Biohaven (BHVN): Evaluating Valuation After New BHV-1510 Oncology Data at ESMO Immuno-Oncology Congress

Biohaven (BHVN) just put fresh oncology data in front of specialists at the ESMO Immuno Oncology Congress, sharing early results for its Trop2 antibody drug conjugate BHV 1510 combined with Regeneron’s cemiplimab.

See our latest analysis for Biohaven.

The BHV 1510 update lands after a volatile year, with a sharp 30 day share price return of 45.03% but a steep year to date share price decline and weak one year total shareholder return, signalling tentative momentum in a still high risk story.

If breakthroughs in oncology are on your radar, it might also be a good time to scan other specialist names through healthcare stocks and see what else markets could be mispricing.

With shares still down sharply over 12 months but trading at a sizeable discount to analyst targets, is Biohaven a misunderstood growth story offering asymmetric upside, or is the market already discounting its future oncology breakthroughs?

Price to Book of -89.2x, Is it justified?

Biohaven screens as extremely expensive on a traditional price to book lens, with a ratio of around -89.2x despite a last close near 11.53.

Price to book compares a company’s market value with the net value of its assets. It is a common yardstick for capital intensive and asset backed businesses.

For Biohaven, the picture is more complex. Negative shareholders equity, ongoing losses, and effectively no current revenue mean the usual balance sheet based yardsticks can look distorted rather than informative.

Compared with both the broader US biotech industry, where the average price to book sits near 2.7x, and its closer peer set around 22.2x, Biohaven’s negative equity makes the raw multiple look extreme and underlines how dependent the story is on future, not current, fundamentals.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price to book of -89.2x (ABOUT RIGHT)

However, lingering clinical and regulatory setbacks, along with ongoing cash burn, could quickly erode confidence and justify the market’s caution despite today’s pipeline optimism.

Find out about the key risks to this Biohaven narrative.

Build Your Own Biohaven Narrative

If you see the numbers differently, or would rather interrogate the data yourself, you can shape a customised view of Biohaven in minutes: Do it your way.

A great starting point for your Biohaven research is our analysis highlighting 1 key reward and 5 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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