Goldman Sachs Group published a research report that raised the target price of federal pharmaceuticals from HK $5.29 to HK $8.81 based on SOTP. The bank upgraded its rating from "sell" to "neutral" because 6-APA (6-aminopenicillanic acid) had a stronger-than-expected price cycle and remained relatively flexible, coupled with an annual growth of 160 per cent in the emerging animal health business in the first half of the year and a strategic partnership with Pastoral shares, reflecting that income growth would depend on the speed of capacity expansion. Taking into account more flexible price trends, the bank raised its net profit forecasts for 2023 and 24 by 88 per cent and 56 per cent, respectively, and its sales and profit forecasts for fiscal 2024 were more conservative than market expectations because it expected a slight decline in the price of heparin (API) (by 5 per cent in 6-12 months).