In today’s briefing:
- Potential Additions & Deletions in MSCI Korea Rebalance in May 2022
- Chugai Pharmaceutical (4519 JP): Key Drugs Are Facing Competition; 2022 Target Seems Aggressive
- Eyebright Medical Technology Beijing (688050.CH) – Some Points Worth the Attention
Potential Additions & Deletions in MSCI Korea Rebalance in May 2022
- In this insight, we discuss the potential inclusions and deletions in the upcoming MSCI rebalance in May 2022. The next MSCI Korea rebalance will be announced on 12 May 2022.
- We believe that Hyundai Mipo, Hanwha Aerospace, and Daewoo Shipbuilding could increasingly be viewed as potential additions to MSCI Korea rebalance in May.
- Green Cross Corp, Sk Chemicals Co, and Alteogen could increasingly be viewed as potential deletion candidates in the next MSCI Korea rebalance.
Chugai Pharmaceutical (4519 JP): Key Drugs Are Facing Competition; 2022 Target Seems Aggressive
- Chugai Pharmaceutical (4519 JP) shares declined 2% since we published our bearish note on the company in December. We remain bearish on the name.
- Chugai is betting big on Actemra, Hemlibra, and Ronapreve for achieving 2022 revenue target. However, these have bleak outlook due to competition and uncertainty regarding COVID-19 prevalence globally.
- Chugai does not have any big launches expected this year. Pipeline has less visibility for compensating the revenue loss from the patent expired products.
Eyebright Medical Technology Beijing (688050.CH) – Some Points Worth the Attention
- At the current stage, the price of IOL that won the bidding in centralized procurement was above Eyebright’s ex-factory price, which means that the profits are still guaranteed.
- If two core products (IOL & OK lens) are both included in the centralized procurement in the future, Eyebright needs to broaden the product category and find new growth points.
- We analyze the valuation from a different angle.We could not say that the current market value of Eyebright is at the bottom, but is more reasonable compared with last June.
Before it’s here, it’s on Smartkarma
