Has #ideas2invest been useful to you?
Please click here to share your feedback.
The Hang Seng HK-Listed Biotech Index sank 58% in the last 12 months due to price cuts and tightened clinical trials in China, rejected launch of Chinese drugs in the US, and US-delisting fears. The index is now trading close to its seven-year trough.
The Hong Kong listed biotech stocks are trading 84% below global average and we believe negatives are largely priced in. It is time to consider bottom fishing.
Look out for companies who can make inroads to the US market and remain listed in the US. Presence in the US is crucial for sales growth as drug prices there have been rising. To judge if a company has this ability, look at whether it is running clinical trials in the US with sizable number of US patients participating.
Want to know more on our stock research ideas?
Please visit DBS Treasures website.
Click under “Research” > “What's New” > “Equities to Watch”:
You can then select your Favorite Sectors:
