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3692:HKEXHansoh Pharmaceutical Group Company Limited Analysis

Data as of 2026-03-12 - not real-time

HK$34.92

Latest Price

6/10Risk

Risk Level: Medium

Executive Summary

Hansoh Pharmaceutical trades at HK$34.92, sitting just below its 20‑day SMA (35.00) and well under its 50‑day SMA (37.52), indicating a modest short‑term pullback despite a bullish MACD histogram (+0.14) and rising volume. Fundamentally, the company posts a 14% revenue growth rate, 90% gross margin, and a solid cash pile of HK$27.1 bn, while its dividend payout ratio sits at 38%, suggesting dividend sustainability.
However, the stock’s PE of 38.8 far exceeds the industry average of 26.7 and the DCF‑derived fair value of HK$18.5, flagging a clear overvaluation risk. The high 30‑day volatility (≈37%) and a max drawdown of 26% add to the caution, even though beta is slightly negative, implying limited market correlation.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Price hovering below short‑term moving averages
  • Bullish MACD histogram with increasing volume
  • Elevated valuation relative to peers

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Robust revenue growth and high profitability margins
  • Strong cash generation and low leverage
  • Analyst consensus of strong‑buy with target median price ~HK$46.4

Long Term

> 3 years
Neutral
Model confidence: 7/10

Key Factors

  • Sustainable dividend yield and payout ratio
  • Long‑term pipeline partnerships with GSK, Merck, and Biotheus
  • Overvaluation concerns tempered by solid fundamentals and defensive sector positioning

Key Metrics & Analysis

Financial Health

Revenue Growth14.30%
Profit Margin36.25%
P/E Ratio38.8
ROE16.21%
ROA8.35%
Debt/Equity0.38
P/B Ratio5.9
Op. Cash FlowHK$4.8B
Free Cash FlowHK$3.3B
Industry P/E26.7

Technical Analysis

TrendNeutral
RSI46.9
SupportHK$31.58
ResistanceHK$38.38
MA 20HK$35.00
MA 50HK$37.52
MA 200HK$35.70
MACDBullish
VolumeIncreasing
Fear & Greed Index78.16

Valuation

Fair ValueHK$18.46
Target PriceHK$46.51
Upside/Downside33.20%
GradeOvervalued
TypeGrowth
Dividend Yield1.38%

Risk Assessment

Beta-0.12
Volatility37.18%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.