Key points:
Traditional Chinese Medicine II rose 4.7% last week, and the pharmaceutical sector continued to rebound across the board, with traditional Chinese medicine ranking third
Last week, pharmaceutical biology closed at 911149 points, up 4.11%; Traditional Chinese Medicine II closed at 703083 points, up 4.7%; Chemical pharmaceutical closed at 1006963 points, up 6.72%; Biological products closed at 9188.7 points, up 3.08%; Pharmaceutical business closed at 568052 points, up 4.92%; Medical devices closed at 792146 points, up 0.69%; Medical services closed at 927841 points, up 4.19%. The pharmaceutical sector continued to rebound across the board, and traditional Chinese medicine ranked third.
In terms of the company’s performance, the top companies are: Kpc Pharmaceuticals Inc(600422) , Shandong Buchang Pharmaceuticals Co.Ltd(603858) , Dali Pharmaceutical Co.Ltd(603963) , Yunnan Baiyao Group Co.Ltd(000538) , Shandong Wohua Pharmaceutical Co.Ltd(002107) ; Companies with poor performance include: Heilongjiang Zbd Pharmaceutical Co.Ltd(603567) , Kunming Longjin Pharmaceutical Co.Ltd(002750) , Beihai Gofar Chuanshan Biological Co.Ltd(600538) , Shanxi Panlong Pharmaceutical Group Limited By Share Ltd(002864) , Shijiazhuang Yiling Pharmaceutical Co.Ltd(002603) .
Traditional Chinese medicine PE (TTM) increased by 0.91 times and Pb (LF) increased by 0.13 times
Last week, the PE of traditional Chinese medicine was 20.02 times, the maximum value of PE in recent year was 38.81, and the minimum value was 18.97; The current Pb is 2.81 times, the maximum value of Pb in recent year is 3.56, and the minimum value is 2.49. PE in traditional Chinese medicine sector increased by 0.91 times and Pb by 0.13 times. The valuation of traditional Chinese medicine industry has fallen back to the low level in recent three years. The valuation premium rate of traditional Chinese medicine sector relative to Shanghai and Shenzhen 300 was 68.23%.
The market price of traditional Chinese medicine continued to rise slightly
Last week, the total price index of traditional Chinese medicine was 225.88 points, up 0.2 percentage points from the previous week. Twelve major categories of traditional Chinese medicine showed eight rises and four falls, among which the price index of plant flowers ranked first. In the near future, new varieties of traditional Chinese medicine have been produced with sufficient supply, and the high price has gradually tended to be normal. Due to the impact of the epidemic, the import and export pattern of traditional Chinese medicine has changed to some extent, and the price is expected to continue to rise slightly in the later stage.
The release of the “14th five year” bioeconomy development plan is good for the continuous formation of policies for traditional Chinese medicine
Recently, the national development and Reform Commission issued the “14th five year plan” for bioeconomy development, which is China’s first Five-Year Plan for bioeconomy. Traditional Chinese medicine has been mentioned many times in the plan, including: establishing a technical platform for quality and safety evaluation of traditional Chinese medicine in the project of improving the innovation ability of bioeconomy; In the project of benefiting the people, improve the quality of traditional Chinese medicine, from the breeding of traditional Chinese medicine to the development of high-quality traditional Chinese medicine, improve the quality of the whole industrial chain of traditional Chinese medicine and strengthen the protection of traditional Chinese medicine; In terms of policy, explore the establishment of a new drug development and approval system in line with the characteristics of traditional Chinese medicine, and carry out pilot reforms in traditional Chinese medicine and other fields. Deepening cooperation and service of traditional Chinese medicine; Strengthen the research on the efficacy judgment and mechanism of traditional Chinese medicine, promote the inheritance and innovation of traditional Chinese medicine theory, and promote the integration of traditional Chinese and Western medicine and the combination of traditional Chinese and Western medicine. The policy’s support for traditional Chinese medicine continues, which is good for traditional Chinese medicine.
Continue to focus on the three main lines of “innovation + exclusive + consumption”
“Policy + pharmaceutical consumption rigidity + 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 continue to pay attention to the areas of policy incentives and policy havens. (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.
Risk tips
(1) stricter industrial policies;
(2) industry and listed company performance fluctuation risk.
