GF SEC: Initiates "Buy" Rating on SINO BIOPHARM (01177) as it Enters a New Stage of Innovation and Development.

GF Securities released a research report stating that it is covering SINO BIOPHARM (01177) for the first time, giving it a "buy" rating. The company is expected to have an EPS of 0.23, 0.26, and 0.28 yuan per share for the years 2025-27, with a fair value of 11.54 Hong Kong dollars per share. The company is a benchmark for traditional pharmaceutical enterprises transforming into innovative ones. Through self-research, mergers and acquisitions, and pipeline introductions, the company has built a strong product matrix that currently covers the core treatment areas of oncology, liver diseases, respiratory system, and surgery/pain relief, successfully transitioning into a research-driven international pharmaceutical group from a generic drug enterprise. The report mentioned that Sino Biopharm has expanded its new drug matrix through self-research and business development, with significant progress in the four core areas. The company's research and development investment has been increasing annually from 9.9% to 18.1% from 2018 to 2025H1. In the first half of 2025, the company's research and development expenses reached 3.188 billion yuan, with approximately 78% invested in innovative drug research and development. The company has established a strong product matrix concentrated in four major areas: oncology, respiratory, liver diseases, and surgery/pain relief.