Monthly core view in February. February entered the annual report disclosure season of A-share listed companies. As of February 28, among the 418 pharmaceutical listed companies, 125 performance letters, more than 80% of the companies were pre happy, 72 doubled their net profits and 14 made losses. In the same period last year, 150 pharmaceutical companies disclosed their performance, more than 70% were pre happy, 64 doubled their net profits and 13 made losses. Recently, several European countries in recent European countries announced that they coexistcoexist with covid-19 virus, and in the near future, many countries in Europe have recently announced that they coexistcoexist with covid-19 virus, and “vaccine + covid-19 drug” will still be the main means of future anti epidemic. It is suggested to focus on the investment opportunities related to vaccines and covid-19 drugs. The key companies include Chongqing Zhifei Biological Products Co.Ltd(300122) ( Asymchem Laboratories (Tianjin) Co.Ltd(002821) ), Tianjin Chase Sun Pharmaceutical Co.Ltd(300026) ( Tianjin Chase Sun Pharmaceutical Co.Ltd(300026) ) Shijiazhuang Yiling Pharmaceutical Co.Ltd(002603) Shijiazhuang Yiling Pharmaceutical Co.Ltd(002603) ）。
Market review: in February (from February 1 to February 28, 2022), Shenwan biomedical industry index rose by 5.18%, while Shanghai and Shenzhen 300 rose by 1.44% in the same period, outperforming Shanghai and Shenzhen China Railway Prefabricated Construction Co.Ltd(300374) percentage points. The overall performance of the industry ranked ninth among the 28 Shenwan industry indexes, significantly higher than that of the previous month.
Valuation analysis of pharmaceutical industry. From the PE trend of Shenwan biomedical index in recent ten years, as of February 28, 2022, the dynamic PE of the industry was 31.44 times, which was at a relatively low level in recent 10 years and fluctuated compared with the previous month. Considering the long decline time and the wide spread and concealment of new strains, the pharmaceutical sector may win the favor of the capital market again and give the investment rating of “stronger than the big market” to the industry. However, different sub industries are also divided.
Risk tip: the epidemic situation and virus variation exceed expectations, Sino US political risk and national policy change risk.
