There are long-term investment opportunities in the pharmaceutical sector, and two high-growth tracks are optimistic

[Pharmaceutical Network Market Analysis] Since 2022, although the overall performance of the pharmaceutical industry theme funds has not been satisfactory, according to iFinD data from Flush, as of August 21, among the 129 pharmaceutical industry funds whose performance data for the year can be counted, except for GF Global Healthcare The annual rate of return of (QDII)A (RMB) was positive, and the annual rate of return of the remaining 128 products were all negative
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However, in the long run, the industry is generally optimistic about investment opportunities in the pharmaceutical sector, and there are two high-growth tracks worthy of attention, including innovative drugs and innovative medical devices
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Innovative drugs usher in vigorous development.
With the advancement of drug administration reforms such as accelerating drug review and approval, and the Hong Kong Stock Exchange allowing unprofitable biotech companies to go public, pharmaceutical companies are enthusiastic about R&D and continue to increase investment.
The entire innovative drug industry is welcoming.
booming development
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According to statistics from Sinolink Securities, the R&D investment of listed companies in China's pharmaceutical industry continues to rise.
In 2021, the R&D expenses of domestic A-share listed pharmaceutical industry companies will reach 124.
1 billion yuan, and the compound annual growth rate of overall R&D expenses since 2018 will reach 28.
34%
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With continuous R&D investment, the number of approved innovative drugs in China has increased year by year
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According to the data of China Pharmaceutical Industry Information Center: in 2017, 2018, 2019, 2020, and 2021, the number of Class 1 domestic innovative drugs approved by the China Food and Drug Administration for marketing were 1, 9, 11, and 15 respectively.
, 36
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At the same time, China's local pharmaceutical innovation and R&D strength has gradually improved, and more and more pharmaceutical companies have gone international, licensing innovative drug products under development to overseas pharmaceutical companies for development, or accelerating the realization of overseas listing of products, such as Baiji A large number of pharmaceutical companies such as Shenzhou, Kelun Pharmaceutical, and CSPC have the experience of going overseas
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At present, in response to the homogenization of competition on the track and the accumulation of popular targets, new policies have been released one after another to combat "pseudo-innovation" and encourage true innovation
.
The industry believes that in the future, leading innovative drug companies with clinical value-oriented and innovative strength are expected to usher in opportunities
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As far as the second half of the year is concerned, the current valuation of innovative drugs has dropped sharply
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Sinolink Securities believes that the pharmaceutical sector pays attention to the double recovery opportunities of performance and valuation, and pays attention to the progress of innovative drug research and development
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Innovative medical devices welcome opportunities Domestic medical devices are ushering in favorable policies one after another
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For example, on July 13, the Beijing Municipal Medical Insurance Bureau issued the "Notice on Printing and Distributing CHS-DRG Payments for New Drugs and New Technology Excluded Payment Management Measures (Trial)", which clarified that innovative drugs, innovative medical devices, and innovative medical service projects can be exempted from DRG On July 15, the relevant departments issued the "Notice on the Public Solicitation of Public Comments on the "Government Procurement Law of the People's Republic of China (Draft for Comments)"
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In the "Draft", it clearly supports the domestic industry and supports scientific and technological innovation
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Although medical insurance cost control and centralized procurement price reduction in recent years have brought some concerns and market pressure to innovative medical devices, for machinery companies, with the release of policies to support domestic industries, it means that China's policy on innovative medical devices in the future The orientation and policy trends will be clearer, which will help speed up the pace of domestic substitution and release more room for penetration
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According to relevant reports from iResearch, the global medical device industry market size in 2020 is 3,499.
8 billion yuan, a year-on-year increase of 4.
60%, of which China's market size is 811.
8 billion yuan, a year-on-year increase of 15.
50%.
It is estimated that the total size of China's medical device market will be It is close to one trillion, and the potential is huge
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 　　The industry said that the prospect of innovative medical devices is promising, and they are optimistic about domestic medical device companies with R&D capabilities and manufacturing capabilities.
These companies may accelerate the breakthrough of imported technology monopoly in some fields in the future
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 　　Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice to anyone
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