WallStSmart

HUTCHMED DRC (HCM)vsViatris Inc (VTRS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Viatris Inc generates 2507% more annual revenue ($14.30B vs $548.51M). HCM leads profitability with a 83.3% profit margin vs -24.6%. VTRS earns a higher WallStSmart Score of 50/100 (C-).

HCM

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 6.0Value: 7.7Quality: 6.5
Piotroski: 3/9Altman Z: 0.95

VTRS

Buy

50

out of 100

Grade: C-

Growth: 3.3Profit: 3.5Value: 6.7Quality: 5.5
Piotroski: 4/9Altman Z: 0.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HCMUndervalued (+16.1%)

Margin of Safety

+16.1%

Fair Value

$18.02

Current Price

$14.15

$3.87 discount

UndervaluedFair: $18.02Overvalued

Intrinsic value data unavailable for VTRS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HCM4 strengths · Avg: 10.0/10
P/E RatioValuation
5.3x10/10

Attractively priced relative to earnings

Return on EquityProfitability
45.3%10/10

Every $100 of equity generates 45 in profit

Profit MarginProfitability
83.3%10/10

Keeps 83 of every $100 in revenue as profit

Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

VTRS2 strengths · Avg: 10.0/10
PEG RatioValuation
0.1410/10

Growing faster than its price suggests

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Areas to Watch

HCM4 concerns · Avg: 2.8/10
Price/BookValuation
9.8x4/10

Trading at 9.8x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-16.5%2/10

Revenue declined 16.5%

EPS GrowthGrowth
-98.1%2/10

Earnings declined 98.1%

VTRS4 concerns · Avg: 1.8/10
Return on EquityProfitability
-21.1%2/10

ROE of -21.1% — below average capital efficiency

EPS GrowthGrowth
-70.6%2/10

Earnings declined 70.6%

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

Profit MarginProfitability
-24.6%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : HCM

The strongest argument for HCM centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 83.3% and operating margin at -13.2%.

Bull Case : VTRS

The strongest argument for VTRS centers on PEG Ratio, Price/Book. PEG of 0.14 suggests the stock is reasonably priced for its growth.

Bear Case : HCM

The primary concerns for HCM are Price/Book, Piotroski F-Score, Revenue Growth.

Bear Case : VTRS

The primary concerns for VTRS are Return on Equity, EPS Growth, Altman Z-Score.

Key Dynamics to Monitor

HCM profiles as a declining stock while VTRS is a turnaround play — different risk/reward profiles.

VTRS carries more volatility with a beta of 0.80 — expect wider price swings.

VTRS is growing revenue faster at 5.0% — sustainability is the question.

VTRS generates stronger free cash flow (551M), providing more financial flexibility.

Bottom Line

VTRS scores higher overall (50/100 vs 42/100). HCM offers better value entry with a 16.1% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

HUTCHMED DRC

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

HUTCHMED (China) Limited discovers, develops and markets targeted immunotherapies and therapies for cancer and immune diseases globally. The company is headquartered in Central, Hong Kong.

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Viatris Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Viatris Inc. is an American global healthcare company headquartered in Canonsburg, Pennsylvania.

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