Focus this week: Cinda biology
On March 26, we released the in-depth report of Cinda biology, “ten years of sharpening the sword and forging an integrated platform, making innovation accumulate and develop, and the sword refers to the global biopharma”, which believes that Cinda biology is a rare biotech in China with both international vision and innovative drug integrated R & D platform.
In this week’s weekly report, we elaborate and analyze in detail the seven main concerns and questions of Xinda biology in the market.
We believe that:
1) Cinda biology should be optimistic at present and worth investing in the long term.
The correction of stock price comes from the overall fluctuation of the industry to a greater extent, rather than the defect of the company’s texture;
Cinda biology has strong short-term anti risk ability and great long-term development potential;
At that time, China’s bio pharmaceutical industry will take the lead in coming out of the bottom of the track, and Xiangda will take the lead in revitalizing the trend;
Under the general trend of innovative drugs going to sea, the dominant position of leading enterprises with global development capacity and international registration experience will become more and more prominent.
2) Cinda bio is expected to achieve multiple milestones in 2022: four new products have submitted marketing applications, at least four molecules have entered the critical or registered clinical stage, five molecules have obtained proof of concept data, and 8-10 innovation pipelines have entered the clinical research stage for the first time.
3) as the leader of China’s innovative biotech, Cinda bio’s existing products have been successfully commercialized, and its own hematopoietic capacity can support short-term development; The accumulation of innovation pipeline is rich, the echelon has been formed, and the long-term growth trend is highly deterministic.
Market review of innovative medicine stocks in the pharmaceutical sector:
Shan Dong Kexing Bioproducts Co.Ltd(688136) , Jenkem Technology Co.Ltd(688356) , Baiji shenzhou-u, Shenzhen Salubris Pharmaceuticals Co.Ltd(002294) , Sunshine Guojian Pharmaceutical(Shanghai) Co.Ltd(688336) . The last five are Shanghai Junshi Biosciences Co.Ltd(688180) -u, Betta Pharmaceuticals Co.Ltd(300558) , Brightgene Bio-Medical Technology Co.Ltd(688166) , Shanghai Allist Pharmaceuticals Co.Ltd(688578) -u, Staidson(Beijing) Biopharmaceuticals Co.Ltd(300204) .
The top 5 gainers and losers in the pharmaceutical innovative drug sector of Hong Kong stocks this week were Kaifa pharmaceutical, Yunding xinyao-b, heplatinum pharmaceutical-b, Yaoming junuo-b and kangnoah-b. The last five are Beihai kangcheng-b, Xiansheng pharmaceutical, Shanghai Fosun Pharmaceutical (Group) Co.Ltd(600196) , Shanghai Junshi Biosciences Co.Ltd(688180) , Guangdonghectechnologyholdingco.Ltd(600673) medicine.
Medium and long term perspective of innovative pharmaceutical industry:
In recent years, with the influx of capital stimulated by policies, China has ushered in a gale of innovation. China’s innovation market has strong policy attributes. On October 8, 2017, the two offices jointly issued the opinions on deepening the reform of the review and approval system and encouraging the innovation of drugs and medical devices, which opened the first wave of innovation. With the revision of the administrative measures for drug registration, drug negotiation and the introduction of the dynamic adjustment mechanism of medical insurance, the top-level design of the policy has completely solved the problem of insufficient innovation power caused by Limited R & D resources, non-standard Review & slow progress, low bidding efficiency, high difficulty in admission and difficult connection of medical insurance in history. Under the stimulation of Programmatic Policies, combined with the promotion of the science and innovation board and the registration system in recent years, the capital of innovative medicine racetrack swarmed, and the financing of innovative medicine enterprises accelerated, which also led China’s innovative medicine investment into the era of gale mouth. Driven by a good policy environment and capital, China’s innovation rise has accelerated. Domestic innovative drugs have entered the harvest period one after another, and more heavy innovative products will be approved and listed in China in the next few years.
What cannot be ignored is that the time window for “general innovation” given by the policy is becoming shorter and shorter, the cost control of medical insurance is becoming stricter, and the track is becoming more and more crowded. We have slowly entered the moment of “selected high-quality innovation”. At present, the homogenization of innovative drug research and development in China is more serious, and the homogenization of targeted drugs is the most serious. The era that innovative drugs are listed as blockbusters is slowly passing, and the time window period of “general innovation” given by the policy is becoming shorter and shorter. We believe that China’s innovative drug market has slowly entered the moment of “selected high-quality innovation” from “general innovation”. In the future, the homogenization competition of McAb popular targets will continue to be intense, and the homogenized products will gradually lose their competitiveness. New technologies, scarce technology platforms, differentiated treatment fields and innovative drug delivery methods may bring a better competitive pattern to enterprises, and companies with technology precipitation are expected to stand out.
Risk tips: 1) negative policies continue to exceed expectations; 2) The growth rate of the industry was lower than expected.
