Adagene (FRA:978) Moat Score: 5/10 (As of Jul. 03, 2026)


FRA:978 Adagene Inc FRA:978
42 GF Score
Price €4.02
GF Value €12.68
! 5 Warning Signs
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What is Adagene Moat Score?

Adagene FRA:978 +10.44% 42 Moat Score is 5 as of Jul. 03, 2026. GuruFocus rates FRA:978 with a GF Score™ of 42/100 and a GF Value™ of €12.68. The stock has 5 warning signs investors should review. Among 1,399 Biotechnology companies, Adagene ranks better than 96.71% on this metric.

Adagene has the Moat Score of 5, which implies that the company might have Narrow Moat - Solid narrow moat.

Adagene has Narrow Moat: Adagene Inc has a solid narrow moat due to its proprietary technology and ongoing R&D in the biotech sector. However, it faces significant competition and lacks strong brand strength or regulatory barriers to elevate it to a wide moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Adagene might have Narrow Moat - Solid narrow moat.

Adagene  (FRA:978) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Adagene Moat Score Related Terms

FRA:978 vs RNAC, LYEL, ALXO: Moat Score Comparison

For the Biotechnology subindustry, Adagene's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Adagene Moat Score vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Adagene's Moat Score distribution charts can be found below:

* The bar in red indicates where Adagene's Moat Score falls into.


FRA:978
42GF Score
Adagene Inc FRA:978
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 5 mean?
Adagene (FRA:978) has a Moat Score of 5 as of Jul. 03, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Adagene ranks #46 out of 1399 companies in the Biotechnology industry, placing it in the top 3.3%.
Is Adagene's Moat Score too high?
Adagene's current Moat Score is 5. The Biotechnology industry median Moat Score is 2.00. Adagene's value of 5 is 150% above this industry median. Based on the distribution chart, Adagene ranks #46 out of 1399 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Adagene has a GF Score™ of 42/100, reflecting its overall financial health beyond just this single metric.
How does Adagene's Moat Score compare to RNAC and LYEL?
According to the Biotechnology industry distribution chart, Adagene ranks #46 out of 1399 companies for Moat Score. This places Adagene in the top 3% of its industry — outperforming the majority of peers. The industry median Moat Score is 2.00. Adagene's value of 5 is 150% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Biotechnology company?
The median Moat Score among Biotechnology companies is 2.00, based on 1,399 companies in the industry. Companies in the top quartile (top 25%) have a Moat Score significantly above this median, while those in the bottom quartile fall well below. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Adagene's current Moat Score of 5 is 150% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. For the Biotechnology industry, the median Moat Score is 2.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adagene's current Moat Score is 5. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adagene stock overvalued right now?
Adagene (FRA:978) has a current Moat Score of 5. The stock's GF Value™ is €12.68, compared to a current price of €4.02 — trading 68.3% below its estimated fair value. The current Moat Score is 5 and 150% above the Biotechnology industry median of 2.00. Adagene's overall GF Score™ is 42/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Adagene (FRA:978), the current Moat Score is 5 as of Jul. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Adagene (FRA:978) Overvalued in 2026?

Based on GuruFocus' analysis, Adagene stock appears to be undervalued. The current stock price of €4.02 is trading 68.3% below its estimated GF Value™ of €12.68.

Key valuation signals for FRA:978:

  • Moat Score: 5
  • GF Value™: €12.68 vs. price of €4.02 (68.3% below fair value)
  • GF Score™: 42/100 with 5 warning signs
  • Industry Position: 150% above the Biotechnology median (#46 of 1399)

No single metric tells the full story. See the FRA:978 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Adagene Business Description

Other Exchanges ADAG:USA
Address Xinghu Street, Suzhou Industrial Park, 4th Floor, Building C14, No. 218, Jiangsu Province, Suzhou, CHN, 215123
Adagene Inc is a platform-driven, clinical-stage biotechnology company focused on the discovery and development of novel antibody-based cancer immunotherapies. The Company leverages computational biology to design and develop novel antibodies. Powered by its Dynamic Precision Library (DPL) platform, which fuels its NEObody, SAFEbody, and POWERbody technologies, it is developing a pipeline of immunotherapies. Its candidate, ADG126 (muzastotug), an anti-CTLA-4 SAFEbody, is in phase 1b/2 and phase 2 clinical development for metastatic microsatellite-stable colorectal cancer. Its clinical-stage products include ADG126 and ADG116, investigational fully human anti-CTLA-4 mAbs generated through SAFEbody and NEObody technologies.
42GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€4.02
Price
€12.68
GF Value