A stock has drawn to a close in the first half of the year, last week was a week of huge fluctuations in the pharmaceutical sector, the first four days of strong upward, the last day of a huge drop. So, the continuous pullback of the pharmaceutical sector, which is an opportunity or risk for investors?
In this regard, Guosheng Securities said that the reason for the plunge on Friday, not a huge change in the fundamentals of medicine, but the market game mood is heavier, Thursday's market performance is general, directly resulting in systematic pressure on Friday, the growth plate collective adjustment, pharmaceuticals as a pre-growth rate of growth plate pressure is not small.
In addition, from the data point of view, the pharmaceutical plate is still closely cared for by the funds. Among them, leveraged funds "favorite" medicine.
WIND data show that in the first half of the year, a number of pharmaceutical stocks were included in the financing of the standard, including Kangtuo Medical, Kangtai Biological, Nortel Biological, Beida Pharmaceuticals, Inco Medical, Puli Pharmaceuticals and other stocks.
Guosheng Securities pointed out that, from a few years of dimensional thinking, if the past 3-4 years of pharmaceutical investment pay more attention to the "selection of the main track of the head of the company to enjoy the valuation of the expansion", then this year to pay more attention to the "main track of the cost-effectiveness of the standard," although they are all structural opportunities. Structural opportunities, but its expression is different. Based on this year's macro-environmental judgment, for this year's relative advantage of medicine is still optimistic, core and non-core have the opportunity, just structural strength is different, considering the core asset liquidity spillover effect, this year to pay attention to small and medium-sized market value.
According to the SSE report, Jingshun Investment senior fund manager Liu Hui also said, "A-share pharmaceutical sector valuation premium will continue to exist, we are very optimistic about the long-term growth prospects of China's health care industry, the next 5 to 10 years will continue to maintain high growth. From the recently released 2020 and 2021 quarterly results of listed companies, many leading companies have reached a growth rate of 40% to 70%."
For the future bullish investment direction, Liu Hui said, will be around four main layout:
First, optimistic about the field of medical equipment, domestic manufacturers have more than 50% market share in a number of areas, scientific and technological progress and unsatisfied demand is the core driving force. Although the price cuts of stents and other consumables have had a certain negative impact on some areas, the overall impact is not significant.
Second, we are optimistic about contract research and development organizations (CROs)/contract research and development manufacturing organizations (CDMOs). "Drug reforms have pushed domestic pharmaceutical companies to increase their R&D investments. At the same time, a large number of university graduates with chemistry and biology backgrounds and a large clinical trial patient base are key cost advantages for Chinese CRO/CDMO companies to attract global pharma companies to outsource their R&D. The domestic pharmaceutical industry needs to upgrade its products through huge R&D investment, which brings historic opportunities for the CRO and CDMO industries."
Third, bullish on the healthcare services industry. The rising income level of Chinese residents has increased people's ability to pay for better quality healthcare services.
Fourth, bullish on Chinese innovative drug manufacturers. Chinese companies have a strong cost and scale advantage in clinical trials, and with biotech companies now investing heavily in new drug development, it is expected that Chinese companies will develop more and more new biotech drugs.
Configuration ideas, Guosheng Securities said that the second half of the year, adhering to the "before the small after the big" ideas for the configuration: First, "before the small": (1) services: Samsung Medical, International Medical, Yingkang life; (2) vaccine industry chain: Dongfulong, Chi Fei Bio, Kangxinuo, Wantai Biologicals, Kangtai Biologicals; (3) CXO: Bo Teng shares, Jiuzhou Pharmaceuticals; (4) brand Chinese medicine: Taiji Group; (5) ophthalmology: Xingqi Ophthalmic Pharmaceuticals, Hao Hai Biologicals; (6) innovative single product: frontier biology, Nanshin Pharmaceuticals; (7) injection internationalization: Jianyou shares, Puli Pharmaceuticals.