In today’s briefing:
- Shanghai Henlius Biotech Privatization (2696.HK) – The Offer Price Is Disappointing
- HCG: Emerging Centers Are Scaling Up Well
- Pharmaessentia Corp (6446 TT): Starts 2024 on Strong Note; Reports First Operating Profit in 1Q24
- What’s Behind Akeso’s Cadonilimab Price Cut and What’s Next?
- The Cooper Companies Inc.: How They Are Carrying Out The Expansion and Management of MiSight and Other Specialty Products! – Major Drivers
- FibroBiologics, Inc. – June 24, 2024
- GlaxoSmithKline plc (GSK): What Is The Development In Terms Of Pipeline Development & Recent Technological Advancements? – Major Drivers
- Certara Inc.: Introduction of Unified Certara Cloud Platform & Major Drivers
- Penumbra Inc.: Expanding Global Market Access To Catalyze Growth! – Major Drivers
- Boston Scientific Corporation: What Are Their Latest Investments in Innovative Technologies? – Major Drivers
Shanghai Henlius Biotech Privatization (2696.HK) – The Offer Price Is Disappointing
- The Cancellation Price of HK$24.60 per share is about 50% lower than the IPO price of HK$49.6 per share in 2019. So, those long-term investors would suffer big losses.
- Henlius’ share price has outperformed the index. If it remains listed, it’s able to continue to grow and provide long-term returns for shareholders. Reasonable Cancellation Price should be above HK$30/share.
- As usual, Fosun doesn’t consider the interests of long-term investors and shareholders. There would be some investors/shareholders vote against the privatization, but the returns for arbitrageurs is not bad.
HCG: Emerging Centers Are Scaling Up Well
- With emerging centers scaling up and established centers growing steadily, HCG’s profitability is growing strong. HCG’s Q4FY24 PBT grew to INR 28cr vs INR 13cr YoY and INR 3cr QoQ.
- With the patient mix improving for emerging centers with growing vintage, ARPOB for emerging centers has crossed INR 40000, a rise of 12.2% YoY.
- We estimate that by FY26, HCG’s PAT could exceed INR 260cr, leading us to value HCG at a market cap of around INR 10000cr at 38x+ FY26 exit P/E.
Pharmaessentia Corp (6446 TT): Starts 2024 on Strong Note; Reports First Operating Profit in 1Q24
- Pharmaessentia Corp (6446 TT) reported strong 1Q24 result, with increasing revenue and declining operating expenses. Revenue increased 86% YoY, gross margin (88%) improved, and operating expenses declined 3% YoY.
- The company achieved operating profit (NT$18M) for the first time in 1Q24. Net profit reached NT$330M in 1Q24, versus net profit of NT$315M for 1H23.
- Approval of Besremi in additional countries, especially China, data readouts from late-stage ET trials, and accelerating revenue as well as improving profitability remain the near-term catalysts.
What’s Behind Akeso’s Cadonilimab Price Cut and What’s Next?
- Cadonilimab (AK104)(PD-1/CTLA-4) achieved 7.1% market share in China’s PD-1(L1) market in 2023, up from 3.4% in 2022, ranking it No.4 in revenue market share after Tislelezumab, Keytruda and Sintilimab;
- With six days to go, the chance to receives NMPA approval for Gastric Cancer is slim, which means the June 18 price cut is for the existing Cervical Cancer indication;
- The big question is the price elasticity following Cadonilimab’s inclusion to NDRL. With ~110K new patients each year and only ~2,100 receiving Cadonilimab, we expect a moderate price cut.
The Cooper Companies Inc.: How They Are Carrying Out The Expansion and Management of MiSight and Other Specialty Products! – Major Drivers
- Analyzing the latest results of The Cooper Companies, the narrative presents a compelling mixed view of the company’s trajectory with several interesting developments and challenges reporting out of its second quarter of 2024.
- The Cooper Companies operates through two segments, CooperVision and CooperSurgical, both of which are critical in assessing the company’s overall health and prospective growth.
- Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.
FibroBiologics, Inc. – June 24, 2024
- We are initiating coverage of FibroBiologics, Inc. (FBLG) with an $11.00 valuation.
- FibroBiologics is a cell therapy company focused on the development of fibroblast-based therapies for the treatment of chronic diseases with significant unmet medical needs.
- We anticipate that a Phase 1/2 clinical trial of CYWC628, the company’s lead asset targeting diabetic foot ulcers, will be completed in Australia in 2025.
GlaxoSmithKline plc (GSK): What Is The Development In Terms Of Pipeline Development & Recent Technological Advancements? – Major Drivers
- GSK has reported a robust start to the year with notable growth in both sales and profits, driven by strong execution and successful product launches.
- Total sales increased by 13% to GBP 7.4 billion, with core operating profit surging by 35% to GBP 2.4 billion, and core earnings per share growing by 37% to 43.1p.
- These figures exclude contributions from COVID solutions, underscoring the company’s success in its core operations.
Certara Inc.: Introduction of Unified Certara Cloud Platform & Major Drivers
- Certara reported its first-quarter financial results for 2024, detailing a period of structured progress and proactive initiatives aimed at solidifying and expanding its position in the pharmaceutical software and technology-driven services space.
- Revenues for the quarter totaled $96.7 million, marking a 7% growth on a reported basis and 6% on a constant currency basis, compared to the prior year.
- This increment was supported by robust demand for Certara’s biosimulation software and services, complemented by a burgeoning interest in AI-enhanced products after its recent acquisition of Vyasa.
Penumbra Inc.: Expanding Global Market Access To Catalyze Growth! – Major Drivers
- Penumbra, a global healthcare company, reported a robust start to the first quarter of 2024, showcasing notable financial and operational success.
- The company’s primary focus on thrombectomy products, specifically within the U.S. market, has contributed significantly to its performance, supported by innovative product launches like Lightning Flash and Lightning Bolt.
- Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.
Boston Scientific Corporation: What Are Their Latest Investments in Innovative Technologies? – Major Drivers
- Boston Scientific Corporation reported robust first-quarter 2024 results that exceeded expectations, driven by an expansive and diversified product portfolio and effective execution across its various business units.
- The company achieved an impressive 15% operationally and 13% organically in sales growth, surpassing the high-end guidance range of 7% to 9%.
- Additionally, all business units and regions recorded notable double-digit growth during the quarter, reflecting strong market penetration and execution.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
