HK Stock Market Move | KEYMED BIO-B (02162) fell by more than 5% again, with a cumulative drop of over 30% in the past month. Citigroup said that the price reduction of Dupixent exceeded market expectations.

KEYMED BIO-B (02162) fell more than 5% again, with a cumulative decline of over 30% since December 21st. As of the time of writing, it has dropped by 4.31%, to HK $27.75, with a trading volume of HK $18.61 million. Citigroup had previously released a research report stating that the recent weakness in the stock price of Canoya has fully reflected the 40% price reduction of Dupixent in the national medical insurance catalog negotiations, exceeding the market's expectation of 30%, as well as investors' concerns about its commercial prospects. They pointed out that Canoya's valuation is underestimated, and further progress in its commercialization and the launch of new candidate drugs will lead investors to re-evaluate it, hence maintaining a " Buy / High Risk" rating with a target price of HK $60. The report mentioned that the management of Canoya had previously expressed confidence in achieving sales of 500 million RMB by 2025, with plans for 60% of sales to come from dermatology and 40% from otolaryngology. Citigroup stated that investors currently do not fully endorse the new company strategy, but believe that the new strategy is suitable for a biotechnology company, as it can accelerate the global clinical development of early-stage candidate drugs. The bank pointed out that further business collaborations, global clinical progress announcements, and increased visibility of commercial prospects will drive the stock price higher.