Bank of America Securities: Reiterates Cinda Biotech's (01801) “Buy” Rating Target Price Increase to HK$54.1

The Zhitong Finance App learned that Bank of America Securities released a research report stating that it reaffirmed the “buy” rating of Cinda Biotech (01801). Considering the company's strong sales growth in the first half of the year and the acceleration in product sales growth, the revenue forecast for this year to 2026 was raised by 7% to 9%, and the R&D expenditure ratio was also raised by 4 to 5 percentage points, as the company has more test products entering the next stage of development. The target price increased from HK$43.9 to HK$54.1.

According to the report, the company's total revenue and product revenue for the first half of the year increased by 46.3% and 55.1%, respectively, to 4 billion yuan (same below) and 3.8 billion yuan, while losses during the period increased to 393 million yuan, mainly due to a decrease in net foreign exchange earnings (recorded 65.3 million yuan in the same period last year, compared to 278 million yuan in the same period last year) and the lack of one-time income tax credit programs (recorded 145 million yuan last year).