Beijing Med-Pharm Corporation

Beijing Med-Pharm Corporation is a NASDAQ listed security that has been trading in a range between $3.45 and $11.62 over the past year. With 26,641,190 shares outstanding, a recent price of $8.69 gives a total market capitalization of $235,241,706. While there are certainly larger companies, Beijing Med-Pharm Corporation has definitely earned its place in the pack. Last year, Beijing Med-Pharm Corporation created $-0.29 in earnings for every share outstanding.

Beijing Med-Pharm Corporation is currently priced by the market at 0.00 times last year’s earnings. Many trading multiples around the world are quite attractive these days, but don’t be fooled. A Price to Earnings ratio of 0 simply means that the security didn’t make any money last year.

With a share price under $50 a share and earnings per share below $1 a share, Beijing Med-Pharm Corporation is unlikely to be an interesting value proposition. Consistent earnings are the key to high valuations and this security is not on its way.