Glonghui, May 8 | China Merchants Securities issued a report, arguing that the hawkish monetary policy of the Federal Reserve will slow down the recovery of drug development and manufacturing (CDMO) performance in the current fiscal year. It is expected that the possibility that Yao Ming Biotech's revenue will increase by medium to high units in this fiscal year will decrease, so its target price was drastically lowered from HK$45 to HK$13, and the rating was downgraded from “increase in holdings” to “neutral”. The bank lowered Yao Ming Biotech's revenue and adjusted net profit forecasts for the current fiscal year by 12% and 17%, respectively, to reflect a further slowdown in the company's overall revenue growth. China Merchants Securities said that the current downgrade of Yao Ming Biotech is to reflect weak revenue and profit growth, as well as geopolitical uncertainty.