China Merchants Securities International: Maintaining Ruibo Biotech's (06938) “Gain” Rating Target Price of HK$105

The Zhitong Finance App learned that China Merchants Securities International released a research report stating that Ruibo Biotech (06938) was included in the Hong Kong Stock Connect, improving its fundamentals and financial aspects in multiple dimensions, so it maintains an “increase in holdings” rating, with a target price of HK$105.

The bank pointed out that the company achieved revenue of 420 million yuan in the first half of the year, exceeding market expectations; as of the interim report, it had 2.2 billion yuan in cash on hand. RBD4059 is progressing steadily in clinical phase 2b for atrial fibrillation and VTE, and it is expected that 4 phase 2b clinical trials will be carried out.

Based on 4 assets in clinical phase II or above development, of which 3 have global equity and 1 domestic interest was authorized to Qilu, the bank expects Ruibo Biotech's revenue from 2026 to 2028 to 2028 to be 440 million yuan, 120 million yuan and 150 million yuan respectively. The reasonable equity value of the company is HK$18 billion, calculated using the discounted cash flow value (DCF) method.