April 10th, 2026 | 08:20 CEST
Unlocking Massive Potential in Pharma's Largest Segment: Innovator Vidac Pharma, Industry Leader Bayer, or Turnaround Candidate Evotec?
Oncology is the most strategically important growth market in the pharmaceutical industry and at the same time one of the key levers for improving global health. Currently, around 20 million people worldwide are diagnosed with cancer each year, a figure expected to exceed 30 million annually by 2040. The global oncology drug market is already valued at over USD 200 billion and continues to expand rapidly. Bayer aims to rank among the world's leading oncology players by 2030 and recently reaffirmed its medium-term targets. Following the sale of a stake in a cancer specialist, shareholders of Evotec, which has faced significant pressure, may soon benefit from a welcome inflow of funds. Vidac Pharma, on the other hand, is breaking new ground in the fight against skin cancer. There is enormous potential here.
time to read: 4 minutes
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Author:
Carsten Mainitz
ISIN:
VIDAC PHARMA HOLDING PLC | GB00BM9XQ619 , BAYER AG NA O.N. | DE000BAY0017 , EVOTEC SE INH O.N. | DE0005664809
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Author
Carsten Mainitz
The native Rhineland-Palatinate has been a passionate market participant for more than 25 years. After studying business administration in Mannheim, he worked as a journalist, in equity sales and many years in equity research.
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Vidac Pharma – Innovation is Key
The company is pursuing an innovative and patented approach in oncology. At its core is the disrupted metabolism that fuels the aggressive growth of cancer cells. This is known as the Warburg effect, the significantly increased glucose consumption by tumors. With the active ingredient VDA-1102, which blocks a key enzyme, Vidac Pharma offers a promising solution.
The goal is to stop tumor growth and strengthen the body's own immune defenses. The active ingredient is primarily administered topically. In addition, systemic (intravenous) administration of VDA-1102 is being tested for the treatment of solid tumors and cutaneous T-cell lymphoma as part of a Phase 2b clinical trial.
The company recently successfully initiated a Phase 2b clinical trial for high-risk patients suffering from actinic keratosis at the renowned German Centroderm Institute. Actinic keratosis is a common skin condition caused by UV radiation and is considered a precursor to skin cancer. Data to date show promising results. Consequently, the company also launched an in vivo preclinical program for psoriasis, as the same enzyme is the focus here.
In addition, Vidac is continuously expanding its pipeline. VDA-1275 targets the treatment of solid tumors and is currently in the preclinical phase. Approval for the first clinical trial is in preparation.
To accelerate the development of its projects and clinical programs, the company has, for some time, been receiving financial support from major shareholders and executive directors. They are reinvesting their net proceeds from the sale of a portion of their company shares back into the company to fuel growth. This also increases the stock's liquidity and free float.
At a share price of just under EUR 0.60, the company is currently valued at around EUR 25 million. Given its innovative approaches and broader pipeline, the share price does not yet reflect the company's potential. Progress in the Phase 2b clinical trials should provide positive momentum for the share price.
Bayer: 2030 Mid-Term Targets Confirmed
The life sciences company's stock has doubled over the past 12 months to its current level of EUR 40. The stock's performance reflects the Group's successful strategic transformation and the tangible resolution of the long-running legal dispute related to a weed killer suspected of being carcinogenic.
Recent company statements reaffirmed that it is fully on track to achieve its self-imposed targets by 2030. "Our rigorous focus on our strategic priorities and our groundbreaking scientific goals are paying off," summarized Stefan Oelrich, Head of Pharmaceuticals and member of the Executive Board.
Mid-single-digit growth has already been forecast for the next fiscal year. Starting in 2028, the operating margin is expected to expand and reach around 30% by 2030.
The primary growth drivers are newer drugs in the areas of cancer, kidney, and heart diseases, including Nubeqa, a drug for prostate cancer, which generated nearly EUR 2.4 billion in revenue for the company last fiscal year.
Bayer also aims to be among the top 10 oncology companies in the world by 2030. The course has already been set; today, nearly one-third of all molecular compounds in the development pipeline are related to the fight against cancer. In recent years, the company has doubled its oncology portfolio. Innovative therapies that specifically target tumor cells, such as precision and immuno-oncology approaches, are at the forefront.
On average, analysts have set a price target of EUR 46.50 for the stock. Experts at the major Swiss bank UBS are more optimistic about the stock and see potential for a price of EUR 52. The annual general meeting is coming up soon; on May 12, investors will learn how the German company started the new fiscal year as part of the Q1 report.
Evotec: A Welcome Windfall
According to recent company statements, the drug candidate developer is set to receive a cash inflow of approximately USD 100 million in the second quarter from the sale of a stake, plus up to USD 58 million in contingent payments should certain milestones be met. In 2022 and 2024, the Hamburg-based company acquired a 3.14% stake in the Munich-based cancer research firm Tubulis, which is now being acquired by the US pharmaceutical giant Gilead.
Despite these positive prospects, the stock has barely moved from its low in the EUR 4 range. Analysts are divided. There are still many skeptics questioning whether and when Evotec will achieve a turnaround. Last year, the company posted a loss of EUR 104 million. The company describes 2026 as a transition year with a moderate decline in revenue to EUR 700–780 million and adjusted EBITDA of EUR 0–40 million. By 2030, revenue is expected to rise to over EUR 1 billion with an EBITDA margin of over 20%.
Oncology is a huge growth market that all of the companies mentioned address in different ways. Evotec offers an efficient platform for research partners and is in the process of repositioning itself. Bayer is well on its way to becoming one of the largest players in the market. When it comes to innovation, Vidac Pharma is at the top. The company pursues an innovative and patented approach in oncology. Results to date point in the right direction. The potential has not yet been reflected in the share price.
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