Key investment points:
This week, SW pharmaceutical and biological industry lost the CSI 300 index. From February 7 to February 11, 2022, the SW pharmaceutical and biological industry index fell by 2.73%, the third decline, about 3.55 percentage points lower than the CSI 300 index in the same period. All segments of SW pharmaceutical and biological industry recorded positive earnings only for biological products and pharmaceutical businesses. Biological products and pharmaceutical businesses increased by 2.17% and 1.35% respectively, while traditional Chinese medicine, chemical pharmacy, API, medical devices and medical services decreased by 0.17%, 0.68%, 2.07%, 2.76% and 11.10% respectively.
The pharmaceutical and biological industry had a net outflow of 2.519 billion this week. From February 7 to February 11, 2022, the land stock connect had a net inflow of 10.744 billion yuan, of which the Shanghai Stock connect had a net inflow of 17.354 billion yuan and the Shenzhen Stock connect had a net outflow of 6.610 billion yuan. In the Shenwan industry, the net inflow of banks ranks first, and the net outflow of power equipment ranks first. The net outflow of the pharmaceutical and biological industry this week was 2.519 billion yuan, a decrease from last week.
Industry news: on February 12, the official website of China National Drug Administration (nmpa) announced that nmpa would conduct emergency review and approval in accordance with the relevant provisions of the drug administration law and the special drug approval procedures, On February 11, the import registration of Pfizer’s oral small molecule covid-19 virus therapeutic drug nimatovir tablets / ritonavir tablets combination package (trade name: paxlovid) was approved conditionally.
Maintain the recommended rating of the industry. This week, affected by the inclusion of two subsidiaries of YaoMing biology in the unverified list in the United States, CXO company decreased significantly, driving the whole medical service sector down 11.10%. On February 11, Porton Pharma Solutions Ltd(300363) received $681 million of Pfizer cdmo orders. In the global covid-19 drug R & D and production, many cdmo enterprises in China deeply participated ( Porton Pharma Solutions Ltd(300363) (US $681 million of Pfizer orders were disclosed on 2022.2.11, US $217 million of major orders were disclosed on 2021.11, totaling about 5.8 billion yuan), Asymchem Laboratories (Tianjin) Co.Ltd(002821) (US $480 million and 2.72 billion of major contracts were disclosed on 2021.11, totaling about 5.8 billion yuan), It fully illustrates the global leadership of China Meheco Group Co.Ltd(600056) manufacturing supply chain. The CXO leader with large recent decline and good prosperity is expected to oversold and rebound. It is suggested to pay attention to Wuxi Apptec Co.Ltd(603259) (603259), Porton Pharma Solutions Ltd(300363) (300363), Asymchem Laboratories (Tianjin) Co.Ltd(002821) (002821), Hangzhou Tigermed Consulting Co.Ltd(300347) (300347), Pharmaron Beijing Co.Ltd(300759) (300759), Joinn Laboratories (China) Co.Ltd(603127) (603127), Kyushu Pharmaceutical (603456), etc. Pay attention to the leading scientific service leaders Sino Biological Inc(301047) (301047), Nanjing Vazyme Biotech Co.Ltd(688105) (688105) with low domestic substitution rate. Pay attention to the platform device faucet Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) (300760), vaccine faucet Chongqing Zhifei Biological Products Co.Ltd(300122) (300122), medical beauty faucet Imeik Technology Development Co.Ltd(300896) (300896), pharmaceutical equipment faucet Tofflon Science And Technology Group Co.Ltd(300171) (300171) and Truking Technology Limited(300358) (300358) whose valuation falls back to a reasonable range. Leading brands of traditional Chinese medicine Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) (600436), Yunnan Baiyao Group Co.Ltd(000538) (000538) that are expected to benefit from consumption upgrading in the medium and long term.
Risk tips: repeated epidemics, research and development failures, intensified industry competition, policy risks, product safety and quality risks, etc.
