Editor's note: Seeking Alpha is proud to welcome Susan Chai as a new contributing analyst. You can become one too! Share your best investment idea by submitting your article for review to our editors. Get published, earn money, and unlock exclusive SA Premium access. I have worked in the securities investment industry for 15 years, from a mutual fund researcher to an equity fund manager, and later also a private equity fund manager. I have a master's degree and am very interested in research in the field of ...

Investment Rating - The report maintains a "Buy" rating for Legend Biotech (LEGN US) with a target price raised to $76.00, indicating a potential upside of 33.5% from the current price of $56.91 [1][5]. Core Insights - The second quarter of 2024 (2Q24) performance exceeded expectations, leading to an upward revision of the company's financial forecasts and target price. The total revenue for 2Q24 increased by 154% year-over-year to $187 million, with product and licensing revenues of $93 million and $91 million, respectively. The gross margin for product manufacturing surpassed 50% for the first time, reaching 51.4% [1][2]. - The company is expected to achieve breakeven by 2026, with revised revenue and net profit forecasts for 2024 set at $630 million and a net loss of $264 million, respectively [1][2][6]. - Sales momentum for Carvykti is strong, with 2Q24 sales growing by 60% year-over-year and 18% quarter-over-quarter to $186 million. The number of hospitals offering Carvykti treatment in the U.S. has increased to 77, with expectations to reach approximately 100 by year-end [1][2]. Financial Forecast Summary - Revenue projections for Legend Biotech have been adjusted as follows: - 2024E: $630 million (previously $600 million, +5.0%) - 2025E: $1,051 million (unchanged) - 2026E: $1,382 million (unchanged) [2][6]. - Gross profit estimates have also been revised: - 2024E: $360 million (previously $336 million, +7.3%) - 2025E: $604 million (previously $576 million, +5.0%) - 2026E: $849 million (unchanged) [2][6]. - The gross margin is expected to improve to 48.0% in 2024, 53.0% in 2025, and 60.0% in 2026 [2][6]. Valuation Model - The discounted cash flow (DCF) model indicates a present value of free cash flow at $2,837 million and a terminal value present value of $9,637 million, leading to an enterprise value of $12,475 million. After accounting for net cash of $1,379 million, the equity value is estimated at $13,853 million, resulting in a per-share value of $76.00 [4][6].

Investment Rating - The report maintains a **Buy** rating for Legend Biotech (LEGN US) with a target price of **$76.00**, representing a potential upside of **33.5%** [1][5] Core View - The report highlights that the current stock price does not fully reflect the global commercialization potential of Carvykti in multiple myeloma (MM) treatment lines [1] - Legend Biotech's 2Q24 performance exceeded expectations, leading to an upward revision of the 2024 financial forecasts and target price [1] - The company is expected to achieve breakeven by 2026, driven by strong revenue growth and improving cost efficiency [1] Financial Performance - **2Q24 Revenue**: Total revenue increased by **154% YoY** to **$187 million**, with product revenue at **$93 million** and licensing revenue at **$91 million** [1] - **Gross Margin**: Product gross margin exceeded **50%** for the first time, reaching **51.4%** [1] - **Net Loss**: 2Q24 net loss narrowed significantly to **$18 million** (2Q23: **$199 million**), at the lower end of the loss guidance range [1] - **2024 Forecast**: Revenue and net profit forecasts for 2024 are revised to **$630 million** and **-$264 million**, respectively [1] Carvykti Sales and Capacity Expansion - **Carvykti Sales**: 2Q24 sales grew **60% YoY** and **18% QoQ** to **$186 million** [1] - **Hospital Coverage**: The number of US hospitals offering Carvykti treatment increased to **77** (from **71** in 1Q24), with a target of **100** by year-end [1] - **Outpatient Treatment**: The proportion of outpatient treatment reached **45%** (up from **35%** in 1Q24) [1] - **Capacity Expansion**: Key capacity expansions include: - Novartis initiated clinical production in July, releasing additional commercial capacity in New Jersey [1] - Belgium Phase 1 capacity expected to be approved in 2H24, with Phase 2 and New Jersey expansions set for 2025 [1] - Out-of-stock (OOS) rates for 2-4L MM indications decreased slightly in 2Q24, with further reductions of **5-10%** expected, improving production efficiency and gross margins [1] Financial Model Updates - **Revenue Forecasts**: 2024E revenue revised to **$630 million** (up **5.0%** from previous forecast), with 2025E and 2026E forecasts unchanged at **$1,051 million** and **$1,382 million**, respectively [2] - **Gross Profit**: 2024E gross profit revised to **$360 million** (up **7.3%**), with 2025E and 2026E forecasts at **$604 million** and **$849 million**, respectively [2] - **Net Profit**: 2024E net loss revised to **-$264 million** (from **-$366 million**), with 2026E net profit forecast at **$78 million** [2] Valuation and DCF Model - **DCF Model**: The DCF model's starting year rolled forward to 2025, with a target price of **$76.00** [1] - **Free Cash Flow**: Free cash flow is projected to turn positive in 2025, reaching **$334 million**, and growing to **$1,419 million** by 2033 [3] - **Enterprise Value**: Estimated at **$12,475 million**, with equity value of **$13,853 million** and a per-share value of **$76.00** [4] Industry Comparison - Legend Biotech is part of the **Biotech** sub-sector, with a **Buy** rating and a **33.5%** potential upside [5] - Other notable companies in the Biotech sub-sector include **BeiGene (6160 HK)** with a **41.9%** potential upside and **Hutchmed (13 HK)** with a **29.7%** potential upside [5]

1 August 9, 2024 Second Quarter 2024 Financial Results & Corporate Update This presentation is for investor relations purposes only - Not for product promotional purposes Forward-looking Statements This presentation has been prepared by Legend Biotech Corporation ("Legend Biotech" or the "Company") solely for information purpose and does not contain all relevant information relating to the Company. The safety and efficacy of the agents and/or uses under investigation discussed in this presentation have not ...

Legend Biotech Overview - Legend Biotech's shares rose 12 1% on Friday following a takeover bid report from an unidentified bidder [10] - The company hired investment banking firm Centerview Partners to review the takeover offer [11] - Legend Biotech currently has only one marketed product, Carvykti, an autologous CAR-T cell therapy for multiple myeloma (MM), marketed in partnership with Johnson & Johnson [12] Carvykti and Abecma Comparison - Carvykti and Abecma are both FDA-approved CAR-T therapies with similar mechanisms, but Carvykti has an edge due to its use as an earlier line of treatment in MM patients [2] - The FDA granted label expansion to Carvykti in April, allowing it to treat adult MM patients who have received at least one prior line of therapy, compared to its previous fifth-line treatment approval [7] - Before the label expansion, only 15% of initially diagnosed MM patients in the US could start a fifth line of therapy, but the new label is expected to cater to a wider patient population [8] Manufacturing and Revenue Potential - Johnson & Johnson claims to have more than doubled its manufacturing capacity last year in anticipation of increased demand for Carvykti post-label expansion [8] - The new labels for both Carvykti and Abecma are expected to boost their revenue-generating potential [2] Industry and Competitor Impact - Legend Biotech's rival, 2seventy bio (TSVT), also saw a 7% increase in shares on July 12 due to the takeover report [1] - 2seventy bio markets Abecma in partnership with Bristol Myers, which also received FDA label expansion for treating adults with r/r MM who have received two or more prior lines of therapy [4] Stock Performance - Year to date, Legend Biotech's shares have lost 9 7% compared to the industry's 2 6% fall [5]

1 May 13, 2024 First Quarter 2024 Financial Results & Corporate Update This presentation is for investor relations purposes only - Not for product promotional purposes Forward-looking Statements This presentation has been prepared by Legend Biotech Corporation ("Legend Biotech" or the "Company") solely for information purpose and does not contain all relevant information relating to the Company. The safety and efficacy of the agents and/or uses under investigation discussed in this presentation have not bee ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________________ FORM 6-K ________________________________ Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 Date of Report: May 13, 2024 Commission File Number: 001-39307 ________________________________ Legend Biotech Corporation (Exact Name of Registrant as Specified in its Charter) ________________________________ 2101 Cottontail Lane Somerset, New Jersey 08873 ...

Investors are always looking for stocks that are poised to beat at earnings season and Legend Biotech Corporation (LEGN) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Legend Biotech is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F o REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR o SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 1 ...

Legend Biotech Reports Fourth Quarter and Full Year 2023 Results and Recent Highlights SOMERSET, N.J.—March 11, 2024— Legend Biotech Corporation (NASDAQ: LEGN) (Legend Biotech), a global leader in cell therapy, today reported its fourth quarter and full year 2023 unaudited financial results and key corporate highlights. "With worldwide sales of half a billion dollars in its first full year of commercialization, our rapid, successful launch of CARVYKTI reinforces its position as a leading CAR-T therapy for p ...