The performance of cro concept stocks increased significantly, and the list of stocks with higher than expected performance in the latest annual report was released.
huge explosion in Kiev
China Central Television News reported that two huge explosions occurred in Kiev, the capital of Ukraine, in the early morning of the 25th local time. The Ukrainian military said the explosion was caused by a tactical missile attack.
At 2 a.m., Chinese students in Ukraine sent back a video through the Central Radio and television station. The video showed that students of Kiev Greer Conservatory of music were still in underground air raid shelters to avoid air strikes.
According to CCTV news, Ukrainian President Zelensky said on the 25th that 137 Ukrainians were killed and 316 injured in the past day and night. Zelensky signed a presidential decree announcing the establishment of the supreme command, which was published on the president’s official website. Ukrainian President Zelensky said in a video speech that the West had completely abandoned Ukraine. “I asked the leaders of 27 European countries, will Ukraine join NATO? But everyone was afraid, and none of them answered me. We are not afraid to talk to Russia, and we are ready to talk about all issues, including our country’s security and neutrality.”
cro concept stocks rose strongly
In the morning trading on February 25, market concerns eased. The three major A-share indexes rebounded strongly in the morning trading and fell slightly near the midday closing. The Shanghai Composite Index rose as high as 1.46%, closing up 0.54%, the Shenzhen Composite Index rose 1.08%, and the gem index rose 2.18%. The transaction sentiment was strong, and the early transaction amount reached 670.4 billion yuan.
On the sector, CXO concept stocks rose across the board, and the concept index rose by more than 5%. Rare earth, lithium, medical beauty and other concepts led the rise, and online education stocks corrected slightly today.
In early trading, many CrO (contract R & D Service) concept stocks rose sharply. As of the close, Shanghai Medicilon Inc(688202) rose by 11.39%, and Porton Pharma Solutions Ltd(300363) , Joinn Laboratories (China) Co.Ltd(603127) , Zhejiang Jiuzhou Pharmaceutical Co.Ltd(603456) hit the daily limit, closing up more than 8%, with Beijing Sun-Novo Pharmaceutical Research Co.Ltd(688621) , Pharmaron Beijing Co.Ltd(300759) among the top gainers.
In terms of news, the White House released a news yesterday, reviewing the policies and changes of several key supply chains in the United States, some of which are related to the content of the pharmaceutical supply chain, including ensuring the safety of the API and preparation supply chain. In addition, it mentioned that investment may be taken to expand production capacity and encourage investment in new technologies in the future. Previously, the cro sector was greatly affected by the “unverified list” event in the early stage, which was not mentioned this time.
Zheshang Securities Co.Ltd(601878) the research report believes that the supply chain review policy has little impact on the supply of cdmo (contract R & D and production business) serving China’s innovative drug industry chain. From the perspective of supply capacity upgrading, global participation and innovative drug development, China’s cdmo companies are still in the process of improving global influence and industrial chain upgrading.
Due to the strategic transformation of China Meheco Group Co.Ltd(600056) industry from imitation to innovation, R & D investment is expected to maintain rapid growth. According to the forecast of Frost & Sullivan report, China Meheco Group Co.Ltd(600056) industry R & D investment will increase from US $29.8 billion in 2021 to US $55.1 billion in 2026, with a CAGR of about 13.1%. In this context, China Meheco Group Co.Ltd(600056) R & D service industry is expected to benefit from the rapid growth of new drug R & D investment and outsourcing rate in China and the world. The report predicts that the global outsourcing service market (excluding macromolecular cdmo) provided by China Meheco Group Co.Ltd(600056) R & D service companies will increase from 98.5 billion yuan in 2021 to 300.6 billion yuan in 2026, with an average annual increase of about 25%.
high performance of cro concept stocks
In terms of performance, cro concept stocks generally achieved profit growth in 2021, and 11 stocks are expected to achieve year-on-year growth in net profit attributable to parent company, of which Pharmablock Sciences (Nanjing) Inc(300725) , Boji Medical Technology Co.Ltd(300404) , Shanghai Medicilon Inc(688202) is expected to achieve year-on-year growth of net profit attributable to parent company by more than 100%.
Pharmablock Sciences (Nanjing) Inc(300725) the performance forecast shows that the net profit attributable to the parent company is expected to reach 479-497 million yuan in 2021, with a year-on-year increase of 160% – 170%. The company said that through continuous process innovation, route optimization and large-scale production, the cost of the company and customers has been effectively controlled, and the gross profit margin has remained stable higher than that in 2020.
Cro industry, as an emerging industry with rapid growth in recent years, concept stocks have received high attention from institutions. According to the statistics of securities times · databao, 10 shares have been rated by more than 5 institutions, accounting for two-thirds of the total. Wuxi Apptec Co.Ltd(603259) , Pharmaron Beijing Co.Ltd(300759) , Hangzhou Tigermed Consulting Co.Ltd(300347) received the highest attention, attracting the attention of 28, 23 and 21 institutions respectively.
list of stocks with better performance than expected
As the disclosure date of the annual report is approaching, many listed companies in A-Shares have been the first to disclose the 2021 annual performance express, and some of them have given results that exceed the market expectations.
According to data treasure statistics, compared with the previously disclosed performance forecast, the net profit attributable to the parent company in 2021 announced by 12 performance express reached or exceeded the previously expected upper limit, including Wuxi Apptec Co.Ltd(603259) , Hunan Changyuan Lico Co.Ltd(688779) , Shanghai Friendess Electronic Technology Corporation Limited(688188) . Performance stocks exceeding expectations mostly belong to track stocks, which are concentrated in power, medicine and chip tracks.
Wuxi Apptec Co.Ltd(603259) the performance express disclosed that the net profit attributable to the parent company is expected to be 5.097 billion yuan, an increase of 65 million yuan compared with the upper limit announced in the performance forecast. The company’s chemical business, testing business and biological business income are expected to increase by more than 30%. Since the announcement of the performance express, the company’s share price has continued to rise, with a cumulative increase of 10.47%.
In terms of the year-on-year increase in profits, the performance of the shares exceeded the expectation, and the year-on-year increase in the net profit attributable to the parent stock in 2021 was more than 50%, realizing the rapid growth of profits, Nyocor Co.Ltd(600821) , Hunan Changyuan Lico Co.Ltd(688779) , Wuxi Autowell Technology Co.Ltd(688516) , Wuxi Chipown Micro-Electronics Limited(688508) , Jiangsu New Energy Development Co.Ltd(603693) is expected to increase by more than 100%.
Nyocor Co.Ltd(600821) the performance forecast shows that the net profit attributable to the parent company in 2021 was 406 million yuan, with a year-on-year increase of 620.56%, mainly due to the expansion of the company’s installed capacity, and the company’s cumulative power sales increased by 65.85% year-on-year during the reporting period. (data treasure Liu Junling)
