[ET Net News Agency, 1 November 2017] Credit Suisse assumed coverage on Sinopharm Group
(01099) with a "neutral" rating, and a higher target price of HK$39.5 (from HK$37.5
perviously).
The research house turned more conservative on Sinopharm's 2017 earnings, due to more
stressed-than-expected gross margin, and more positive on 2018/19 earnings, due to
expanded national drug reimbursement list (NDRL) and greater implementation of
"two-invoice" policy.
Credit Suisse adjusted down its 2017 earnings forecast by 1%, while raised its 2018/19
forecast by 3%/2%. (KL)