Current Report: Takeda Pharmaceutical

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Takeda Pharmaceutical Co Ltd, known by the ticker symbol TAK is a large-cap specialty and generic drug manufacturer, operating in the healthcare business sector. This is my first report on TAK for this Viital portfolio, However I did report on and select TAK for a couple of past portfolios.

Takeda Pharmaceutical is Japan’s largest pharmaceutical company, with revenue of JPY 3.6 trillion in fiscal 2021.

The company’s five core therapeutic areas are oncology, gastroenterology, neuroscience, rare diseases, and plasma-derived therapies, which account for more than 80% of revenue.

Its geographic footprint is well diversified, with 50% derived from the U.S., 20% from Japan, 20% from Europe and Canada.

Takeda Pharmaceutical Company has licensing agreements with Denali Therapeutics and Wave Life Sciences Ltd; collaboration agreements with Neurocrine Biosciences, Inc. and Rani Therapeutics LLC; license and research agreements with The University of Texas MD Anderson Cancer Center, Poseida Therapeutics, Inc., and Arrowhead Pharmaceuticals Inc.; research collaboration agreements with Arrowhead Pharmaceuticals Inc. and Ovid Therapeutics Inc.; and collaboration with Evox Therapeutics Ltd., as well as a licensing agreement with ProThera Biologics Inc.

It also has strategic alliances with Egle Therapeutics SAS; Evotec SE; Neurocrine Biosciences, Inc.; Carmine Therapeutics; HemoShear Therapeutics, LLC; KSQ Therapeutics; and Anima Biotech.

Takeda Pharmaceutical Company Limited was founded in 1781 and is headquartered in Tokyo, Japan.

Three key data points gauge any dividend equity or fund such as Takeda Pharmaceutical Co Ltd (TAK)

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

TAK Price

Takeda’s price per share was $14.31 as of yesterday's market close. One year ago its price was $17.20. Therefore, Takeda’s share price fell $2.04 or about 16.8% in the past year.

If Takeda’s  stock trades in the range of $13.00 to $18.00 this next year, its recent $14.31 share price might rise by $2.19 to reach $16.50 by May 18, 2023. My $2.19 upside estimate is $0.18 LESS than the median of price upsides gauged by three analysts tracking TAK for brokerages.

TAK Dividends

Takeda’s most recently declared semi-annual dividend of $0.3969 was paid December 13th to shareholders on record as of September 29th, 2021. TAK has yet to declare any dividends for 2022.

TAK initiated a  $0.23 semi-annual dividend July 14, 2009 The dividend has been variably declining  over the past 12 years. At its recent $0.80 Annual rate, TAK’s annual payout is calculated to deliver a 5.55% annual yield per yesterday’s $14.31 share price.

TAK Returns

Adding the $0.80 hypothetical TAK annual dividend to the estimated one-year price upside of $2.19 shows a $2.99 potential gross gain, per share, to be reduced by any costs to trade TAK shares.

At yesterday's $13.31 closing price per share, a little over $1000 would buy 70 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.14 per share.

Subtract that maybe $0.14 brokerage cost from my estimated $2.99 gross gain estimate per share results in a net gain of $2.85 X 70 shares = $199.50 for a 19.9% net gain on a $1,001.70 investment.

So it is that Takeda Pharmaceutical Co Ltd shows a possible 19.9% net gain including a 5.55% forward looking dividend yield. Should the company choose to pay two semi-annual dividends this year.

In that case, over the next year at this time our $1000 investment in Takeda shares might generate $55.50 in cash dividends. Of course a single share of Takeda stock bought at yesterday's $14.31 price is over 3.75 times under the hypothetical dividend income from our $1000.00 invested.

So, by my dogcatcher ideal, this may time to pick up Takeda’s shares based on their forward looking dividends (when  declared) for the year 2022. A forthcoming annual dividend from $1K invested is could be 3.88  times greater than yesterday's single share price. Consider yourself alerted. It's a sign. Wait for TAK to declare a 2022 annual dividend, and if it is greater than the price of a single share of the stock, pounce on it!

All of the estimates above are speculation based on the past history of Takeda Pharmaceutical Co Ltd (TAK). Only time and money invested in this stock will determine its market value.

Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

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