UBS: Raises CanSino Biologics' target price to HKD 66.6 and reiterates it as the top pick in the vaccine sector.

UBS released a research report stating that CanSino Biologics' performance in the second quarter slightly exceeded expectations, with revenue growth accelerating to 38%, compared to 20% in the first quarter. Net loss narrowed to 2 million yuan, with a net loss of 13 million yuan in the first half of the year, a 94% decrease compared to the same period last year, less than the bank's forecast of a loss of 31 million yuan. Management reiterated full-year revenue guidance of 1 billion yuan. UBS reiterated CanSino Biologics as the preferred stock in the vaccine sector, bullish on its accelerated profit growth, believing that its early pipeline products and potential for external authorization have not been fully reflected. The bank raised its target price from 47 Hong Kong dollars to 66.6 Hong Kong dollars, reaffirmed a "buy" rating, and raised earnings forecasts per share for 2025 to 2027 from 0.01, 1.16, and 2.39 yuan to 0.24, 1.16, and 2.55 yuan.