HCM PE Ratio & Valuation,Is HCM Overvalued

HCM Relative Valuation

HCM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, HCM is overvalued; if below, it's undervalued.

Historical Valuation

HUTCHMED (China) Ltd (HCM) is now in the Undervalued zone, suggesting that its current forward PS ratio of 3.58 is considered Undervalued compared with the five-year average of 19.42. The fair price of HUTCHMED (China) Ltd (HCM) is between 37.44 to 60.69 according to relative valuation methord. Compared to the current price of 13.23 USD , HUTCHMED (China) Ltd is Undervalued By 64.66%.

Relative Value

Fair Zone

37.44-60.69

Current Price：13.23

64.66%

Undervalued

14.11

-300.72

EV/EBITDA

HUTCHMED (China) Ltd. (HCM) has a current EV/EBITDA of -300.72. The 5-year average EV/EBITDA is -69.94. The thresholds are as follows: Strongly Undervalued below -330.50, Undervalued between -330.50 and -200.22, Fairly Valued between 60.33 and -200.22, Overvalued between 60.33 and 190.61, and Strongly Overvalued above 190.61. The current Forward EV/EBITDA of -300.72 falls within the Undervalued range.

-156.38

EV/EBIT

HUTCHMED (China) Ltd. (HCM) has a current EV/EBIT of -156.38. The 5-year average EV/EBIT is -45.33. The thresholds are as follows: Strongly Undervalued below -166.10, Undervalued between -166.10 and -105.71, Fairly Valued between 15.06 and -105.71, Overvalued between 15.06 and 75.44, and Strongly Overvalued above 75.44. The current Forward EV/EBIT of -156.38 falls within the Undervalued range.

3.58

HUTCHMED (China) Ltd. (HCM) has a current PS of 3.58. The 5-year average PS is 5.54. The thresholds are as follows: Strongly Undervalued below -2.32, Undervalued between -2.32 and 1.61, Fairly Valued between 9.47 and 1.61, Overvalued between 9.47 and 13.40, and Strongly Overvalued above 13.40. The current Forward PS of 3.58 falls within the Historic Trend Line -Fairly Valued range.

16.82

P/OCF

HUTCHMED (China) Ltd. (HCM) has a current P/OCF of 16.82. The 5-year average P/OCF is -61.63. The thresholds are as follows: Strongly Undervalued below -416.24, Undervalued between -416.24 and -238.93, Fairly Valued between 115.68 and -238.93, Overvalued between 115.68 and 292.99, and Strongly Overvalued above 292.99. The current Forward P/OCF of 16.82 falls within the Historic Trend Line -Fairly Valued range.

15.67

P/FCF

HUTCHMED (China) Ltd. (HCM) has a current P/FCF of 15.67. The 5-year average P/FCF is -20.58. The thresholds are as follows: Strongly Undervalued below -72.24, Undervalued between -72.24 and -46.41, Fairly Valued between 5.26 and -46.41, Overvalued between 5.26 and 31.09, and Strongly Overvalued above 31.09. The current Forward P/FCF of 15.67 falls within the Overvalued range.

HUTCHMED (China) Ltd (HCM) has a current Price-to-Book (P/B) ratio of 9.43. Compared to its 3-year average P/B ratio of 7.72 , the current P/B ratio is approximately 22.12% higher. Relative to its 5-year average P/B ratio of 6.60, the current P/B ratio is about 43.00% higher. HUTCHMED (China) Ltd (HCM) has a Forward Free Cash Flow (FCF) yield of approximately -2.12%. Compared to its 3-year average FCF yield of -1.42%, the current FCF yield is approximately 49.63% lower. Relative to its 5-year average FCF yield of -3.62% , the current FCF yield is about -41.40% lower.

9.43

P/B

Median3y

7.72

Median5y

6.60

-2.12

FCF Yield

Median3y

-1.42

Median5y

-3.62

Competitors Valuation Multiple

The average P/S ratio for HCM's competitors is 38.39, providing a benchmark for relative valuation. HUTCHMED (China) Ltd Corp (HCM) exhibits a P/S ratio of 3.58, which is -90.68% above the industry average. Given its robust revenue growth of %, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of HCM increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.

The secondary factor is the Unknown, contributed 0.00%to the performance.

Overall, the performance of HCM in the past 1 year is driven by Unknown.

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Frequently Asked Questions

Is HUTCHMED (China) Ltd (HCM) currently overvalued or undervalued?

What is HUTCHMED (China) Ltd (HCM) fair value?

HCM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of HUTCHMED (China) Ltd (HCM) is between 37.44 to 60.69 according to relative valuation methord.

How does HCM's valuation metrics compare to the industry average?

What is the current P/B ratio for HUTCHMED (China) Ltd (HCM) as of Dec 15 2025?

As of Dec 15 2025, HUTCHMED (China) Ltd (HCM) has a P/B ratio of 9.43. This indicates that the market values HCM at 9.43 times its book value.

What is the current FCF Yield for HUTCHMED (China) Ltd (HCM) as of Dec 15 2025?

As of Dec 15 2025, HUTCHMED (China) Ltd (HCM) has a FCF Yield of -2.12%. This means that for every dollar of HUTCHMED (China) Ltd’s market capitalization, the company generates -2.12 cents in free cash flow.

What is the current Forward P/E ratio for HUTCHMED (China) Ltd (HCM) as of Dec 15 2025?

As of Dec 15 2025, HUTCHMED (China) Ltd (HCM) has a Forward P/E ratio of 14.11. This means the market is willing to pay $14.11 for every dollar of HUTCHMED (China) Ltd’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for HUTCHMED (China) Ltd (HCM) as of Dec 15 2025?

As of Dec 15 2025, HUTCHMED (China) Ltd (HCM) has a Forward P/S ratio of 3.58. This means the market is valuing HCM at $3.58 for every dollar of expected revenue over the next 12 months.

HCM Valuation