HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Thematic (Sector/Industry)

1. Industry viewpoints:<ul>
<li>Last week, the negotiations of volume-based purchase 2020 came to a close, and the bidding of PD-1/L1 was the most eye-catching.</li>
<li>In the future, with the rapid release of radiotherapy equipment in China, the penetration rate of radiotherapy is expected to be accelerated.</li>
<li>The use of traditional Chinese medicine in hospital is facing severe challenges.</li>
</ul>2. Company news:News about the updated progress of new drugs and cooperation from <a href="https://www.smartkarma.com/entities/ascletis-pharma-inc" target="_blank" data-smartkarma-citation="entities:27265:1" rel="noopener">Ascletis Pharma Inc (1672 HK)</a>, <a href="https://www.smartkarma.com/entities/harbour-biomed-holdings-limited" target="_blank" data-smartkarma-citation="entities:29717:1" rel="noopener">Harbour Biomed (2142 HK)</a> and <a href="https://www.smartkarma.com/entities/luye-pharma-group-ltd" target="_blank" data-smartkarma-citation="entities:488:1" rel="noopener">Luye Pharma (2186 HK)</a>.3. Market review:Last week, stock price for healthcare sector in A share increased 4.25%, while CSI 300 increased 2.26% over the same period of time.4. Risk Disclosure:Policy risk, R&amp;D risk, Company risk and COVID-19 risk.

1. Industry viewpoints:
Last week, the negotiations of volume-based purchase 2020 came to a close, and the bidding of PD-1/L1 was the most eye-catching.
In the future, with the rapid release of radiotherapy equipment in China, the penetration rate of radiotherapy is expected to be accelerated.
The use of traditional Chinese medicine in hospital is facing severe challenges.
2. Company news:News about the updated progress of new drugs and cooperation from Ascletis Pharma Inc (1672 HK), Harbour Biomed (2142 HK) and Luye Pharma (2186 HK).3. Market review:Last week, stock price for healthcare sector in A share increased 4.25%, while CSI 300 increased 2.26% over the same period of time.4. Risk Disclosure:Policy risk, R&amp;D risk, Company risk and COVID-19 risk.

Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

DZT Research

DZT Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

Quantitative Analysis

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of June 18th.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight flows for Alibaba, Kingboard Laminates, Knowledge Atlas, Kingboard, CNOOC, China Mobile, Lenovo, Yangtze Optical Fibre And-H, Iluvatar Corex, Ke.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of June 18th.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight flows for Alibaba, Kingboard Laminates, Knowledge Atlas, Kingboard, CNOOC, China Mobile, Lenovo, Yangtze Optical Fibre And-H, Iluvatar Corex, Ke.


HK Connect Flows Weekly (Jun 18th): Alibaba, Kingboard Laminates, Knowledge Atlas, Kingboard, CNOOC

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of June 12th.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight flows for Tencent, Kingboard, Knowledge Atlas, Alibaba, Smic, Yangtze Optical Fibre And-H, Kingboard Laminates, China Hongqiao, Ke, Kingdee.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of June 12th.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight flows for Tencent, Kingboard, Knowledge Atlas, Alibaba, Smic, Yangtze Optical Fibre And-H, Kingboard Laminates, China Hongqiao, Ke, Kingdee.


HK Connect Flows Weekly (Jun 12th): Tencent, Kingboard, Knowledge Atlas, Alibaba, Smic, Ke, Kingdee

Equity Capital Markets

Jinxin Eldercare Industry Group Limited / Equity Capital Markets

Jinxin Eldercare Industry Group Limited (JIE HK)

<ul>
<li>The upper limit of payments is mainly "pension + children's support". Although the industry ceiling is high, the profit ceiling is thin. The consistency of management/services is more difficult to guarantee.</li>
<li>Private hospitals usually achieve at least 10-15% net profit margin if their management and operation capabilities are good. However, Jinxin’s profit margin is low, which is a pain point.</li>
<li>Since Jinxin’s 20+% revenue growth for the next three years is still promising, we think valuation of Jinxin would be higher than Hygeia but lower than Aier.</li>
</ul>


The upper limit of payments is mainly "pension + children's support". Although the industry ceiling is high, the profit ceiling is thin. The consistency of management/services is more difficult to guarantee.
Private hospitals usually achieve at least 10-15% net profit margin if their management and operation capabilities are good. However, Jinxin’s profit margin is low, which is a pain point.
Since Jinxin’s 20+% revenue growth for the next three years is still promising, we think valuation of Jinxin would be higher than Hygeia but lower than Aier.


Pre-IPO Jinxin Eldercare Industry Group - The Business, the Concerns and the Outlook

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of May 15th.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight flows for Tencent, China Mobile, Meituan, PICC P&amp;C, Kuaishou, Petrochina, Zijin Mining, Hua Hong Semiconductor, Xiaomi, Ping An Insurance.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of May 15th.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight flows for Tencent, China Mobile, Meituan, PICC P&amp;C, Kuaishou, Petrochina, Zijin Mining, Hua Hong Semiconductor, Xiaomi, Ping An Insurance.


HK Connect Flows Weekly (May 15th): Tencent, China Mobile, Meituan, PICC P&C, Kuaishou, Petrochina

China

Hygeia Healthcare is a prominent oncology healthcare group in China, dedicated to enhancing the accessibility and affordability of cancer treatment services. The company operates a network of oncology hospitals, providing comprehensive services from screening and diagnosis to various treatment modalities like chemotherapy, immunotherapy, and radiotherapy. It also offers radiotherapy consulting and equipment licensing. Hygeia Healthcare was founded in 2009 and is headquartered in Shanghai, China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Hygeia Healthcare (6078 HK)

China Healthcare Weekly (Dec.18)

The article analyzed the news about the negotiation result of PD-1/L1 in China VBP, industry viewpoints about radiotherapy and traditional Chinese...

Xinyao (Criss) Wang

HK Connect Flows Weekly (Jun 18th): Alibaba, Kingboard Laminates, Knowledge Atlas, Kingboard, CNOOC

We analyzed southbound Hong Kong connect flows in the past week and highlighted flows for Alibaba (9988 HK), Kingboard Laminates (1888 HK),...

Ke Yan, CFA, FRM

HK Connect Flows Weekly (Jun 12th): Tencent, Kingboard, Knowledge Atlas, Alibaba, Smic, Ke, Kingdee

We analyzed southbound Hong Kong connect flows in the past week and highlighted flows for Tencent (700 HK), Kingboard (148 HK), Knowledge Atlas...

Ke Yan, CFA, FRM

Pre-IPO Jinxin Eldercare Industry Group - The Business, the Concerns and the Outlook

Jinxin Eldercare faces profit margin challenges due to its asset-heavy model and upper limit of payments despite promising revenue growth,...

Xinyao (Criss) Wang

HK Connect Flows Weekly (May 15th): Tencent, China Mobile, Meituan, PICC P&C, Kuaishou, Petrochina

We analyzed southbound Hong Kong connect flows in the past week and highlighted flows for Tencent (700 HK), China Mobile (941 HK), Meituan (3690...

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)