Brokerage : iM Securities
Analyst : Jaewon Jeong
Investment Rating : Buy (Maintain)
Target Price : KRW 200,000 (Upward)
Core Momentum : Upward revision of platform valuation coupled with 2H clinical milestones across core ADC assets and potential execution of advanced platform deals
📊 1. [Valuation & Key Financial Metrics]
- Target Price & Rating: Target Price KRW 200,000 (Upward), Rating Buy (Maintain), Upside Potential 33.8% (Based on closing price of KRW 149,500 on 2025-08-11)
- Valuation Breakdown & Target Enterprise Value:
- Platform value revised upward from KRW 1,162.7 Billion to KRW 2,277.9 Billion, deriving a total enterprise value of KRW 7,132.9 Billion.
- Valuation assumptions: Applied IND-ready targets for Iksuda/Sotio, 3 targets for Amgen, 1 target for Ono, and 2 designated targets for Biobest/Unknown platform deals based conservatively on target-specific milestone summations.
- Key Financial Forecasts:
- 2024: Revenue KRW 126 Billion, Operating Profit KRW -21 Billion, Net Profit KRW 8 Billion, EPS KRW 225, BPS KRW 16,826, PER 483.5x, PBR 6.5x, ROE 2.0%
- 2025E: Revenue KRW 147 Billion, Operating Profit KRW -34 Billion, Net Profit KRW 12 Billion, EPS KRW 321, BPS KRW 17,111, PER 465.5x, PBR 8.7x, ROE 1.9%
- 2026E: Revenue KRW 198 Billion, Operating Profit KRW -1 Billion, Net Profit KRW 34 Billion, EPS KRW 941, BPS KRW 18,015, PER 158.9x, PBR 8.3x, ROE 5.4%, EV/EBITDA 1,427.8x
- 2027E: Revenue KRW 393 Billion, Operating Profit KRW 148 Billion, Net Profit KRW 144 Billion, EPS KRW 3,940, BPS KRW 21,919, PER 37.9x, PBR 6.8x, ROE 19.7%, EV/EBITDA 32.2x
- Stock Metrics: Capital Stock KRW 18 Billion, Outstanding Shares 36.61 Million shares, Market Cap KRW 5,473 Billion, Foreign Ownership 11.9%, 52-Week Range KRW 83,200 ~ KRW 149,600, 60-Day Avg Daily Volume 446,288 shares, 60-Day Avg Daily Trading Value KRW 56.6 Billion
🚀 2. [Market Opportunities & Business Outlook]
- Advanced Platform Deal Expansion:
- Post-R&D Day NDR confirmed that discussions regarding platform licensing deals are progressing smoothly.
- Negotiating evolved deal structures providing broader access to diverse platform technologies compared to historical contracts, increasing the probability of larger deal sizes.
- 2H Clinical Pipeline Data Readouts:
- LCB14 (HER2 ADC, Partner Iksuda): Dose escalation concluding in Q3, targeting Phase 1b entry by late 2025 in patients previously treated with Enhertu (prior Phase 1a recorded 4 PRs and 1 SD out of 5 Enhertu-treated patients), highlighting potential in Enhertu-resistant settings.
- LCB71 (ROR1 ADC, Partner CStone): Phase 1b interim data presentation scheduled for the American Society of Hematology (ASH) annual meeting in December. Focus is on demonstrating safety advantages over competing candidate MK-2140 (MSD).
- Partner Clinical Pipeline Progress:
- Partners Iksuda and Sotio are set to file INDs and enter the clinic between late 2025 and early 2026, validating tangible platform development.
📝 Editor’s Comment (Perspective)
The covering analyst views LigaChem Biosciences not as a biotech reliant solely on individual asset valuations, but as an advancing ADC platform developer whose intrinsic platform value is being re-rated through partnered clinical entries and broader technology licensing structures. This perspective emphasizes the transition from simple historical average deal valuation to a target-specific milestone aggregation framework reflecting actual clinical progression.
To verify whether this investment thesis continues to materialize, primary focus should be directed toward LCB14’s Phase 1b trial initiation in post-Enhertu patients following Q3 dose escalation, the safety and efficacy data release for LCB71 at ASH in December, and the execution of new large-scale platform agreements incorporating the Biobest strategy. These operational milestones can be monitored through upcoming corporate IR updates, medical congress presentations, and official regulatory filings.
📢 Disclaimer & Source
Source: This content has been structured and newly written based on officially disclosed financial facts and data from brokerage reports.
Investment Risk Notice: This content is provided for informational and linguistic reference purposes only. Under no circumstances does it constitute financial advice or a recommendation to buy or sell any specific securities. All investment decisions and financial responsibilities rest entirely with the investor.
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