Chugai Pharmaceutical (OTCMKTS:CHGCY) Stock Jumps 5.3% - Still a Buy?

Key Points

• Chugai Pharmaceutical shares rose 5.3% to $21.61 in midday trading, although volume was about 97% below the average session level.
• Analyst sentiment is generally positive but cautious: the stock has a “Moderate Buy” consensus, with one Strong Buy, one Buy and three Hold ratings. UBS downgraded the shares to Hold, while Nomura upgraded them to Hold.
• The company reported quarterly EPS of $0.22 and revenue of $2.14 billion, below the $2.38 billion consensus estimate; it maintains a 35.09% net margin and 23.76% return on equity.

Chugai Pharmaceutical Co., Ltd. Unsponsored ADR (OTCMKTS:CHGCY - Get Free Report) shares traded up 5.3% during mid-day trading on Friday. The stock traded as high as $22.07 and last traded at $21.6050. Approximately 6,807 shares were traded during mid-day trading, a decline of 97% from the average session volume of 264,451 shares. The stock had previously closed at $20.52.

Wall Street Analyst Weigh In

Several brokerages have weighed in on CHGCY. UBS Group lowered shares of Chugai Pharmaceutical from a "strong-buy" rating to a "hold" rating in a report on Thursday, August 6th. Nomura upgraded shares of Chugai Pharmaceutical to a "hold" rating in a research note on Tuesday, September 1st. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and three have given a Hold rating to the company's stock. Based on data from MarketBeat, Chugai Pharmaceutical currently has a consensus rating of "Moderate Buy".

Chugai Pharmaceutical Stock Up 1.5%

The stock has a market cap of $70.83 billion, a P/E ratio of 23.39 and a beta of 0.60. The firm's 50 day simple moving average is $20.76 and its two-hundred day simple moving average is $22.89.

Chugai Pharmaceutical (OTCMKTS:CHGCY - Get Free Report) last posted its quarterly earnings results on Friday, July 24th. The company reported $0.22 earnings per share (EPS) for the quarter. Chugai Pharmaceutical had a net margin of 35.09% and a return on equity of 23.76%. The company had revenue of $2.14 billion for the quarter, compared to the consensus estimate of $2.38 billion. As a group, equities analysts predict that Chugai Pharmaceutical Co., Ltd. Unsponsored ADR will post 0.96 EPS for the current year.

Chugai Pharmaceutical Company Profile

Chugai Pharmaceutical Co, Ltd. is a Japan-based research-driven pharmaceutical company that develops, manufactures and markets prescription medicines. Its operations focus on addressing unmet medical needs through biotechnology, antibody engineering and other advanced drug-discovery technologies.

The company's principal therapeutic areas include oncology, hematology, immunology, rheumatology, neuroscience, renal diseases and bone disorders. Its portfolio includes medicines such as Actemra (tocilizumab), used in several inflammatory conditions; Hemlibra (emicizumab), a treatment for hemophilia A; Alecensa (alectinib), an oncology medicine; and Enspryng (satralizumab), used for neuromyelitis optica spectrum disorder.

Founded in Japan in 1925, Chugai is headquartered in Tokyo and primarily serves the Japanese market while also commercializing products internationally through its strategic relationship with Roche.

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