Jiangsu Hengrui Medicine (600276) Earnings: 3Q Net Income Surpasses Estimates at 1.19 Billion Yuan

Jiangsu Hengrui Medicine on Smartkarma

Analyst coverage of Jiangsu Hengrui Medicine on Smartkarma by Xinyao (Criss) Wang indicates a bearish sentiment towards the company. In the report titled “Jiangsu Hengrui Medicine (600276.CH) – Share Price Is at Risk of Correction,” concerns are raised about the sustainability of Hengrui’s revenue growth despite its high performance in 24H1. The analysis suggests that Hengrui is overvalued and forecasts a moderate revenue growth in the coming years. The reasonable P/E ratio is estimated to be around 30 or lower, indicating a potential correction in the share price. Comparisons are drawn with BeiGene, suggesting that Hengrui’s current valuation may not be justified.

In another report titled “Jiangsu Hengrui Medicine (600276.CH) – More Downside Ahead; The Long Logic Doesn’t Exist,” Xinyao (Criss) Wang predicts a future revenue decline in Hengrui’s generic drug business, affecting the overall valuation of the company. The analysis highlights potential challenges for Hengrui’s innovative drug business and suggests that the company may struggle to maintain its growth momentum. The report anticipates a decrease in Hengrui’s PE ratio in the future, leading to a downward trend in valuation. The current high valuation of Hengrui is deemed unsustainable based on the projected future performance.

A look at Jiangsu Hengrui Medicine Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Analysts using Smartkarma Smart Scores project a promising long-term outlook for Jiangsu Hengrui Medicine. With high scores in both Resilience and Momentum, the company demonstrates strong stability and positive growth potential. The company’s focus on developing, manufacturing, and marketing a variety of medicines positions it well in the healthcare sector.

Jiangsu Hengrui Medicine‘s emphasis on Growth further enhances its potential for expansion and market success. While Value and Dividend scores are moderate, the high scores in Growth, Resilience, and Momentum indicate a bright future for the company in the pharmaceutical industry.

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