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Caixin Global

Articles from Caixin Global

Caixin is a media group dedicated to providing financial and business news through periodicals, online content, mobile apps, conferences, books and TV/video programs. Caixin aims to blaze a trail that helps traditional media prosper in the new media age through integrated multimedia platforms.

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Cross Asset Strategy

<ul><li>In Depth: How SoftBank wrestled back control of Arm China</li><li>Analysis: China's 'zero-Covid' policy is here to stay despite relaxing of quarantine rules</li><li>Charts of the Day: China’s trade deficit with Russia balloons</li></ul>

In Depth: How SoftBank wrestled back control of Arm ChinaAnalysis: China's 'zero-Covid' policy is here to stay despite relaxing of quarantine rulesCharts of the Day: China’s trade deficit with Russia balloons

CX Daily: How SoftBank Wrestled Back Control of Arm China

HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Equity Bottom-Up

<ul>
<li>Through perfect partnership system, Gushengtang locks in the scarce TCM physicians, and then quickly establishes/merges offline medical institutions to occupy the market. Such development mode works well so far.</li>
<li>The challenges are the risks of losing talents to competitors and the weak sales of healthcare products leading to lower profitability. </li>
<li>Gushengtang is in an industry that receives government encouragement/preferential policies. The 2022 revenue growth forecast could fall back to about 25% considering the pandemic/lockdown. The EPS could narrowly turn positive.</li>
</ul>


Through perfect partnership system, Gushengtang locks in the scarce TCM physicians, and then quickly establishes/merges offline medical institutions to occupy the market. Such development mode works well so far.
The challenges are the risks of losing talents to competitors and the weak sales of healthcare products leading to lower profitability. 
Gushengtang is in an industry that receives government encouragement/preferential policies. The 2022 revenue growth forecast could fall back to about 25% considering the pandemic/lockdown. The EPS could narrowly turn positive.


Gushengtang (2273.HK) - The Development Momentum Is Good, but There Are Also Challenges

Equity Analyst, LightStream Research

Shifara Samsudeen, FCMA, CGMA

Equity Analyst

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

JD Health International  / Equity Bottom-Up

<ul>
<li>China has released a draft rule on 22nd June that would prevent third-party e-commerce platforms from selling drugs directly to consumers online.</li>
<li>Alibaba Health as well as JD Health’s shares dropped 15% at the end of trade on 22nd June while Ping An Health's shares lost about 5.7% of its value.</li>
<li>This is the First of a series of reports where we analyse the impact of the above draft rule on leading digital-healthcare players in China. This report discusses JD Health.</li>
</ul>


China has released a draft rule on 22nd June that would prevent third-party e-commerce platforms from selling drugs directly to consumers online.
Alibaba Health as well as JD Health’s shares dropped 15% at the end of trade on 22nd June while Ping An Health's shares lost about 5.7% of its value.
This is the First of a series of reports where we analyse the impact of the above draft rule on leading digital-healthcare players in China. This report discusses JD Health.


JD Health: Minimal Impact from New Policy on Digital Healthcare

Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<ul>
<li>New Medical Product Rule banned online direct sales of medical products.</li>
<li>Koolearn’s stock price plunged after surging, as Tencent reduced its shareholdings.</li>
<li>Alibaba dismissed employees in Freshippo and JD.com downsized its community group purchase.</li>
</ul>


New Medical Product Rule banned online direct sales of medical products.
Koolearn’s stock price plunged after surging, as Tencent reduced its shareholdings.
Alibaba dismissed employees in Freshippo and JD.com downsized its community group purchase.


China Internet Weekly (27Jun22): Koolearn’ Up & Down, New Rule on Medical Apps

<ul>
<li>The exposure draft about online drug sales activities on third-party digital healthcare platforms would add uncertainties on JD Health’s business. We analyzed the potential impact and the logic behind.</li>
<li>Keeping both self-run and third-party business is the optimal option because JD Health cannot afford losing either one. The exact impact will have to wait until policy details are released.</li>
<li>As main revenue contributor, there are concerns on JD Pharmacy in terms of profitability and policy risks. Before second growth point emerges, expectation on long-term valuation expansion would be discounted.</li>
</ul>


The exposure draft about online drug sales activities on third-party digital healthcare platforms would add uncertainties on JD Health’s business. We analyzed the potential impact and the logic behind.
Keeping both self-run and third-party business is the optimal option because JD Health cannot afford losing either one. The exact impact will have to wait until policy details are released.
As main revenue contributor, there are concerns on JD Pharmacy in terms of profitability and policy risks. Before second growth point emerges, expectation on long-term valuation expansion would be discounted.


JD Health (6618.HK) - Logic Change Due to the New Policy?

China

JD Health International Inc. operates drug stores. The Company retails Chinese and Western medicines, nutrition products, health care products, and other products. JD Health International markets its products throughout China.

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JD Health International (6618 HK)

CX Daily: How SoftBank Wrestled Back Control of Arm China

In Depth: How SoftBank wrestled back control of Arm China. Analysis: China's 'zero-Covid' policy is here to stay despite relaxing of quarantine rules

Caixin Global

Gushengtang (2273.HK) - The Development Momentum Is Good, but There Are Also Challenges

Gushengtang's business model works well, but increasing competition and weak healthcare product sales could negatively affect performance. 2022...

Xinyao (Criss) Wang

JD Health: Minimal Impact from New Policy on Digital Healthcare

This is the First of a series of reports where we analyse the impact of the above draft rule on leading digital-healthcare players in China. We...

Shifara Samsudeen, FCMA, CGMA

China Internet Weekly (27Jun22): Koolearn’ Up & Down, New Rule on Medical Apps

New Medical Product Rule banned online direct sales of medical products. Koolearn’s stock price plunged after surging, as Tencent reduced its...

Ming Lu

JD Health (6618.HK) - Logic Change Due to the New Policy?

The policy about online drug sales on third-party digital platforms will add uncertainties on JD Health.Before new growth point emerges,...

Xinyao (Criss) Wang

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