Traditional Chinese Medicine II rose 0.76% last week, ranking second in the sub industry
Last week, pharmaceutical biology closed at 1004884 points, up 0.25%; Traditional Chinese Medicine II closed at 782783 points, up 0.76%; Chemical pharmaceutical closed at 1114692 points, up 0.34%; Biological products closed at 1068758 points, up 0.11%; Pharmaceutical business closed at 632596 points, down 1.12%; Medical devices closed at 862151 points, up 0.96%; Medical services closed at 985949 points, down 0.46%. The rise of traditional Chinese medicine sector ranked second in the sub industry.
In terms of the company’s performance, the top companies are: Xiangxue Pharmaceutical Co.Ltd(300147) , Jilin Zixin Pharmaceutical Industrial Co.Ltd(002118) , Yabao Pharmaceutical Group Co.Ltd(600351) , Tus- Pharmaceutical Group Co.Ltd(000590) , Dali Pharmaceutical Co.Ltd(603963) ; Companies with poor performance include: Guizhou Bailing Group Pharmaceutical Co.Ltd(002424) , China Resources Sanjiu Medical & Pharmaceutical Co.Ltd(000999) , Guangdong Taiantang Pharmaceutical Co.Ltd(002433) , Jianmin Pharmaceutical Group Co.Ltd(600976) , Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) .
Traditional Chinese medicine PE (TTM) increased by 0.51 times and Pb (LF) increased by 0.04 times
Last week, the PE of traditional Chinese medicine was 35.19 times, the maximum value of PE in recent year was 38.81 and the minimum value was 28.78; The current Pb is 3.17 times, the maximum value of Pb in recent year is 3.56 and the minimum value is 2.65. PE in the traditional Chinese medicine sector increased by 0.51 times and Pb by 0.04 times. The valuation center of the traditional Chinese medicine industry is currently higher than the median level in the past year. The valuation premium rate of traditional Chinese medicine sector relative to Shanghai and Shenzhen 300 was 182.38%.
Affected by the obvious rebound of the epidemic, the price index of traditional Chinese medicine fell slightly, basically unchanged from the previous week
Last week, the total price index of traditional Chinese medicine was 215.34 points, basically the same as the previous week. Twelve categories of traditional Chinese medicine showed seven rises and five falls. Last week, due to the obvious rebound of the epidemic, the liquidity and heat of the Chinese herbal medicine market decreased, resulting in a slight decline in prices. From the perspective of the whole first quarter, the agreed base index of traditional Chinese medicine prices continued to rise, rising by 19%, 20% and 21% respectively from January to March compared with the same period last year. The second quarter entered the spring planting period. The rising temperature and the fluctuation of the epidemic affected the Chinese herbal medicine market. Under the stricter supervision of the Chinese herbal medicine market, the price is expected to continue to rise slightly.
Release of the 14th five year plan of action for grass-roots traditional Chinese Medicine
Recently, the notice on the “14th five year plan” action plan of the grass-roots traditional Chinese medicine service capacity improvement project was issued, which set the main objectives, that is, to achieve five “full coverage” of grass-roots traditional Chinese medicine by 2025, improve the grass-roots traditional Chinese medicine service network, promote the appropriate technology of grass-roots traditional Chinese medicine, improve the service capacity of grass-roots traditional Chinese medicine, and promote the reform of grass-roots traditional Chinese medicine. The release of the “14th five year plan” for the development of traditional Chinese medicine and the “14th five year plan” action plan have further strengthened the position of traditional Chinese medicine in the pharmaceutical industry and formed favorable policies for the traditional Chinese medicine industry.
Recently, it is in the performance disclosure period. As of April 8, 121 listed companies in the pharmaceutical industry have disclosed their annual reports, of which 26 listed companies of traditional Chinese medicine have disclosed their annual reports, accounting for about 36.6% of the total A-share listed companies of traditional Chinese medicine. Among the 26 traditional Chinese medicine enterprises, 24 companies achieved positive growth in revenue, accounting for 92.31%, and 18 companies achieved positive growth in net profit deducted from non parent companies, accounting for 69%.
Traditional Chinese medicine has entered a new stage of development with policy support in recent years. With policy support and catalysis, the traditional Chinese medicine industry has also ushered in greater investment opportunities. From the demand side, the rigid demand characteristics of the pharmaceutical industry and the upgrading of pharmaceutical consumption jointly support the steady growth of the demand of the traditional Chinese medicine industry. From the perspective of policy, a series of favorable policies have been formed to promote the innovation of traditional Chinese medicine, the development of formula particles, the support of medical insurance and payment policies, and the continuous addition of traditional Chinese medicine decoction pieces can not exceed 25%, bringing policy dividends and new demand to the traditional Chinese medicine industry. The unique advantage of “preventing disease” brings development opportunities to the traditional Chinese medicine industry. From the perspective of performance, the traditional Chinese medicine industry has walked out of the low point and showed a marginal improvement trend. From the valuation side, the traditional Chinese medicine industry still has relatively obvious valuation advantages. “Policy + pharmaceutical consumption upgrading + performance improvement + valuation advantage” jointly build investment opportunities for the traditional Chinese medicine industry. Cost promotion constitutes a short-term driving factor. It is suggested to pay attention to the areas of policy encouragement and policy haven. (1) Pay attention to the innovation of modern traditional Chinese medicine, and pay attention to the innovation targets of modern traditional Chinese medicine with strong R & D strength and layout of large categories (large market: cardio cerebrovascular + fast growth: pediatric drugs); (2) Pay attention to the advantages of brand traditional Chinese medicine, formula and raw materials, and jointly build a moat of brand traditional Chinese medicine; (3) Benefit from consumption upgrading and pay attention to the subject matter of industrial chain extension and strong brand advantage.
At present, it is in the performance disclosure season. It is suggested to pay attention to the pre disclosure of the performance of listed companies and the subject matter with excellent performance in the annual report.
Risk tips
(1) stricter industrial policies;
(2) industry and listed company performance fluctuation risk.
