Tekla Life Sciences Investors

Tekla Life Sciences Investors

HQLยทNYSE

$16.93

-1.5%
Financial ServicesAsset Management

Tekla Life Sciences Investors is a closed-ended equity mutual fund launched and managed by Tekla Capital Management LLC. The fund invests in public equity markets across the globe. It seeks to invest in stocks of companies operating in the life sciences sector, including the biotechnology, pharmaceutical, diagnostics, managed healthcare, medical equipment, hospitals, healthcare information technology and services, devices and supplies industries, and in agriculture and environmental management industries. The fund primarily invests in growth stocks of small cap companies. It employs fundamental analysis with a focus on factors such as market position for services or products, experience of business management, technological expertise, and the ability either to generate funds internally to finance growth or to secure outside sources of capital to create its portfolio. The fund benchmarks the performance of its portfolio against the NASDAQ Biotech Index and the S&P 500 Index. It was formerly known as H&Q Life Sciences Investors fund. Tekla Life Sciences Investors was formed on February 20, 1992 and is domiciled in the United States.

At a Glance

Live Snapshot
Market Cap$514.81M
EPS2.9600
P/E Ratio5.72
Earnings Date06/24/2025

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is compressed (P/E 5.7).

Valuation inputs: P/E 5.7, earnings yield +17.5%, momentum -1.5%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is strong (ROE +16.7%, ROIC +16.6%).

Profitability stack: net margin +99.1%, ROE +16.7%, ROIC +16.6%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile looks controlled across current risk inputs.

Risk factors: liabilities/assets +0.3%, momentum -1.5%, net margin +99.1%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

hql

Tekla Life Sciences Investors Market vs Earnings Trajectory

HQL ยท NYSE

Loading price and EPS data...

Tekla Life Sciences Investors

Tekla Life Sciences Investors Fair Value Envelope

HQL ยท NYSE

Our analysis suggests that HQL has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $16.93, this represents a potential HIDDEN relative to our calculated worth for Tekla Life Sciences Investors.

Intrinsic Value
Current Price: $16.93
3Y-173.0%
5Y-43.0%
10Y+196.0%
3Y+171.0%
5Y+121.0%
10Y+1273.0%
3Y-182.0%
5Y-30.0%
10Y-819.0%
3Y+24.0%
5Y+6.0%
10Y+23.0%
Tekla Life Sciences Investors

Tekla Life Sciences Investors Profit Bridge

HQL ยท NYSE
Revenue86.39M
Cost of Goods Sold (0.00)
Gross Profit86.39M
Operating Expenses (791.57K)
Operating Income85.59M
Interest Expense (0.00)
Other Income/Expense0.00
Pretax Income85.59M
Income Tax (0.00)
Net Income85.59M
Net Income
85.59M

Profitability Analysis

Gross Margin

100.0%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

99.1%

Outstanding operational efficiency. The company generates substantial profit from core operations.

Net Profit Margin

99.1%

Exceptional profitability. The company converts a significant portion of revenue to bottom-line earnings.

Effective Tax Rate

0.0%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

Exceptional profitability across all levels: Strong pricing power, efficient operations, and healthy bottom line indicate a high-quality business with sustainable competitive advantages.

100.00%
Gross Profit Margin
3Y+21.0%
5Y+15.0%
10Y+369.0%
99.08%
Operating Profit Margin
1%
3Y-130.0%
5Y-69.0%
10Y-264.0%
99.08%
Net Profit Margin
1%
3Y-130.0%
5Y-69.0%
10Y-152.0%
16.66%
Return on Equity
-10%
3Y-163.0%
5Y-35.0%
10Y-681.0%
16.61%
Return on Assets
-10%
3Y-166.0%
5Y-35.0%
10Y-682.0%
16.63%
Return on Invested Capital
-8%
3Y-167.0%
5Y-35.0%
10Y-1921.0%
HQL

Tekla Life Sciences Investors Cash Conversion Engine

HQL ยท NYSE
Net Income85.59M
Depreciation & Amortization0.00
Stock-Based Compensation0.00
Change in Working Capital-203.41K
Others-87.71M
Capital Expenditures-5.00
Free Cash Flow-2.32M

Cash Flow Quality Analysis

FCF Conversion Rate

-2.7%

Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.

CapEx Intensity

-0.0%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

Working Capital Impact

-$203.41K

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

Cash Flow Quality Insight

Cash flow concerns: Despite profitability, the company is burning cash. Review working capital management, CapEx levels, and sustainability of current operations.

hql

Tekla Life Sciences Investors Funding & Solvency Profile

HQL ยท NYSE
Cash & Cash Equivalents75.54K
Net Receivables1.14M
Inventory0.00
Other Current Assets0.00
Total Current Assets1 M
Property, Plant & Equipment0.00
Goodwill & Intangible Assets0.00
Long-Term Investments0.00
Other Non-Current Assets514.13M
Total Non-Current Assets514 M
Total Assets
515.38M

Financial Health Analysis

Current Ratio

1.74x

Strong liquidity. The company has adequate resources to meet short-term liabilities.

Debt-to-Equity Ratio

0.00x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

532 K

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

0% Current

Capital-intensive business with significant long-term investments in property, equipment, or intangibles.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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Tekla Life Sciences Investors Street Expectations Map

HQL ยท NYSE

No Target Data

No analyst price targets available for hql.

hql

Tekla Life Sciences Investors Insider Positioning

HQL ยท NYSE

During the last 12 months, insiders have purchased $134K and sold $2.53M worth of HQL shares, resulting in $2.40M of net selling activity.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

7.9K

133.75K

Sold

0

0.00

Net Activity

+134K

+$134K

6-9 Months

Bought

0

0.00

Sold

131.0K

1.85M

Net Activity

-1.8M

-$1.85M

9-12 Months

Bought

0

0.00

Sold

48.9K

683.46K

Net Activity

-683K

-$683K

Top Buyers

1
PC

Pittard Christian

Director

7.9K sharesโ€ข1 transactions

$134K

Top Sellers

1
SCML

Saba Capital Management, L.P.

10 Percent Owner

179.9K sharesโ€ข11 transactions

$2.53M

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $2.40M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.05:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Insider Participation

Balanced

1 insider buyers and 1 sellers. Equal participation suggests mixed or neutral insider views.

7.06%
Dividend Yield
-8%
3Y+44.0%
5Y+211.0%
10Y+317.0%
ย 

hql Dividend History

HQL
10Y CAGR 4%
Latest $0.56
Annual $2.47
Stable dividend payments
Last Period: +0%