The pharmaceutical sector rebounded this week
This week, the pharmaceutical biological index fell by about 2.07%, outperforming the Shanghai and Shenzhen 300 index by 2.15 percentage points, outperforming the Shanghai Composite Index by 1.93 percentage points, and ranking fourth in terms of rise and fall in the industry. As of Friday (March 11), the PE (TTM, excluding negative value) of the pharmaceutical industry was 27.97x, below the “mean value – 1 times the standard deviation” since 2015, down 0.78 units from last Friday and 9.51 units lower than the mean value (37.60x) since 2015. Among the pharmaceutical level III sub industries, among the 13 sub industry sectors this week, 4 sub industry sectors rose and 9 sub industry sectors fell. In vitro diagnosis was the sub industry with the largest increase, up 4.6%. Hospitals were the sub industry with the largest decline, down 7.3%. The sub industry with the highest valuation this week is the hospital, and the PE (TTM) is 71x.
The theme of antigen detection is rising, the root causes are fixed, and multi-directional consideration is given to at the same time
This week, the main body of medicine is still “small market value + covid-19 drugs and detection reagents”, which brings fluctuations in the market. Especially on Friday, the covid-19 virus antigen detection application scheme (Trial) was issued, and the antigen detection sector rose sharply one after another. Hospitals, biological products, medical consumables, offline pharmacies and CXO callback this week. We judge the pharmaceutical sector as the bottom, but we should select subdivided industries and individual stocks. Hong Kong stocks continue to adjust significantly. Minimally invasive medical, Beikang medical, Geli pharmaceutical, Kaifa pharmaceutical, Aikang medical, Hualing medicine, Qiming medical Jiahe biology and other callback are relatively large. The current mood of the biomedical sector of Hong Kong stocks is still unstable.
In addition, this week, we issued covid-19 special report on antigen detection: positioning supplement, opening up new space in the industrial chain, combed the original policies, and measured the market space rationally and optimistically. In the case of no other leading sectors in the overall pharmaceutical sector for the time being, the participation of the theme is still necessary for funds, but we must participate rationally. Covid-19 antigen detection is not a new thing. As early as the end of 2020, antigen detection certificates were successively approved in China. The manufacturers and quantity exported by China are not the same as the nucleic acid detection reagents at the beginning of covid-19 in 2020. What we need to think about is which enterprises can go further in the face of such opportunities. We think that we need to go behind the K-line and think about the long-term logic of the enterprise: (1) excellent certification ability reflects the company’s ability to seize opportunities and R & D reserves; (2) Strong ability to mobilize the company’s operation, timely and flexible response and rapid follow-up of production capacity and sales; (3) Taking advantage of opportunities to open channels, such as overseas markets or suitable Chinese companies entering China’s POCT market, can help the company achieve short-term accumulation at the strategic level. We suggest paying attention to the investment opportunities of the whole industrial chain. The relevant beneficiary listed companies are as follows:
Upstream raw materials
Antigen antibody reagents: Nanjing Vazyme Biotech Co.Ltd(688105) , Sino Biological Inc(301047) , Acrobiosystems Co.Ltd(301080) , youningwei, Feipeng Biology (to be listed), etc;
Auxiliary materials: Zhejiang Gongdong Medical Technology Co.Ltd(605369) , Getein Biotech Inc(603387) , Shenzhen Changhong Technology Co.Ltd(300151) , Guangzhou Improve Medical Instruments Co.Ltd(300030) , etc;
Packaging materials: Shanghai Haishun New Pharmaceutical Packaging Co.Ltd(300501) , Xi’An Global Printing Co.Ltd(002799) , Shenzhen Colibri Technologies Co.Ltd(002957) , etc;
Midstream manufacturing
China has been approved: Guangzhou Wondfo Biotech Co.Ltd(300482) , Nanjing Vazyme Biotech Co.Ltd(688105) , Bgi Genomics Co.Ltd(300676) ;
Overseas approved: Andon Health Co.Ltd(002432) , Zhejiang Orient Gene Biotech Co.Ltd(688298) , Wuhan Easy Diagnosis Biomedicine Co.Ltd(002932) , Beijing Hotgen Biotech Co.Ltd(688068) , Hangzhou Biotest Biotech Co.Ltd(688767) , Shenzhen Yhlo Biotech Co.Ltd(688575) , an Xu biology, etc;
Downstream terminal sales
Retail pharmacies: Lbx Pharmacy Chain Joint Stock Company(603883) , Yifeng Pharmacy Chain Co.Ltd(603939) , Dashenlin Pharmaceutical Group Co.Ltd(603233) , Yixintang Pharmaceutical Group Co.Ltd(002727) , China National Accord Medicines Corporation Ltd(000028) , Yunnan Jianzhijia Health-Chain Co.Ltd(605266) , Shuyu Civilian Pharmacy Corp.Ltd(301017) , etc;
Pharmaceutical e-commerce: JD health, Alibaba health, Ping an good doctor, Cofoe Medical Technology Co.Ltd(301087) , Jiangsu Yuyue Medical Equipment And Supply Co.Ltd(002223) , etc.
Standing at the market point of fundamentals and capital structure, this year’s centralized purchase policy continued to promote the uncertainty caused by the implementation (centralized purchase of consumables, national purchase, alliance purchase, etc.). In addition, the short-term pharmaceutical industry sector has not seen clear favorable policies / changes, and the valuations of many pharmaceutical companies have reached a very reasonable range, The uncertainty of policy changes makes many investors unable to start. The PE · ttm37x of Pharmaceutical (CITIC) on March 11 has been a reasonable range downstream of the valuation center in the history of medicine, and medicine has a strong investment value.
We suggest the direction configuration of this year: Traditional Chinese medicine (policy friendly + undervalued value) + medical equipment (medical infrastructure) + scientific research reagents and upstream (autonomous and controllable) + looking for the target from bottom to top in other directions; In addition, covid-19 small molecular medicine has contributed enough flexible performance to cdmo company. It is suggested to pay attention to the subject matters such as Porton Pharma Solutions Ltd(300363) , Asymchem Laboratories (Tianjin) Co.Ltd(002821) and so on. We suggest the following investment ideas:
(1) a sector of Chinese medicine: a sector of traditional Chinese medicine: a brand name, a precious OTC + an innovative Chinese medicine + a chain of traditional Chinese medicine. We recommend: Guiyang Xintian Pharmaceutical Co.Ltd(002873) and other subjects are also recommended for attention: Jiangsu Kanion Pharmaceutical Co.Ltd(600557) , Tasly Pharmaceutical Group Co.Ltd(600535) , Hunan Fangsheng Pharmaceutical Co.Ltd(603998) , Teyi Pharmaceutical Group Co.Ltd(002728) , Guilin Sanjin Pharmaceutical Co.Ltd(002275) , Zhejiang Shouxiangu Pharmaceutical Co.Ltd(603896) and other subjects.
(2) medical infrastructure sector: medical infrastructure sector: we recommend to focus on the medical infrastructure sector: we recommend to focus on the medical infrastructure sector: medical infrastructure sector: medical infrastructure sector: we recommend to focus on the Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) , Shenzhen Yhlo Biotech Co.Ltd(688575) , Autobio Diagnostics Co.Ltd(603658) , Shenzhen Lifotronic Technology Co.Ltd(688389) , Maccura Biotechnology Co.Ltd(300463) , Tellgen Corporation(300642) , Guangzhou Wondfo Biotech Co.Ltd(300482) Wuhan Easy Diagnosis Biomedicine Co.Ltd(002932) et al. IVD enterprises play an important role in epidemic prevention and control (antibodies, antigens and nucleic acid detection reagents), which provides sufficient funds for the development of the company in the future.
(3) scientific research reagents and upstream: scientific research reagents and scientific research reagents and upstream: scientific research reagents and upstream: scientific research reagents and upstream: we propose to focus on the Nanjing Vazyme Biotech Co.Ltd(688105) , Zhejiangtailin Bioengineering Co.Ltd(300813) , Nanmo biology, etc.
(4) other bottom-up sectors and companies need to be analyzed according to the subject matter and valuation of industries and companies, and it is proposed to pay attention to Yantai Zhenghai Bio-Tech Co.Ltd(300653) , Medprin Regenerative Medical Technologies Co.Ltd(301033) and other subjects of regenerative medicine; In the medical service sector, we recommend haijiya and gushengtang, which are cost-effective and expansible. We suggest paying attention to Aier Eye Hospital Group Co.Ltd(300015) , Chaoju Ophthalmology, Jinxin reproduction, etc; Biological products and vaccines need continuous attention. We recommend Chongqing Zhifei Biological Products Co.Ltd(300122) , Changchun Bcht Biotechnology Co(688276) , and Walvax Biotechnology Co.Ltd(300142) , Cansino Biologics Inc(688185) , Chengdu Olymvax Biopharmaceuticals Inc(688319) , Beijing Wantai Biological Pharmacy Enterprise Co.Ltd(603392) , etc; Attention to medical devices.
(5) for the innovative drug sector, it is suggested to pay attention to the innovative drug targets with international ability. We suggest to pay attention to Jiangsu Hengrui Medicine Co.Ltd(600276) , Baiji Shenzhou, Shanghai Junshi Biosciences Co.Ltd(688180) , Betta Pharmaceuticals Co.Ltd(300558) , Hehuang medicine, kangfang biology, China biopharmaceutical, etc.
New report issued this week
Company depth Inkon Life Technology Co.Ltd(300143) ( Inkon Life Technology Co.Ltd(300143) ): “double business lines of device + service help the company ride the tumor medical track”; Company depth Beijing Tongrentang Co.Ltd(600085) ( Beijing Tongrentang Co.Ltd(600085) ): “history casts brand, reform radiates new life”; Comments of the company Inkon Life Technology Co.Ltd(300143) ( Inkon Life Technology Co.Ltd(300143) ): “the trusteeship hospital is settled in one city, focusing on the field of rehabilitation”; Special report on new shares series (I): oral specialty chain – sorting out new shares of Ruier group (6639. HK); Investment strategy report of traditional Chinese medicine industry: “policy is the sail, the track is the paddle, and the new voyage of traditional Chinese medicine”; Covid-19 special report on antigen detection: “positioning supplement, opening a new space in the industrial chain”.
Performance of individual stocks this week: most A-shares increased, while most Hong Kong stocks fell
Of the 423 stocks this week, 140 rose, accounting for 33.1%. The top ten medicine stocks that are among the top ten medicine stocks that will rise in the week before the week’s top ten medicine stocks are: the medicine stocks that are among the top ten medicine stocks that are among the top ten of the medicine stocks that are among the top ten of the medicine stocks that are among the top ten of the medicine stocks that rise in the first ten of the week: the medicine stocks that are among the top ten of the top ten of the medicine stocks that are among the medicine stocks that are: Hongda Xingye Co.Ltd(002002) Zhejiang Wanliyang Co.Ltd(002434) 3435 (+ 22.17%), Zhejiang Orient Gene Biotech Co.Ltd(688298) (+ 21.65%), Staidson(Beijing) Biopharmaceuticals Co.Ltd(300204) (+ 20.02%), Fujian Cosunter Pharmaceutical Co.Ltd(300436) (+ 18.78%); The pharmaceutical stocks with the top ten of the week’s decline in the top ten of the week’s top ten medicine stocks are: West Point (- 24.14.14 percent percent (- 24.14 percent), St national medicine (- 15.68 percent (- 15.03 percent (- 15.03 percent (- 15.03 percent (- 15.03 percent (- 15.03 percent (- 24.14 percent (- 24.14 percent (- 24.14.14 percent (- 24.14 percent (- 24.14 percent (- 24.14 percent), st-nation (- 15.68 percent (- 15.68 percent (- 15.18.68 percent percent (- 15.68.68 percent percent (- 15.68.68 percent 15.68 percent), Lanhai Medical Investment Co.Ltd(600896) 0089 Lanhai Medical Investment Co.Ltd(600896) 00896 (- 15.03.03 percent (- 15.03.03 percent (- 15.03 percent (- 13.96 percent (- 13.96 percent (- 13.96 percent (- 13.96 percent 96 percent (- 13.96 percent percent (- 13.96 percent (- 13.96 percent 96 percent percent percent (- 13.96 percent 96 percent percent percent percent percent percent percent (- 13.96 percent percent (- 10.50%), Chengdu Kanghua Biological Products Co.Ltd(300841) (- 9.70%). Of the 87 Hong Kong stocks this week, only 7 rose, accounting for 8%.
Global covid-19 epidemic situation and vaccination
The number of newly confirmed cases in the world continued to grow, and the number of cases in South Korea and Vietnam surged; Jilin, Shandong, Guangdong, Shaanxi, Hebei, Jiangsu, Tianjin, Zhejiang and other places. The number of vaccinations continued to grow, with the global average whole course vaccination rate of about 57% and the whole course vaccination rate in China of about 85%.
Risk tips
Policy risk, competition risk, abnormal stock price fluctuation risk.
