In today’s briefing:
- Prodia (PRDA IJ) – Diagnosed for Growth
- Siloam International Hospitals (SILO IJ) – Core Strength in Display
- Akeso Biopharma Inc (9926.HK) – Caution Is Advised Until Sufficient Financing Is Secured
Prodia (PRDA IJ) – Diagnosed for Growth
- Prodia (PRDA IJ) released an exceptionally strong set of FY2021 results, driven partly by COVID testing but coupled by a pick-up in its core testing business and especially esoteric testing.
- It continues to see increasing tests per visit with revenue per visit increasing at the same time. Its digital strategy is working well further driving growth through an omnichannel approach.
- Prodia (PRDA IJ) continues to look dramatically undervalued versus its Indian diagnostic peers given its quality and growth prospects and remains our top Indonesian healthcare pick.
Siloam International Hospitals (SILO IJ) – Core Strength in Display
- Siloam International Hospitals (SILO IJ) held an analyst briefing recently to highlight the strong recovery of its base-case business, with very little contribution from COVID-related treatments by year-end.
- Revenues on a monthly basis have hit record highs in December and January, with increased efficiencies and improving profitability due to cost controls.
- Siloam International Hospitals (SILO IJ) remains an interesting recovery play but it has emerged even stronger from the pandemic and valuations are attractive versus peers and history.
Akeso Biopharma Inc (9926.HK) – Caution Is Advised Until Sufficient Financing Is Secured
- Akeso has a very high starting point, and was regarded as the leader of domestic second-tier biotech companies. However, in current unfavorable market sentiment, it’s necessary to re-examine the Company.
- In Akeso’s pipeline, there are some valuable and differentiated candidates, especially in the field of bispecific antibodies. Its R&D capability is also well recognized.
- However, due to the rich pipeline, related clinical trials will drain money fast. So, investors are advised to be cautious until Akeso has ensured sustainable and stable cash flow.
Before it’s here, it’s on Smartkarma
