Orient Europharma Co., Ltd. (4120) AI Stock Analysis

Orient Europharma Co., Ltd.

(TPEx:4120)

Select Model

Rating:44Neutral

Price Target:TWD 41.00▼(-8.69% Downside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily constrained by sustained losses and negative operating and free cash flow. Lower debt and stronger equity provide meaningful balance-sheet support, while weak technical momentum and a negative P/E outweigh the otherwise high dividend yield.

Positive Factors

Improved Balance SheetThe substantial reduction in debt-to-equity gives Orient Europharma a more stable capital structure and greater resilience than in prior years. Lower leverage can reduce financial pressure and preserve flexibility to support operations or invest in growth while profitability recovers.

Negative Factors

Persistent LossesThe move from profit to sizable losses materially weakens earnings quality and makes future results less predictable. A negative operating result and approximately -12% net margin also reduce internal funding capacity, leaving recovery dependent on reversing cost and profitability pressures.

Orient Europharma Co., Ltd. (4120) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 3.89B
Dividend Yield: 8.91%
Average Volume (3M): 21.66K
Price to Earnings (P/E): -6.8
Beta (1Y): 0.14
Revenue Growth: 3.77%
EPS Growth: -78.32%
Country: TW
Employees: 339
Sector: General
Sector Strength: 55
Industry: Drug Manufacturers - Specialty & Generic

Orient Europharma Co., Ltd. Business Overview & Revenue Model

Company Description

Orient EuroPharma Co., Ltd. (OEP) operates as a global pharmaceutical enterprise, engaged in the development and production of various medications. Its portfolio of prescription pharmaceuticals encompasses treatments for a wide array of conditions, s...

Orient Europharma Co., Ltd. Financial Statement Overview

Summary

Financial performance is weak overall: the company reported a widened 567.4 million net loss, negative EBIT and EBITDA, negative operating cash flow of 298.6 million, and negative free cash flow of 472.3 million. The stronger balance sheet, including lower debt and higher equity, provides partial support.

Income Statement

25Negative

Balance Sheet

65Positive

Cash Flow

20Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.65B	4.60B	4.39B	4.59B	4.73B	4.77B
Gross Profit	2.17B	2.10B	2.07B	2.15B	2.03B	2.15B
EBITDA	-145.21M	-121.76M	183.90M	596.88M	-34.15M	133.32M
Net Income	-538.56M	-567.39M	-283.93M	143.94M	-310.80M	120.17M
Balance Sheet
Total Assets	11.75B	12.21B	11.57B	10.81B	10.43B	9.40B
Cash, Cash Equivalents and Short-Term Investments	1.67B	2.12B	1.89B	2.14B	1.95B	2.06B
Total Debt	3.53B	3.27B	4.23B	4.84B	5.03B	4.23B
Total Liabilities	5.41B	4.85B	5.75B	6.65B	6.99B	5.95B
Stockholders Equity	5.23B	6.29B	5.16B	3.51B	2.93B	2.94B
Cash Flow
Free Cash Flow	-825.61M	-472.30M	-221.31M	20.28M	-859.84M	-1.49B
Operating Cash Flow	-598.50M	-298.63M	-121.11M	120.98M	-218.75M	77.65M
Investing Cash Flow	120.45M	1.62B	465.20M	62.11M	-611.56M	-1.50B
Financing Cash Flow	-105.50M	-1.05B	-760.92M	-209.71M	428.31M	1.36B

Orient Europharma Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:4120 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:1777	76Outperform	TWD 3.34B	10.11	―	5.35%	-1.07%	10.62%
TW:1786	64Neutral	TWD 3.89B	26.80	―	3.67%	-2.25%	-15.57%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:4120	44Neutral	TWD 3.85B	-6.75	―	8.91%	3.77%	-78.32%
TW:6875	37Underperform	TWD 3.24B	-9.23	―	―	-69.26%	-24.53%

* General Sector Average

Performance Comparison

TW:4120 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:4120	Orient Europharma Co., Ltd.	44.90	3.01	7.18%
TW:1777	SYN-TECH Chemical & Pharmaceutical Co. Ltd.	74.80	1.04	1.41%
TW:1786	SciVision Biotech Inc.	52.00	-20.06	-27.83%
TW:6634	Sinew Pharma, Inc.	63.20	22.70	56.05%
TW:6875	Pharmosa Biopharm Inc.	25.25	-24.25	-48.99%
TW:6885	BRIM Biotechnology, Inc.	29.50	-0.05	-0.17%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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

Orient Europharma Co., Ltd. AI Stock Analysis