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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 this transition, with a focus on generative design of small molecules for pharmaceutical and agricultural industries. Although the company appointed Dr. Olga Nissan as Vice President of Business Development, a positive move, its subsidiary EverGen Infrastructure Corp. reported a notable increase in RNG production. However, this was overshadowed by Evogene's reduced focus on its previous business segments.

1.c. Company Highlights

2. Evogene's Strategic Transformation Yields Reduced Losses and Future Growth Prospects

Evogene's financial performance for 2025 showed revenues totaling approximately $3.9 million, a decrease of $1.7 million compared to 2024, primarily driven by lower revenue from AgPlenus' activity and the completion of the collaboration agreement with Corteva in 2024. The operating loss for 2025 was approximately $14 million, a significant decrease from $18.8 million in the previous year. The actual EPS came out at -$0.61, missing estimates of -$0.26. Operating expenses net decreased significantly to $13.8 million in 2025 from $22 million in 2024, indicating a more streamlined operation.

Publication Date: Mar -08

📋 Highlights
  • Strategic Focus Shift: Evogene prioritizes human health (small molecules) and agriculture (ag chemicals) via ChemPass AI, enhancing IP defensibility.
  • Operating Cost Reduction: Operating expenses dropped by $8.2M (37%) from 2024 ($22M) to 2025 ($13.8M), signaling improved efficiency.
  • Operating Loss Decline: 2025 operating loss fell to $14M (-$4.8M YoY), driven by lower expenses despite $3.9M revenue (down $1.7M YoY).
  • Cash Runway Extension: Sufficient liquidity to fund operations for >1.5 years, with anticipated mid-2026 cash sufficiency from collaboration deals.
  • BMC128 Partnership Potential: Agreement with Biomica (Evogene’s stakeholder) includes milestone payments and revenue sharing, unlocking future revenue streams.

Operational Efficiency and Cash Position

Evogene's CFO, Yaron Eldad, highlighted the reduction in operating expenses, which is expected to be sustained in future periods. The company's cash position is robust, with sufficient funds to last over 1.5 years without additional transactions. Evogene is expecting additional financial transactions from collaborations, which will satisfy its needs by mid-next year. Analysts estimate next year's revenue growth at 69.8%, indicating a potential significant increase in revenues.

Strategic Collaborations and Growth Catalysts

Ofer Haviv, President and CEO, emphasized that the generation of proprietary small molecule product candidates is Evogene's mission. He cited three types of catalysts for the company's growth: technology collaborations, collaborations with mid-sized biotech and pharma companies, and collaborations with other chemical companies. The BMC128 license agreement includes a milestone payment and revenue sharing, which could be significant for Evogene. As Haviv stated, "With ChemPass AI, disciplined capital allocation, and strong strategic partnerships, the company believes it is now positioned on a defined path towards sustainable value creation."

Valuation Metrics

Evogene's current valuation metrics show a P/S Ratio of 1.32 and an EV/EBITDA of -0.42. The ROE is 146.48%, but this is skewed due to the company's negative equity. The Net Debt / EBITDA is 0.34, indicating a manageable debt position relative to EBITDA. These metrics suggest that the market is pricing in some level of growth, but the negative EV/EBITDA indicates that investors are not yet seeing a positive EBITDA.

3. NewsRoom

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Evogene Reports Receipt of Nasdaq Minimum Bid Price Notification

Apr -02

Source: prnewswire.com

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Casterra Announces Successful Commercial Field Trials in Brazil, Positioning Castor Oil as a Promising Candidate for Economically Viable Biofuel Feedstock

Mar -31

Source: prnewswire.com

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Evogene to Present Its Pharma Discovery Achievements at BIO-Europe Spring 2026

Mar -09

Source: prnewswire.com

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Evogene Q4 Earnings Call Highlights

Mar -07

Source: defenseworld.net

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Evogene Ltd. (EVGN) Q4 2025 Earnings Call Transcript

Mar -05

Source: seekingalpha.com

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Evogene Reports Fourth Quarter and Full Year 2025 Financial Results

Mar -05

Source: prnewswire.com

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Evogene Releases CEO Letter to Shareholders

Feb -25

Source: prnewswire.com

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Evogene Schedules Fourth Quarter and Full Year 2025 Financial Results Release

Feb -19

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: 4.0/10

Value: 4.6

Growth: 3.6

Quality: 5.8

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: 1.7

Growth: 3.9

Quality: 5.6

Yield: 0.0

Momentum: 10.0

Volatility: 1.0

1-Year Total Return ->

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Oxford Biomedica

A-Score: 3.6/10

Value: 6.4

Growth: 2.0

Quality: 3.1

Yield: 0.0

Momentum: 8.5

Volatility: 1.3

1-Year Total Return ->

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Prothena

A-Score: 3.2/10

Value: 7.0

Growth: 1.8

Quality: 4.3

Yield: 0.0

Momentum: 5.5

Volatility: 0.7

1-Year Total Return ->

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Stock-Card
Evogene

A-Score: 3.2/10

Value: 9.0

Growth: 3.0

Quality: 5.1

Yield: 0.0

Momentum: 1.5

Volatility: 0.3

1-Year Total Return ->

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Stock-Card
Affimed

A-Score: 2.3/10

Value: 8.0

Growth: 0.9

Quality: 4.3

Yield: 0.0

Momentum: 0.5

Volatility: 0.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

0.85$

Current Price

0.85$

Potential

-0.00%

Expected Cash-Flows