Pharmaceutical Industry Analysis
Band purchasing is expected to be normalized, and will gradually expand from drugs to devices and consumables. In the grand scheme of things, this is a good thing for society as a whole, but it's bound to put pressure on the costs of the relevant pharmaceutical companies, forcing them to strengthen their research and development, and also promoting the industry to consolidate and centralize. The outlook for the next 10 years is that high-quality companies will gradually win and concentrate. So what we need to look for and discover is the companies that can win, and pick the best segmentation track.
Segmentation track: medical devices :
Medical devices, the core equipment is still the world of foreign companies, the domestic share is very low, many key equipment can not be localized. In turn, it means that in the future there is a lot of space for domestic substitution.
In the field of low-end medical equipment products, China has become the world's largest producer, with the release of market dividends, I believe that there will be companies can win:
For the choice of investment targets on the device, the main considerations have been winning companies, and comprehensive R & D strength of the company. At present, domestic medical equipment has gradually broken through a number of technical barriers, has basically realized import substitution (domestic share of more than 50%) of the segments include: 1) implantable consumables in the cardiovascular stents, cardiac blockers, artificial meninges, orthopedic implants in the traumatic products, etc.; 2) large and medium-sized medical equipment in the guardianship, DR, etc.; 3) in vitro diagnostics in the field of biochemical diagnostics; 4) household medical equipment in the oxygen concentrator, the oxygen concentrator, the oxygen concentrator, the oxygen concentrator, the oxygen concentrator, the oxygen concentrator and the oxygen concentrator. In the field of in vitro diagnostics, biochemical diagnostics; 4) home medical equipment in the oxygen concentrator, blood pressure meter, etc..
Segmentation Track: Pharmaceuticals:
Under the influence of the normalization of volume purchasing, the competition for generic drugs has become more and more intense, and many original drug companies have raised the machete to reduce prices, so the drugs are focused on the ability to consider the innovation and research and development capabilities.
For drug research and development, with the intensification of competition, the rising cost of research and development, and the decline of the marginal benefit of research and development, the formation of a huge research and development barriers to small and medium-sized pharmaceutical enterprises, and the formation of a great cost pressure on large pharmaceutical enterprises. The drug R&D industry chain has begun to move towards a global OEM model similar to the electronics industry, on the basis of which the development of CRO/CMO/CDMO may be an effective solution to the problem, which will also result in the reconstruction of the international drug R&D and production chain, which will result in a great investment opportunity:
Secondly, the featured APIs:
Segmentation Track: Medical Services :
This is actually the pain in the heart of the people. China has always been difficult and expensive to see a doctor in a large hospital, while small hospitals and clinics, and inadequate medical conditions. The current game out of some competitive advantage of private hospitals, are as long as the focus on ancillary medical, marginal medical.
Segmentation track: vaccines :
Compared to the pharmaceutical field of exceptionally fierce competition, the vaccine industry, both domestic and global, the competitive landscape is more optimized, the global vaccine major leaders are Merck Sharon, Sanofi Pasteur, Pfizer and GSK, and the domestic field of two types of vaccines into the scale of the company's number of companies is also not much, basically are developed from companies that were inextricably linked to the vaccine industry in the planned economy era in the early years.On October 15, 2019, the China Vaccine Industry Association was established, and Wang Jiangping, Vice Minister of the Ministry of Industry and Information Technology (MIIT), explicitly stated that MIIT, together with relevant departments, was studying and promoting the integration and restructuring of the vaccine industry, in order to improve the industry's access threshold, strengthen industrial quality supervision, encourage group development, and improve bidding and purchasing by improving Policies and measures to promote the advantageous enterprises bigger and stronger, and gradually improve the concentration of the vaccine industry. It is expected that the industry will usher in a further reshuffle, with small and medium-sized enterprises either being acquired or exiting the industry, and that the market share of leading enterprises will be further increased in the future, and that the space for growth will be further opened.
Subdivision track: Chain of pharmacies :
After the outbreak of the new coronary pneumonia, the Internet giants intervened, or to promote changes in the industry pattern. For this track, observe the integration degree with the Internet, the leading chain drugstores with standardized operation, strong service ability and large scale advantage may still be able to achieve competitive advantage in the industry.
Key companies half-yearly report:
Miles Medical ：
Kanglong Chemical ：
Changchun High-tech ：
The information contained in this article is for reference only and does not constitute investment advice. This article was posted on my own media platform, and is only a record of my own views and insights, and does not represent the position of the incumbent organization. Past performance is not indicative of future performance. The market risk, investment need to be cautious.
Investment Advisor: Ni Renyong, Practice Number: S0590620030009
Investment Advisor: Ni Renyong, Practice Number: S0590620030009