Main points of investment

Company profile

The company is a high-end traditional Chinese medicine preparation-based, multi-dosage form, multi-variety of traditional Chinese medicine research and development, production and sales enterprises, the leading product is the national well-known trademark "Zhenbaodao" series products, which has basically formed "traditional Chinese medicine as the main, chemical medicine as the supplement; injection as the main, other dosage forms as the auxiliary; cardio-cerebrovascular drugs as the main, other drugs as the auxiliary" product pattern.

The company's main products include Xuesaitong for injection, Xuesaitong injection, Xueshuantong capsule, Shuxuening injection, compound Qinlan oral liquid, bone peptide for injection and other products.

Profit forecast

We estimate that the company's operating income from 2015 to 2017 will be 17.9,21.09 and 2.512 billion yuan respectively, an increase of 12.65%, 17.55% and 19.11% respectively over the same period last year. The attributable net profit of 2014-2016 is 53847 yuan, 67576 yuan and 827.06 million yuan respectively, up 12.82%, 25.5% and 22.39% respectively over the same period last year, and the corresponding EPS is 1.27,1.59,1.95 yuan respectively.

Company valuation

The company's main business is mainly concentrated in cardiovascular traditional Chinese medicine injection, due to the negative effects of traditional Chinese medicine injection, as well as increased competition, drug prices and other factors, the company's growth slowed down, combined with the current valuation level of the industry, we believe that the reasonable price range of the company is 25.4-30.48, corresponding to 20-24 times PE in 2015.