Pharmosa Biopharm Inc. (6875) AI Stock Analysis

Pharmosa Biopharm Inc.

(TPEx:6875)

Select Model

Rating:37Underperform

Price Target:TWD 23.50▼(-4.86% Downside)

Action:initiatedcoverage

Date:11/10/26

The overall score is at the minimum of 37, reflecting a confluence of severe fundamental, technical, and valuation risks. The company is experiencing a sharp revenue contraction, deeply negative margins, and massive cash burn, which is unsustainable without a major turnaround. The stock is in a strong downtrend with deeply bearish momentum across all technical indicators. The only relative strength is a low-debt balance sheet, but it is being rapidly eroded by ongoing losses. With no positive earnings call or corporate event catalysts, the risk profile is extremely high.

Positive Factors

Proprietary drug development platformA proprietary small-molecule and peptide pipeline gives Pharmosa control over internally developed drug candidates and the potential to create differentiated therapies. Advancing candidates through clinical development provides a foundation for longer-term value creation if the programs demonstrate clinical and commercial viability.

Negative Factors

Sharp revenue contractionThe steep 2025 revenue decline indicates that the current commercial or revenue-generating base is not yet stable. A shrinking top line can reduce funding available for development, weaken operating leverage, and make future profitability more dependent on successful pipeline progress.

Pharmosa Biopharm Inc. (6875) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 3.24B
Dividend Yield: ―
Average Volume (3M): 149.16K
Price to Earnings (P/E): -9.0
Beta (1Y): 0.31
Revenue Growth: -69.26%
EPS Growth: -24.53%
Country: TW
Employees: 15
Sector: General
Sector Strength: 55
Industry: Biotechnology

Pharmosa Biopharm Inc. Business Overview & Revenue Model

Company Description

Pharmosa Biopharm Inc., a biotechnology firm based in Taiwan, specializes in the development of pharmaceutical products. Its current pipeline includes two key candidates: L606 and L608. L606 is an investigational inhalation/device combination therapy...

Pharmosa Biopharm Inc. Financial Statement Overview

Summary

Financial performance is critically weak. Revenue is in sharp decline (-50.8%), gross margins have turned deeply negative (-23.4%), and operating losses are massive (EBIT margin -598.9%). Cash flow is severely negative, with operating cash flow at -NT$357.5M and free cash flow at -NT$476.8M, indicating an unsustainable cash burn. The only mitigating factor is a strong balance sheet with low debt (D/E 0.06) and a solid equity base of NT$1.56B, which provides a cash runway but is being steadily eroded by losses.

Income Statement

18Very Negative

Balance Sheet

72Positive

Cash Flow

15Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Mar 2023	Dec 2021
Income Statement
Total Revenue	53.38M	67.27M	167.57M	314.50M	0	0
Gross Profit	-19.94M	-15.75M	126.90M	314.50M	0	0
EBITDA	-342.88M	-371.37M	-140.38M	34.63M	-257.08M	-244.13M
Net Income	-351.33M	-383.85M	-166.65M	8.46M	-266.51M	-256.48M
Balance Sheet
Total Assets	1.78B	1.75B	2.16B	1.33B	799.37M	586.37M
Cash, Cash Equivalents and Short-Term Investments	933.28M	1.13B	1.62B	974.06M	672.51M	461.46M
Total Debt	340.88M	99.61M	117.60M	144.37M	21.19M	37.09M
Total Liabilities	416.60M	190.57M	225.66M	195.99M	38.25M	54.93M
Stockholders Equity	1.37B	1.56B	1.94B	1.14B	761.12M	531.43M
Cash Flow
Free Cash Flow	-499.23M	-476.83M	-293.13M	-39.05M	-268.50M	-240.75M
Operating Cash Flow	-319.30M	-357.48M	-127.16M	42.42M	-258.31M	-237.51M
Investing Cash Flow	219.38M	256.17M	-1.04B	-93.84M	-10.17M	4.75M
Financing Cash Flow	132.17M	-16.89M	942.11M	352.97M	479.52M	279.68M

Pharmosa Biopharm Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:6875 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6492	41Neutral	TWD 3.44B	-9.07	―	―	5.00%	-6.49%
TW:6875	37Underperform	TWD 3.26B	-9.05	―	―	-69.26%	-24.53%

* General Sector Average

Performance Comparison

TW:6875 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:6875	Pharmosa Biopharm Inc.	24.70	-24.80	-50.10%
TW:4178	Stemcyte International Ltd.	15.25	-8.20	-34.97%
TW:6492	Senhwa Biosciences Inc	29.85	-11.77	-28.28%
TW:6838	Formosa Pharmaceuticals, Inc.	20.05	-7.60	-27.49%
TW:6885	BRIM Biotechnology, Inc.	28.55	-1.00	-3.38%
TW:7427	Great Novel Therapeutics Biotech & Medicals Corp.	58.60	18.23	45.16%

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

Pharmosa Biopharm Inc. AI Stock Analysis