According to the research report of Zheshang Securities, it is recommended to pay attention to three investment opportunities in the traditional Chinese medicine industry: 1) Policies: centralised procurement of traditional Chinese medicine may be strengthened, and the relaxation of medical insurance restrictions is expected to bring new OTC varieties. 2) Companies: stock-based incentives provide support for performance growth. Chinese medicine companies have significant positive improvements in management, including traditional enterprises that benefit from the state-owned enterprise reform tide and are expected to inject new development vitality into the reform process. 3) Finances: accounts receivable turnover is improving, and ROE is steadily increasing. Stocks that can be focused on include Tongrentang, Zhangzhou Pientzehuang Pharmaceutical, and Henan Lingrui Pharmaceutical, among others.