D&D Pharmatech is a clinical-stage biotech that, instead of selling its own products, develops drug candidates, builds their value through clinical data, and then licenses them out to or co-develops them with global pharmaceutical companies. Revenue in 2025 was only about ₩4.3 billion, and its core assets are DD01, a GLP-1/glucagon dual agonist that has received U.S. FDA Fast Track designation for metabolic dysfunction-associated steatohepatitis (MASH), and an oral GLP-1 obesity drug candidate. On May 27, 2026, the company disclosed the 48-week biopsy results from DD01's U.S. Phase 2 trial, reporting a statistically significant improvement in fibrosis versus placebo (50.0% vs. 15.8%, p=0.0323) as well as a composite endpoint (37.5% vs. 5.3%), and presented the data at EASL 2026; it also secured R&D funding through a second-tranche convertible bond issue in April. What stands out recently is that, amid a wave of large-scale entries by global pharma into MASH and obesity metabolic disease, DD01 met the key regulatory endpoints with statistical significance in its Phase 2 trial, strengthening its hand for an early licensing deal. At the same time, the company's own profit is negligible and losses continue, so its valuation rests on unrealized pipeline value, with the timing and size of any licensing deal and the equity dilution from further fundraising being points to watch.
At-a-glance assessment financial health · growth · profitability · valuation
- The most recent full-year net result was a loss.
- Revenue fell 62.4% year over year (3-year trend: falling).
- Most recent quarter (Q1 2026) revenue was 90.9% lower than a year earlier.
- ROE is -29.6% (controlling-interest basis). It is above the sector average.
- Operating margin is -791.0%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Seul-gi 12.99% (individual)
Controlling bloc incl. related parties 20.42%
With the controlling bloc holding 20%, control is maintained but the free float is relatively large.
🔎 In-depth analysis
- D&D Pharmatech is not a company that generates revenue by selling its own products.
- It is a clinical-stage biotech that makes money by developing drug candidates, building their value through clinical data, and then transferring the rights to (licensing out) or co-developing them with global pharmaceutical companies.
- Revenue in 2025 was only about ₩4.3 billion, centered on research-service and milestone-type income, so the company's real value lies not in its income statement but in the success probability and marketability of its pipeline (drugs in development).
- It has two core assets.
- First, DD01 (zavapeglutide) is a once-weekly GLP-1/glucagon dual agonist injectable aimed at treating metabolic dysfunction-associated steatohepatitis (MASH) accompanied by obesity, and it has received Fast Track designation from the U.S.
- FDA.
- Second, it has an oral GLP-1 obesity drug candidate that uses dosing convenience as its edge in an obesity and metabolic market dominated by injectables.
- On top of this, the company holds candidates for neurological diseases such as Parkinson's, giving it a pipeline structure that spans GLP-1-class metabolic diseases and neurological diseases.
- The recent closing price is ₩86,600 and the market capitalization is ₩4.0 trillion.
- The price sits below its 20-day moving average (₩90,915) and above its 60-day moving average (₩82,572).
- Short-term and medium-term trends diverge, so the direction should be read separately.
- The RSI (a supplementary indicator that gauges upward versus downward strength over the past 14 days on a 0-100 scale) is 49.7, a neutral level.
- The one-month change is -0.4%, the three-month change is +28.1%, and the position relative to the 52-week high is -72.9%.
- Relative strength versus the KOSDAQ is 83 (on a 1-99 scale, converted from returns against the index over the past year with more recent performance weighted more heavily; higher means stronger than the market).
- This places it in roughly the top 17% of all stocks by strength.
- Over the past three months it outpaced the index by 70.3%.
- When reading the chart, it is best to consider trading volume together with the dates of disclosures.
- This is a company whose merits are hard to judge by traditional financial metrics.
- With a 2025 operating loss of about ₩34.0 billion and a net loss of about ₩23.6 billion, losses have continued, so the P/E ratio (how many times one year's earnings the share price is) cannot be calculated and EPS is negative at -₩538.
- The P/B ratio (how many times book net assets the share price is) is 47.72x and the P/S ratio (how many times revenue the share price is) is 954x, which look extremely high, but these figures simply arise because the company is still at a development stage where neither profit nor revenue has taken off, and they are hard to use as direct evidence of overvaluation.
- Since drug developers are priced by pre-reflecting the future success of their pipeline, book- and revenue-based multiples like P/B and P/S have effectively limited meaning.
- On financial stability, the current ratio of 941% gives ample short-term solvency and the interest coverage ratio is also sound, but with cash draining out every year for R&D, fundraising is repeatedly needed (a second-tranche convertible bond issue in April 2026).
- ROE (how much is earned in a year on equity) of -29.6% is also a figure that shows a phase in which capital is being consumed by development investment rather than earned as profit.
- Revenue fell for three straight years, from ₩18.7 billion in 2023 to ₩11.4 billion in 2024 to ₩4.3 billion in 2025, but this reflects not a declining business but the volatility characteristic of a clinical stage, where technology-fee and research-service income at specific points in time expires or is deferred.
- On the bottom line, after a net profit of ₩3.9 billion in 2023 (reflecting one-off income), losses continued at -₩28.6 billion in 2024 and -₩23.6 billion in 2025, and the first quarter of 2026 also showed a net loss of about ₩10.1 billion as development investment continues.
- This company's growth must be read not from the revenue curve but from clinical progress.
- Following the 12-week interim results of DD01's Phase 2 trial in June 2025 (75.8% of patients achieved a liver-fat reduction of 30% or more versus 11.8% on placebo), the final 48-week biopsy endpoints were released in May 2026, meeting all the key regulatory endpoints of fibrosis improvement and MASH resolution.
- That said, the company has provided no official revenue or profit targets for this year, and because its bottom line hinges on the discontinuous event of whether a licensing deal is struck, projecting forward earnings as a fixed figure is not appropriate.
- The trigger for growth is when, and at what size, a licensing-out deal is completed.
- Recent disclosure and IR flow runs along two axes.
- The first is clinical results.
- On May 27, 2026, the company disclosed the 48-week biopsy results from DD01's U.S.
- Phase 2 trial, reporting a statistically significant improvement in fibrosis versus placebo (fibrosis improvement without worsening of MASH, 50.0% vs. placebo 15.8%, p=0.0323), MASH resolution, and a composite endpoint achieving both simultaneously (37.5% vs. placebo 5.3%); these results were presented at the European Association for the Study of the Liver (EASL 2026).
- The second is funding and governance.
- In April 2026 the company secured R&D funding through a second-tranche convertible bond (CB) issue, and in May and June it held several investor briefings (IR) to explain the clinical results and partnering strategy to the market.
- On the strength of the Phase 2 data, the company has stated that it will accelerate licensing discussions with global pharmaceutical companies.
- The strengths to watch are clear.
- Over recent years, global pharmaceutical companies have been entering MASH and obesity metabolic disease assets on a large scale, and DD01 met the key regulatory endpoints with statistical significance in its Phase 2 trial right in the middle of this wave.
- This is data that, beyond simple success, strengthens the company's hand for an early licensing deal, and if one is struck, the bottom line could improve dramatically in the form of upfront and milestone payments.
- On the other hand, the cautions are equally clear.
- First, current own revenue and profit are negligible and losses continue, so the entire valuation rests on unrealized pipeline value.
- Second, licensing is a discontinuous event with uncertain timing and size, and entering Phase 3 brings large additional costs and repeated fundraising (equity dilution from convertible bonds and rights offerings).
- In sum, this is a typical event-driven drug developer: strong when DD01's partnering turns into an actual contract and follow-on pipeline data support it, weak when clinical work or negotiations are delayed or funding pressure grows.
- Rather than declaring it cheap or expensive by P/E or P/B, the right way to view this stock is to track the clinical and licensing progress of the pipeline directly.
🔎 Valuation vs peers Inconclusive
Clinical-stage R&D biotechs that are valued on pipeline value and licensing rather than their own product sales.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| ABL Bio | 0.00x | 29.13x | -24.44% |
| GI Innovation | 0.00x | 4.32x | -30.16% |
The comparison group, ABL Bio and GI Innovation, are likewise unprofitable clinical-stage companies, so their P/E ratios cannot be calculated and their P/B ratios do not reflect the substance of the business. D&D Pharmatech's P/B of 50.9x and P/S of 954x are very high in absolute terms, but for a drug developer at a stage before its earnings inflection, book- and revenue-based multiples are hard to use as evidence of overvaluation. This type is properly valued not by forward P/E or P/B but by the risk-adjusted value of its pipeline (clinical success probability, market size, and potential deal size). The strong Phase 2 data and the ongoing licensing discussions are clear upside factors, but with the timing and size of any deal not yet fixed, it is hard to declare the current share price fair or not. It is therefore more appropriate to leave it as Inconclusive rather than to nail it down as undervalued or overvalued, and to take the approach of checking DD01's licensing progress directly.
Price history Close · MA20 · MA60
The latest close is ₩86,600 and the market capitalization is ₩4.0 trillion. The price sits below its 20-day moving average (₩90,915) and above its 60-day moving average (₩82,572). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 49.7, a neutral level. The one-month change is -0.4%, the three-month change is +28.1%, and the position relative to the 52-week high is -72.9%. Relative strength versus the KOSDAQ is 83 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 83% of all stocks. Over the past three months it outpaced the index by 70.3%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
Relative performance stock vs index · start = 100
Excess return vs index · 3M +70.30% / 6M +7.49% / 12M -30.94%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 47.72x is above the sector median (7.05x).
Enterprise value (EV)
EV = market cap + net debt. It reflects cash and debt, so it captures the real cost of the whole business that market cap alone misses; lower multiples are cheaper relative to earnings or sales.
Profitability & financials
The operating margin is -791.0%. The debt ratio is 122.7%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $12.4M | $7.6M | $2.8M | -62.42% ↓ slower |
| Operating profit | -$8.9M | -$16.6M | -$22.5M | — |
| Net profit | $2.6M | -$19.0M | -$15.6M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | — | — | $12.4M | $7.6M | $2.8M |
| Operating profit | — | — | -$8.9M | -$16.6M | -$22.5M |
| Net profit | — | — | $2.6M | -$19.0M | -$15.6M |
| Revenue CAGR | 2-yr avg -52.03% | ||||
Revenue fell 62.4% year over year (2023 ₩18.7 billion → 2024 ₩11.4 billion → 2025 ₩4.3 billion), and the three-year trend is 'falling'. The rate of decline widened from the prior year. Operating results are in the red, so a swing back to profit matters more than the growth rate here. Over the 3 years on record, revenue compound annual growth (CAGR) is -52.0%. The two-year revenue CAGR is -52.0%. In the most recent quarter (Q1 2026), revenue was 90.9% lower than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 62.4% year over year (3-year trend: falling).
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-05-27EarningsReceived the 48-week biopsy results from the U.S. Phase 2 trial of the MASH drug DD01 (zavapeglutide). Achieved statistical significance versus placebo across all key histological regulatory endpoints, including fibrosis improvement (50.0% vs. 15.8%, p=0.0323), MASH resolution, and the composite endpoint (37.5% vs. 5.3%); presented at EASL 2026.A medium-term catalyst that greatly strengthens global licensing leverage by proving the Phase 2 efficacy of the core pipeline. In the short term, a direct basis for share-price momentum. Source
- 2026-04-22FilingDecision to issue a second-tranche convertible bond (CB). Fundraising to secure funds for clinical development and operations.An event that carries both the positive effect of securing the cash needed to continue trials and the caution of possible equity dilution upon future conversion into shares. Source
- 2026-04-30FilingResults of the second-tranche convertible bond securities issuance (voluntary disclosure). Actual completion of the CB issuance decided in April.The fundraising process is wrapped up, addressing the cash needs of the trials. Equity dilution is a medium-term caution that materializes at the time conversion is requested. Source
- 2026-06-10IRHeld an investor briefing (IR). Explained the Phase 2 biopsy results and the global partnering (licensing) strategy to the market.A communication event that conveys the meaning of the clinical data and the next-stage strategy to investors, affecting perceptions of pipeline value. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| DD01 Phase 2 fibrosis improvement rate (48-week biopsy) | DD01 50.0% approx. 15.8%(p=0.0323) | DD01 50.0% approx. 15.8%(p=0.0323), MASH p=0.0003 | Confirmed | link |
| 2025 net profit | -235.5 (base fundamentals) | DART | Confirmed | link |
| Q1 2026 net loss | -100.8 (base quarter) | 2026.03 | Confirmed | link |
Recent filings
- 2026-06-10Disclosure
- 2026-06-09OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-09OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-09OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-05Disclosure
- 2026-06-02Disclosure
- 2026-05-27Amended filing
- 2026-05-18Disclosure
- 2026-05-15OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-15PeriodicQuarterly report
- 2026-04-30Disclosure
- 2026-04-22Material-fact report (amended)
📖 Plain-language glossary — expand if you are new to this
- P/E
- How many times a year's net profit the price is worth (lower is cheaper relative to earnings). The P/E here is on trailing (last full-year) results; for companies whose earnings swing fast (memory chips and other cyclicals/high-growth), a forward P/E on this year's expected earnings is more accurate.
- P/B
- Price relative to net assets (equity). Around 1x means it trades near book value; below 1x means below book.
- P/S
- Price relative to a year's revenue — useful for growth companies with thin earnings.
- Net debt / EV
- Net debt = interest-bearing debt − cash. Negative means more cash than debt (net cash). EV (enterprise value) = market cap + net debt, closer to what it would cost to buy the whole business.
- EV/EBIT · EV/EBITDA · EV/Sales
- Enterprise value against operating profit (EBIT), EBITDA, or revenue. Unlike P/E these reflect debt and cash; lower is cheaper relative to earnings power or sales.
- FCF / FCF yield
- Free cash flow = operating cash − capex, the cash actually left over. FCF yield = FCF ÷ market cap; higher means more cash generated per unit of market value.
- Intrinsic value (DCF)
- Future free cash flow (or, for some capex-heavy but profitable names, forecast earnings) discounted to today to estimate per-share value. Because it shifts a lot with the discount-rate and growth assumptions, it is shown as a bear/base/bull range, and the basis and assumptions are disclosed in one line beneath it.
- ROE
- How much profit the company earns in a year on its equity (%). Higher means better returns on capital.
- EPS / BPS
- Earnings per share / net assets (book value) per share.
- Operating / net margin
- Profit left from the core business / final profit after tax and interest, per unit of revenue.
- Debt ratio
- Debt relative to equity (%). Higher means more reliance on borrowing (norms vary by sector).
- Current ratio
- Assets convertible to cash within a year against debt due within a year. Above 100% leaves some short-term headroom.
- Interest coverage
- How many times operating profit covers the interest owed. Below 1x means operating profit alone struggles to cover interest.
- Dividend yield / payout ratio
- The year's dividend as a % of today's price / the share of earnings paid out as dividends.
- Revenue CAGR
- Multi-year growth expressed as a single yearly average (compound annual growth rate).
- RSI (short-term signal)
- Whether recent price action is overheated or beaten down. Above 70 is overbought, below 30 oversold.
- MA20 / MA60 (moving averages)
- The 20- and 60-day average price. Price above them signals a firmer short-term trend.
- vs 52-week high
- How far below the past year's peak the price sits now (%).
All figures are for reference only; how they read varies by sector and over time.
Sources: Korea FSC market-price API (data.go.kr), OpenDART, KRX/KIND — public data only.
Bong Stocks presents public-data-based information for reference only. It is not investment advice and contains no target prices, ratings, or buy/sell recommendations. Verify independently before making any decision.