Daily BriefsHealthcare

Daily Brief Health Care: Jiangsu Hengrui Medicine and more

In today’s briefing:

  • Jiangsu Hengrui Medicine (600276.CH) 2022/23Q1 – The Situation Is Not as Optimistic as Imagined

Jiangsu Hengrui Medicine (600276.CH) 2022/23Q1 – The Situation Is Not as Optimistic as Imagined

By Xinyao (Criss) Wang

  • The contribution of innovative drugs cannot offset the generics revenue decline caused by VBP. Without PD-1 level big variety emerging, the pressure of VBP would continue for a long time. 
  • Hengrui launched Luzsana to develop global business, seeming to send “a compromise and ambiguous signal” to various complex forces within this traditional pharmaceutical empire. ADC pipeline remains to be seen.
  • Hengrui still has many problems that are difficult to solve. Even though there is a rebound, Hengrui’s stock price performance may not deliver excess returns, with lower-than-expected upside elasticity.

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