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1. Company Snapshot

1.a. Company Description

Evogene Ltd., together with its subsidiaries, operates as a computational biology company.It focuses on product discovery and development in multiple life-science based industries, including human health and agriculture, through the use of its Computational Predictive Biology (CPB) platform.The CPB platform, incorporating a deep understanding of biology leveraged through big data and artificial intelligence, designed to computationally discover and uniquely guide the development of life-science products based on microbes, small molecules, and genetic elements.


The company operates through three segments: Agriculture, Human Health, and Industrial Applications.The Agriculture segment develops seed traits, ag-chemical products, and ag-biological products to enhance plant performance.Its products focus on various crops, such as corn, soybean, wheat, rice, and cotton.


The Industrial Applications segment develops enhanced castor bean seeds to serve as a feedstock source for other industrial uses.The Human Health segment discovers and develops human microbiome-based therapeutics for the treatment of immuno-oncology, GI related disorders, and antimicrobial resistance organisms.The company also provides medical cannabis products.


It operates in the United States, Israel, Brazil, and internationally.The company has strategic collaborations and licensing agreements with agricultural companies, such as BASF SE, Corteva, and Bayer; and through its subsidiary, Canonic Ltd., has a collaboration agreement with Cannbit Ltd.for the development of novel medical cannabis products.


Evogene Ltd.was founded in 1999 and is headquartered in Rehovot, Israel.

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1.b. Last Insights on EVGN

Evogene Ltd.'s recent performance was negatively impacted by its strategic transition towards computational chemistry, which involved an organizational realignment and cost-reduction plan. The company's Q3 2025 earnings call highlighted the challenges of this transition. Although Casterra, a subsidiary of Evogene, partnered with Fantini to advance agricultural mechanization for scalable commercial castor farming on November 11, 2025, this development did not offset the overall negative sentiment. The company's focus on generative design of small molecules for pharmaceutical and agricultural industries is a long-term strategy.

1.c. Company Highlights

2. Evogene's Strategic Shift towards Computational Chemistry Pays Off

Evogene's financial performance for the first 9 months of 2025 showed a significant decrease in net loss to approximately $2.5 million, compared to $18 million in the same period last year. The company's revenue decreased to $3.5 million in the 9 months ending September 30, 2025, from $4 million in the same period last year. However, the company's cash and short-term bank deposit balance was approximately $16 million as of the end of the third quarter of 2025. EPS came out at $0.4444, beating estimates of -$0.41.

Publication Date: Nov -21

📋 Highlights
  • Cost Reduction Success: Operating expenses dropped to $2.9M in Q3 2025 vs. $6.6M in Q3 2024.
  • Lavie Bio Income: Generated $7.9M in Q3 2025 from transferring assets to ICL.
  • Reduced R&D Expenditure: R&D costs fell to $5.9M (9Mths 2025) from $9.8M (9Mths 2024).
  • Net Loss Improvement: Net loss narrowed to $2.5M (9Mths 2025) vs. $18M in same period 2024.
  • Liquidity Position: Cash and short-term deposits rose to $16M as of Q3 2025.

Operational Efficiency and Cost Reduction

The company's efforts to reduce costs and improve operational efficiency have been successful, with total operating expenses decreasing to approximately $2.9 million in the third quarter of 2025, compared to $6.6 million in the same period of 2024. Research and development expenses also decreased to approximately $5.9 million in the 9 months ending September 30, 2025, compared to $9.8 million in the same period of 2024. As Ofer Haviv, President and CEO, noted, "Our business strategy is designed to maximize potential while minimizing risk."

Advancements in Computational Chemistry and AI

Evogene's focus on computational chemistry and AI has led to significant advancements, particularly in the generative design of small molecules for the pharmaceutical and agriculture industries. The company's ChemPass AI technology has been gaining interest, and Evogene is well-positioned to capitalize on this trend, with plans to announce additional collaboration agreements with biotech companies in the coming year.

Valuation and Growth Prospects

With a P/S Ratio of 1.51 and an estimated revenue growth of 12.4% next year, Evogene's valuation appears reasonable. However, the company's ROE of 438.89% and ROIC of -65.33% suggest that while the company is generating returns on equity, it is not efficiently utilizing its capital to generate returns on investment. Analysts should continue to monitor Evogene's progress in the coming quarters to determine if the company's strategic shift towards computational chemistry will lead to sustained growth and profitability.

3. NewsRoom

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EverGen Infrastructure Corp. (EVGN:CA) Q3 2025 Earnings Call Transcript

Nov -21

Source: seekingalpha.com

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EverGen Infrastructure Reports Q3 2025 Results

Nov -21

Source: businesswire.com

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Evogene Ltd. (EVGN) Q3 2025 Earnings Call Transcript

Nov -20

Source: seekingalpha.com

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Evogene Reports Third Quarter 2025 Financial Results

Nov -20

Source: prnewswire.com

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Casterra and Fantini Partner to Advance Agricultural Mechanization for Scalable Commercial Castor Farming

Nov -11

Source: prnewswire.com

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Evogene Schedules Third Quarter 2025 Financial Results Release

Nov -06

Source: prnewswire.com

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EverGen Infrastructure Provides Operations and Development Updates

Sep -26

Source: businesswire.com

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Evogene to Present at H.C. Wainwright 27th Annual Global Investment Conference in New York

Aug -28

Source: prnewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (10.12%)

6. Segments

Agriculture

Expected Growth: 9.9%

Evogene Ltd.'s 9.9% growth in Agriculture is driven by increasing demand for sustainable crop protection, precision agriculture, and biotechnology solutions. Rising global food security concerns, advancements in gene editing, and growing adoption of digital farming practices also contribute to this growth.

Industrial Applications

Expected Growth: 10.98%

Evogene's Industrial Applications segment growth of 10.98% is driven by increasing demand for sustainable and eco-friendly products, expansion into new markets, and strategic partnerships. The company's proprietary gene editing technology and microbial solutions for industries such as agriculture, oil and gas, and pharmaceuticals are also contributing to growth.

Human Health

Expected Growth: 11.57%

Evogene's Human Health segment growth of 11.57% is driven by increasing demand for microbiome-based therapies, strategic partnerships, and a strong pipeline of novel candidates. The company's AI-powered discovery platform and expertise in gene editing technologies also contribute to its growth momentum.

Unallocated

Expected Growth: 10.47%

Evogene's 10.47% growth is driven by increasing adoption of its gene editing technology in agriculture, strong partnerships with leading biotech companies, and expansion into new markets such as medical cannabis. Additionally, the company's focus on R&D and intellectual property development has led to a strong pipeline of innovative products, contributing to its rapid growth.

7. Detailed Products

Biomarkers

Evogene's biomarkers are genetic markers that can identify specific traits or characteristics in plants, allowing for more efficient and effective breeding.

Gene Editing

Evogene's gene editing technology enables precise and efficient modification of genes in plants, allowing for improved traits and characteristics.

Microbiome Modulation

Evogene's microbiome modulation technology enables the manipulation of microbial communities to improve plant health and productivity.

Crop Design

Evogene's crop design technology uses AI-powered genomics and machine learning to design and develop new crop varieties with improved traits.

Gene Discovery

Evogene's gene discovery technology uses advanced genomics and machine learning to identify novel genes and genetic variations.

Trait Optimization

Evogene's trait optimization technology uses machine learning and genomics to optimize crop traits for improved performance.

8. Evogene Ltd.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Evogene Ltd. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the evolving nature of the biotech industry.

Bargaining Power Of Customers

Evogene Ltd.'s customers are primarily large corporations and research institutions, which have limited bargaining power due to the specialized nature of the company's products and services.

Bargaining Power Of Suppliers

Evogene Ltd. relies on a limited number of suppliers for its research and development activities, which gives them some bargaining power, but the company's specialized requirements limit the suppliers' negotiating power.

Threat Of New Entrants

The biotech industry has high barriers to entry, including significant research and development costs, regulatory hurdles, and the need for specialized expertise, making it difficult for new entrants to compete with Evogene Ltd.

Intensity Of Rivalry

The biotech industry is highly competitive, with many established players and new entrants vying for market share, which increases the intensity of rivalry for Evogene Ltd.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 48.84%
Debt Cost 9.76%
Equity Weight 51.16%
Equity Cost 9.76%
WACC 9.76%
Leverage 95.46%

11. Quality Control: Evogene Ltd. passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Sol-Gel Technologies

A-Score: 4.4/10

Value: 6.6

Growth: 3.7

Quality: 6.0

Yield: 0.0

Momentum: 10.0

Volatility: 0.0

1-Year Total Return ->

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Stock-Card
Pharming

A-Score: 3.7/10

Value: 3.2

Growth: 3.9

Quality: 4.3

Yield: 0.0

Momentum: 10.0

Volatility: 1.0

1-Year Total Return ->

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Oxford Biomedica

A-Score: 3.7/10

Value: 6.4

Growth: 2.0

Quality: 3.1

Yield: 0.0

Momentum: 9.0

Volatility: 1.7

1-Year Total Return ->

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Prothena

A-Score: 3.0/10

Value: 7.0

Growth: 1.8

Quality: 4.4

Yield: 0.0

Momentum: 5.0

Volatility: 0.0

1-Year Total Return ->

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Stock-Card
Evogene

A-Score: 3.0/10

Value: 9.0

Growth: 3.0

Quality: 5.6

Yield: 0.0

Momentum: 0.5

Volatility: 0.0

1-Year Total Return ->

View Full Report
Stock-Card
Affimed

A-Score: 2.2/10

Value: 8.2

Growth: 0.9

Quality: 4.2

Yield: 0.0

Momentum: 0.0

Volatility: 0.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

1.11$

Current Price

1.11$

Potential

-0.00%

Expected Cash-Flows