This week's market
The Shenwan pharmaceutical index rose 1.08% this week, The increase was lower than that of Shanghai Composite Index (1.63%) and Shanghai and Shenzhen 300 (3.14%), we believe that the overall valuation of the pharmaceutical industry has entered a reasonable range, and the index has rebounded slightly recently. This week, more research data of covid-19 Omicron virus strain began to be disclosed, mainly serological research and the first real-world research. Therefore, this week, we discuss the latest research data of Omicron virus and how the cdmo sector will benefit in the future.
Omicron's latest research has revealed that it has a great impact on the efficacy of vaccines and neutralizing antibodies
According to the disclosed Omicron research data, the British health security agency said that the VE of two doses of vaccine decreased significantly, among which AstraZeneca's adenovirus vaccine azd1222 was ineffective, while Pfizer's mRNA vaccine bnt162b2 had 88% effectiveness 2-9 weeks after vaccination, and continued to decrease thereafter. In terms of booster needles, vaccine booster needles can effectively improve the protective efficacy even in the face of mutant strains. In terms of neutralizing antibodies, among the 8 listed monoclonal antibodies, only vir-7831 jointly developed by vir & GSK has excellent effectiveness, others have failed or are close to failure, and yaomingbiology is the cdmo supplier of vir-7831.
Strategic point of view: mutant strains accelerate the upgrading of control methods, and the normalization of R & D brings long-term outsourcing demand
Based on further data disclosure, we believe that the variation of Omicron strain accelerates the development and upgrading of relevant prevention and control drugs. At the same time, due to its high variation characteristics, it not only prolongs the drug R & D cycle, but also improves the prosperity of outsourcing in this sector. In terms of biological drug cdmo, it is expected that biological drugs will benefit significantly in the future; In terms of chemical cdmo, it is expected that the prosperity will be maintained for a long time due to the conservative target of small molecule drugs, outstanding advantages in oral administration and prevention and treatment of mild and severe diseases.
This week's stock recommendations focus on the portfolio
Growth Portfolio: Pharmablock Sciences (Nanjing) Inc(300725) , Beijing Balance Medical Technology Co.Ltd(688198) , Eyebright Medical Technology(Beijing) Co.Ltd(688050)
Robust combination: Zhejiang Jiuzhou Pharmaceutical Co.Ltd(603456) , Porton Pharma Solutions Ltd(300363) , Yaoming biology
Elastic combination: Beijing Labtech Instruments Co.Ltd(688056) , Pacific Shuanglin Bio-Pharmacy Co.Ltd(000403) , Yao mingjuno
Risk statement
Risk of policy changes in the pharmaceutical industry; Covid-19 virus transmission is beyond risk; Medical consumption demand decline risk, other systemic risks.
