -21.95%
- Country
- TW
- Employees
- 1,099
- Sector
- General
- Sector Strength
- 55
- Industry
- Drug Manufacturers - Specialty & Generic
Lotus Pharmaceutical Co., Ltd. Business Overview & Revenue Model
Company Description
Lotus Pharmaceutical Co., Ltd. operates as a pharmaceutical enterprise, specializing in the research, development, production, and sale of generic medicines. Its market presence extends across Taiwan, South Korea, the United States, and other global...
Lotus Pharmaceutical Co., Ltd. Financial Statement Overview
Summary
Mixed picture. The income statement is the bright spot (73): revenue nearly doubled to NT$20.5bn since 2020 with ~10% growth last year, and margins remain high for a generic/specialty manufacturer (51.9% gross, 28.8% operating, 23.0% net) — though 2025 brought the first margin compression and a ~7% earnings decline. Cash flow is adequate (64): operating cash flow rose 22% to NT$7.48bn and exceeded net income, signalling good earnings quality, but heavy investment cut free cash flow 33% to NT$3.13bn. The balance sheet is the clear weakness (38): a debt-funded acquisition quadrupled debt to NT$55.9bn, lifting debt-to-equity to 2.35 and leaving equity at only ~22% of assets, creating meaningful leverage and interest-rate risk despite a solid 19.8% ROE.
Income Statement
73PositiveBalance Sheet
38NegativeCash Flow
64Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 28.49B | 20.51B | 18.58B | 16.96B | 14.63B | 12.65B |
| Gross Profit | 13.03B | 10.64B | 10.92B | 9.38B | 7.81B | 5.64B |
| EBITDA | 9.44B | 7.44B | 8.21B | 6.87B | 5.26B | 2.93B |
| Net Income | 3.77B | 4.72B | 5.07B | 4.11B | 3.02B | 1.40B |
Balance Sheet | ||||||
| Total Assets | 108.59B | 106.15B | 40.10B | 32.99B | 29.53B | 21.22B |
| Cash, Cash Equivalents and Short-Term Investments | 6.33B | 7.74B | 6.03B | 1.77B | 1.98B | 1.61B |
| Total Debt | 58.45B | 55.93B | 13.67B | 11.58B | 8.92B | 6.39B |
| Total Liabilities | 84.28B | 82.37B | 18.92B | 15.66B | 15.66B | 10.15B |
| Stockholders Equity | 24.31B | 23.78B | 21.18B | 17.33B | 13.87B | 11.07B |
Cash Flow | ||||||
| Free Cash Flow | 2.61B | 3.13B | 4.69B | -1.65B | 650.03M | -1.50B |
| Operating Cash Flow | 4.50B | 7.48B | 6.15B | 1.61B | 3.72B | 119.66M |
| Investing Cash Flow | -13.63B | -12.47B | -2.69B | -3.25B | -4.66B | -1.58B |
| Financing Cash Flow | 11.13B | 6.90B | 714.09M | 1.40B | 1.26B | 1.66B |
Lotus Pharmaceutical Co., Ltd. Peers Comparison
Overall Rating
TW:649176Outperform
TW:647260Neutral- TW:179557Neutral
TW:694933Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:6491 | 76Outperform | TWD 31.20B | 15.39 | ― | 2.55% | 18.45% | 24.17% |
| TW:6472 | 60Neutral | TWD 50.12B | 32.71 | ― | 2.48% | -5.57% | -62.77% |
| TW:1795 | 57Neutral | TWD 44.28B | 10.79 | ― | 1.64% | 48.98% | -21.95% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:6949 | 33Underperform | TWD 54.47B | -138.20 | ― | ― | 7.81% | ― |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:1795 | Lotus Pharmaceutical Co., Ltd. | 156.00 | -123.55 | -44.20% | |
| TW:6472 | Bora Pharmaceuticals Co Ltd | 403.00 | -209.62 | -34.22% | |
| TW:6491 | Pegavision Corp. | 392.50 | 66.34 | 20.34% | |
| TW:6949 | PELL Bio-Med Technology Co Ltd | 44.75 | 25.91 | 137.55% | |
| TW:7686 | A-Top Health Biotech Co., Ltd. | 729.00 | 209.00 | 40.19% | |
| TW:7924 | TLC BioSciences Corp | 402.50 | 192.00 | 91.21% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 09, 2026