HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Over 15 years' experience in both finance and healthcare, covering clinic operations, investment and equity research in both China and overseas.

Sichuan Kelun Pharmaceutical (002422.CH) - The Deal with Merck Brightens the Outlook; A Dark Horse?

Pre-IPO Shanghai Chicmax Cosmetic - PHIP Updates: Declining Performance and Challenging Outlook

Clover Biopharmaceuticals (2197.HK) Placement - A Good Bet

Sino Biopharmaceutical (1177.HK) - Three “Golden Eggs” and the Risks Behind

Pre-IPO Giant Biogene (2367 HK) - Some Unstable Factors

Jiangsu Hengrui Medicine (600276.CH) 2021/2022Q1 Results - Can You Afford to Wait?

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

Equity Bottom-Up

Sino Biopharmaceutical / Equity Bottom-Up

<ul>
<li>Due to VBP/NRDL negotiation, 2022 is the low point of Hengrui's performance.The question is to what extent would Hengrui recover?Its development model isn’t an advantage since the game rule changes. </li>
<li>Unlike Hengrui, Sino Biopharm hasn’t given up on generics business,which becomes a " performance buffer". Its BD capability/vision is commendable, which would help the company find the next "golden egg".</li>
<li>The stock price trend of the two companies could diverge. Sino Biopharm is more likely to outperform Hengrui in the medium to long term. Long Sino Biopharm, and short Hengrui.</li>
</ul>


Due to VBP/NRDL negotiation, 2022 is the low point of Hengrui's performance.The question is to what extent would Hengrui recover?Its development model isn’t an advantage since the game rule changes. 
Unlike Hengrui, Sino Biopharm hasn’t given up on generics business,which becomes a " performance buffer". Its BD capability/vision is commendable, which would help the company find the next "golden egg".
The stock price trend of the two companies could diverge. Sino Biopharm is more likely to outperform Hengrui in the medium to long term. Long Sino Biopharm, and short Hengrui.


China Healthcare - A Pair Trade: Long Sino Biopharm (1177.HK), Short Hengrui Medicine (600276.CH)