[ET Net News Agency, 28 August 2020] Macquarie Research lifted its target price for
CSPC Pharmaceutical (01093) to HK$21 from HK$19.86 and maintained its "outperform" rating.
Despite a lack of newly launched innovative drugs on the market, the research house
noted CSPC's core earnings growth under the negative impact of Covid and GPO (centralized
procurement with guaranteed volume) remains resilient at 10%.
This highlights CSPC's advantage of having a large anddiversified portfolio balancing
out the weaker products and a strong marketing team promoting selective generic drugs with
promising peak sales potential.
Macquarie raised its 2021-22 earnings forecasts by 5% and 4%. (KL)