Eisai Co. Ltd. (ESAIY) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Eisai Co. Ltd. stock $6.84, price $7.73, that is 11.4% below the price, quality 61 out of 100. Rating: overvalued. Calculated from audited financials with 25 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $5.49 – $70.35 · fair‑value band $5.36 – $8.81 · the $7.73 price screens above the $6.84 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 8, 2026.
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Eisai Co., Ltd. engages in the research, development, manufacture, and sale of pharmaceuticals in Japan. The company operates through pharmaceuticals business and other business segments.
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It offers Lenvima, a multi-kinase inhibitor which is involved in tumor angiogenesis or tumor malignancy; LEQEMBI, a humanized IgG1 monoclonal antibody against amyloid-beta (Aß) protofibrils; and Dayvigo, a novel small molecule compound.
The company also provides prescription drugs; and over-the-counter drugs, as well as focuses on neurology and oncology, and other therapeutic areas. It operates in Europe, the Middle East, Africa, Russia, Oceania, the Americas, China, East Asia, the Global South, and internationally.
The company was formerly known as Nihon Eisai Co., Ltd. and changed its name to Eisai Co., Ltd. in 1955. Eisai Co., Ltd. was incorporated in 1941 and is headquartered in Tokyo, Japan.
Stock analysis
Eisai Co. Ltd. (ESAIY) currently trades at $7.73, while our model-based Fair Value estimate is $6.84, 11% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of $4.82 per share, and 1 of the 25 models we run sit above the $7.73 price.
Bear case: the Asset-Based group reads lowest at $1.19, and 24 of the 25 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $5.36 (bear) to $8.81 (bull), the price of $7.73 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 61/100 (solid quality), in the Healthcare sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Eisai Co. Ltd. reported revenue of ¥875B in FY2026 versus ¥756B in FY2022, a compound +3.7%/yr. Reported net income was ¥40.9B in FY2026, compounding −3.9%/yr from FY2022.
Key figures
Market cap $8.7B Mid · P/E ratio 33.6 · P/S ratio 1.57 · EPS (TTM) $0.2300 · Dividend yield 3.2% · Net margin 4.7% · Return on equity 5.0% · Return on assets (EBIT) 3.6% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 32 out of 100 (medium confidence).
What moves the price
The share trades about 6% below its 52-week high and 35% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Healthcare peers we cover trades at −27% fair-value upside, at −11%, ESAIY screens cheaper than that median.
Fair Value models
Bear$5.36Fair Value $6.84Bull$8.81
Price $7.73 · Downside -11.4%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 7 months old). Earnings retained since then ($0.1405 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Best data coverage
FCF DCF$3.54$4.67$6.1882
Growth DCF$3.61$4.67$6.0180
Owner Earnings$3.27$4.30$5.6778
All 25 models by family
DCF Models
FCF DCF$3.54$4.67$6.1882
Owner Earnings$3.27$4.30$5.6778
5Y Revenue Exit$3.00$4.04$5.3174
5Y EBITDA Exit$4.41$6.55$8.9275
5Y P/E Exit$3.77$5.42$7.0471
10Y Revenue Exit$3.13$4.08$5.2168
10Y EBITDA Exit$4.04$5.71$7.7469
10Y P/E Exit$3.65$4.97$6.4265
Earnings-Based
Graham-Dodd$1.56$3.49$4.4665
PEG = 1.0$0.5700$0.8100$1.0657
EPV$2.20$2.44$2.6574
Dividend Discount
Gordon GGM$2.31$3.61$4.9968
DDM Multi-Stage$2.31$3.29$4.3267
Multiples
P/E Multiple$3.78$5.03$6.2963
P/S Multiple$2.92$3.89$4.8658
P/B Multiple$10.47$13.96$17.4555
EV/EBIT$3.38$4.39$5.4066
EV/EBITDA$5.30$6.96$8.6267
EV/Revenue$2.51$3.44$4.3754
Asset-Based
NCAV (Graham)$0.7800$1.19$1.4954
Growth DCF
Growth DCF$3.61$4.67$6.0180
Rev-Margin DCF$3.00$4.09$5.2574
Economic Profit
Residual Income$3.78$3.81$3.9776
ROIC Compounder$2.20$2.44$2.6572
Growth Earnings
Growth-Adj P/E$2.81$4.02$5.2267
The fair value above starts from this blend and is adjusted for a year distorted by one-off effects.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.67/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+10.9%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.5%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+6.3%
Start year 2021 (pandemic). Over 10 years: +4.8% a year
Revenue growth 26 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.2%
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What shareholders gained per year (last 5 years), in JPY ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Measured in JPY: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+0.4%
Earnings growth per share plus dividend.
Earnings per share, growth per year−2.8%
Dividend (yield on the price)3.2%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−2.8% vs −0.4%, steady
Profit margin 2021 to 2026 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.8% → 5%
Pace: the 5-year rate starts in 2021 (pandemic)
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+15.2%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+5.3%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in JPY, Japan: IMF forecast 2.1% a year to 2030, 1.3% from 2016 to 2025) that is about +12.8% a year for the price and +3.1% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: The business gains from convenient at-home dosing approvals for its key Alzheimer treatment but remains limited by thin margins and low ROE in a commoditized generics profile.
Main risk: Eli Lilly’s Kisunla with monthly dosing and potential treatment discontinuation after amyloid clearance could capture greater market share from Eisai’s Leqembi in the Alzheimer’s space.
Bull case: Eisai could leverage its subcutaneous pen formulation and pipeline combinations such as anti-tau antibodies to differentiate Leqembi and retain or expand its position against rivals.
Bear case: Lilly’s Kisunla and other anti-amyloid therapies could gain dominance through dosing convenience and broader approvals, leaving Eisai’s heavy reliance on Leqembi exposed to sustained lower revenues and margins in neurology.
Eisai has gained approvals for Leqembi’s subcutaneous pen formulation in Japan and China, allowing at-home dosing for early Alzheimer’s. These moves could broaden access and ease the burden of infusions, but the company’s results still hinge heavily on this single product and its oncology alliances in a field with many rivals. Will the convenience of self-administration drive meaningful new patient starts or mainly cushion slower growth in established channels?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Drug Manufacturers - Specialty & Generic · 549 stocks
Beats the industry median on 6/14 measures
A mixed picture versus its industry peers.
Valuation
Quality Score61 · Above median
Fair Value upside−11.4% · Above median
Profitability
Return on equity (12 months)5.0% · Below median
Return on assets2.8% · Below median
Net margin (12 months)4.9% · Below median
Operating margin (12 months)10.6% · Below median
Growth and dividend
Revenue growth (quarter YoY)15.6% · Above median
Dividend yield (12 months)3.2% · Above median
Balance sheet
Debt / equity0.15× · Above median
Valuation Multiplesvs Drug Manufacturers - Specialty & Generic median · lower = cheaper
P/E (12 months)33.6× · Pricier than median
P/B1.53× · Cheaper than median
P/S (12 months)1.61× · Cheaper than median
Price / free cash flow (fiscal year)28.3× · Pricier than median
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Is Eisai Co. Ltd. (ESAIY) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $6.84 versus a price of $7.73, about 11% lower (overvalued).
What is the fair value of ESAIY?
Our model-based fair value for Eisai Co. Ltd. is $6.84 (as of Nov 8, 2026), built from audited fundamentals. The current price: $7.73.
What is the quality score of ESAIY?
Eisai Co. Ltd. has a Quality Score of 61/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Eisai Co. Ltd. (ESAIY)?
Our model-based price target is the fair value of $6.84 (as of Nov 8, 2026) from 25 valuation models. Cautious scenario $5.36, optimistic scenario $8.81. It is a calculation from audited fundamentals, not an analyst target.
What is the Eisai Co. Ltd. stock forecast for 2026?
Our models put fair value at $6.84, about 11% lower versus a price of $7.73 (overvalued). Cautious scenario $5.36, optimistic scenario $8.81. The calculation is refreshed regularly with new filings.
What is the revenue of Eisai Co. Ltd. (ESAIY)?
Eisai Co. Ltd. reported trailing-twelve-month revenue of about ¥857B (latest available figure, as of Nov 8, 2026).
Does Eisai Co. Ltd. pay a dividend?
Eisai Co. Ltd. currently shows a dividend yield of 3.21% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of Eisai Co. Ltd. (ESAIY) and when is the ex-dividend date?
Eisai Co. Ltd. has a dividend yield of 3.2%. The last ex-dividend date was Mar 31, 2026. A dividend has been paid every year since at least 2001. The payout ratio is 108% of earnings. Free cash flow covers the dividend 1.10 times. Our assessment: Payout strained. The dividend exceeds reported earnings (though reported profit is often depressed by one-off charges), and free cash flow only just covers it (or coverage is unknown). Not an emergency, but little room for error.
What growth is priced into Eisai Co. Ltd. (ESAIY)?
For today's price to be fair in a discounted-cash-flow model, Eisai Co. Ltd. would have to grow free cash flow by +15.2 % per year for five years (discount rate 9.7 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +6.3 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of ESAIY use?
Our models discount Eisai Co. Ltd. at 9.7 %: a base by market capitalisation (mid), country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Eisai Co. Ltd. that is +15.2 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (9.7 %) and the same formula as our fair value.
How much growth has Eisai Co. Ltd. (ESAIY) delivered so far?
Over the past 5 years revenue at Eisai Co. Ltd. grew +6.3 % a year. The price currently implies free-cash-flow growth of +15.2 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Eisai Co. Ltd. (ESAIY) growing?
The median revenue growth in the sector is +6.2 % a year. That is the yardstick for the growth priced into Eisai Co. Ltd. (+15.2 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Eisai Co. Ltd. (ESAIY)?
The free-cash-flow yield on the price is 3.54 %: that much free cash flow Eisai Co. Ltd. produces per unit of market value. When it exceeds the discount rate of our models (9.7 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Eisai Co. Ltd. (ESAIY)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Eisai Co. Ltd. it is $6.84 per share (as of Nov 8, 2026), against a price of $7.73. It is the blended result of 25 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Eisai Co. Ltd. stock overvalued or undervalued in 2026?
As of Nov 8, 2026, ESAIY trades above its calculated fair value: price $7.73, fair value $6.84, a gap of about −11% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of ESAIY?
No. The price is what the market pays today ($7.73); the fair value is what the company's own numbers justify ($6.84). For Eisai Co. Ltd. the two are $0.8816 per share apart. That gap is exactly why we show both numbers side by side.
How much is Eisai Co. Ltd. worth?
The market values Eisai Co. Ltd. at about $8.7B (market capitalisation, as of Nov 8, 2026). Per share that is $7.73; our models calculate a fair value of $6.84 per share.
What do the bullish and bearish scenarios say about ESAIY?
Our models span a range for Eisai Co. Ltd.: cautious scenario $5.36, base $6.84, optimistic $8.81 per share (as of Nov 8, 2026, price $7.73). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of ESAIY?
Eisai Co. Ltd. trades at a price-to-earnings ratio of 33.6 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $6.84 is built from several models across several years. Other multiples: P/B 1.5, P/S 1.6, EV/EBITDA 13.2.
How solid is the balance sheet of Eisai Co. Ltd. (ESAIY)?
Balance-sheet figures for Eisai Co. Ltd. (as of Nov 8, 2026): return on equity 5.0%, debt of 0.15 per unit of equity. They feed the Quality Score of 61/100, which measures business quality independently of the share price.
How far is ESAIY from its 52-week high?
Eisai Co. Ltd. trades at $7.73, about 6% below its 52-week high of $8.18 and 35% above the low of $5.71 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $6.84 is for.
Which stocks are comparable to Eisai Co. Ltd.?
From the same area (Healthcare) we also value Merck KGaA, Takeda Pharmaceutical Company, Galderma Group, Teva Pharmaceutical Industries Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Eisai Co. Ltd. stock attractive at the current price?
The data as of Nov 8, 2026: price $7.73, calculated fair value $6.84 (−11%), Quality Score 61/100, from 25 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of ESAIY calculated?
We run Eisai Co. Ltd. through 25 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $6.84 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Eisai Co. Ltd. itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Eisai Co. Ltd. (ESAIY)?
The closing price on Nov 6, 2026 was $7.73. Our model-based fair value is $6.84, about 11% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Eisai Co. Ltd. right now?
The price sits in the upper half of our model range, so the margin of safety is thin. Read the verdict with care: some models are missing inputs, so the estimate scatters more than usual.
Key figures of Eisai Co. Ltd.
How large is the market capitalisation of Eisai Co. Ltd. (ESAIY)?
The market capitalisation of Eisai Co. Ltd. is $8.7B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Eisai Co. Ltd. (ESAIY)?
The price-to-sales ratio of Eisai Co. Ltd. is 1.57 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Eisai Co. Ltd. (ESAIY)?
Earnings per share at Eisai Co. Ltd. are $0.2300 (price ÷ EPS = P/E 33.6). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Eisai Co. Ltd. (ESAIY)?
The dividend yield of Eisai Co. Ltd. is 3.2% (payout 108%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Eisai Co. Ltd. (ESAIY)?
The net margin of Eisai Co. Ltd. is 4.7% (fiscal year 2026). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Eisai Co. Ltd. (ESAIY)?
The return on equity (ROE) of Eisai Co. Ltd. is 5.0% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Eisai Co. Ltd. (ESAIY)?
On an EBIT basis the return on assets of Eisai Co. Ltd. is 3.6% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Eisai Co. Ltd. (ESAIY)?
The operating margin of Eisai Co. Ltd. is 10.6% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Eisai Co. Ltd. (ESAIY)?
Revenue at Eisai Co. Ltd. is growing +15.6% versus a year earlier (3y avg +5.5%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Eisai Co. Ltd. (ESAIY)?
Earnings per share at Eisai Co. Ltd. are growing +26.0% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Eisai Co. Ltd. (ESAIY) hold?
Eisai Co. Ltd. holds more cash than debt, ¥59.6B net (fiscal year 2026). The company holds more cash than debt, a safety cushion.
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Some data
Nov 8, 2026