One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Legend Biotech Corporation
LEGN · NMS · Healthcare · Biotechnology
Current price
$18.48
52-week range
$16.24 - $37.50
Market cap
$3.59B
Balance sheet
Healthy
-6.38x Concerning
Net cash $686.40M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
1 Risk
1 rewards · 1 risks
- Reward Revenue grew 64.0% last year.
- Risk Return on equity was -8.1% last year — the company lost money on shareholders' equity.
What this company does
Legend Biotech Corporation
Legend Biotech develops advanced cell therapies to fight serious diseases like cancer. Their main product, a special treatment for a type of blood cancer called multiple myeloma, is developed with a partner, which is how they primarily make money. This is important because successful treatments in this area can have a big impact on patients' lives and the company's future.
How the company got here
Legend Biotech was founded in 2014 with a focus on creating new cell therapies to fight cancer. A major turning point for the company was the development of its leading product candidate, ciltacabtagene autoleucel (cilta-cel). This therapy, designed to treat multiple myeloma, has been a key focus of the company's research and development efforts. Legend Biotech has also strategically partnered with larger pharmaceutical companies, like Janssen Biotech, to help develop and bring its innovative treatments to patients.
What it actually does
Legend Biotech is a biopharmaceutical company that creates advanced cell therapies. Think of these as highly specialized treatments that use a patient's own modified cells to attack diseases, primarily cancer. The company's main goal is to discover, develop, and eventually sell these novel therapies. They are involved in everything from the initial research to manufacturing and bringing these complex treatments to market in various regions, including the United States, China, and Europe.
Cilta-cel (Ciltacabtagene Autoleucel)
This is Legend Biotech's most advanced product candidate, a type of therapy called CAR-T. CAR-T therapy is a personalized cancer treatment where a patient's own immune cells (T-cells) are collected, genetically engineered in a lab to better recognize and attack cancer cells, and then infused back into the patient. Cilta-cel is specifically designed to treat multiple myeloma, a type of blood cancer. The development and potential commercialization of cilta-cel is a significant part of Legend Biotech's business, with a key collaboration in place with Janssen Biotech for its advancement.
Earlier-Stage CAR-T and Other Cell Therapies
Beyond its lead candidate, Legend Biotech is working on a pipeline of other cell therapies. This includes additional autologous CAR-T therapies, which are also personalized treatments, targeting a range of other cancers like leukemia and lung cancer. The company is also exploring allogeneic cell therapies (treatments made from donor cells rather than the patient's own) and CAR-NK therapies, which use a different type of immune cell. These earlier-stage projects represent the company's ongoing commitment to expanding its therapeutic offerings for various difficult-to-treat diseases.
What management is betting on now
Legend Biotech's current strategy heavily relies on advancing its CAR-T therapies, particularly cilta-cel, through clinical trials and towards regulatory approval. They are focused on demonstrating the effectiveness and safety of these treatments for multiple myeloma and other cancers. A key priority is also expanding their portfolio of cell therapies, including exploring allogeneic options and CAR-NK therapies, to address a broader range of unmet medical needs. Strategic partnerships with larger pharmaceutical companies are crucial for funding development and ensuring these innovative treatments can reach a wider patient population.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value — vs current price $18.48
We couldn't calculate a fair value right now.
Is it drowning in debt?
Healthy
Net cash $686.4M - more cash than debt. Interest coverage -6.4x.
Net debt
$-686.40M
Interest coverage
-6.38x
Legend Biotech Corporation's profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
LEGN
BASELINE
Legend Biotech Corporation
Total debt $278.20M Interest coverage -6.38x This is the baseline the peer rows are being compared against.
Total debt $165.93M Interest coverage 12.90x This peer still has a real interest-payment cushion, while LEGN does not.
Total debt $505.99M Interest coverage -1.69x Neither company has much profit cushion over interest right now.
Total debt $2.18B Interest coverage 44.28x This peer still has a real interest-payment cushion, while LEGN does not.
Total debt $3.37B Interest coverage -2.82x Neither company has much profit cushion over interest right now.
What you should know
The case for and against LEGN
1 Reward
1 Risk
Rewards
-
Revenue grew 64.0% last year.
Risks
-
Return on equity was -8.1% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
17.60x
P/B
2.91x
P/S
2.83x
EV/EBITDA
-75.73x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
56.6%
Operating margin
14.9%
Net margin
-7.2%
ROE
-8.1%
ROA
-1.9%
Health
Liquidity and balance-sheet strength
Debt / equity
0.23x
Current ratio
3.04x
Quick ratio
2.88x
Total debt
$278.20M
Total cash
$964.60M
Growth
How the business has been compounding
Revenue TTM
$1.27B
Revenue 5Y CAGR
106.4%
EPS TTM
-0.52
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-100.20M
Free CF TTM
$-128.80M
FCF margin
-10.1%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
—
Last ex-div date
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