The Donghai Securities Research Report points out that the overall valuation of the pharmaceutical and biological industry is currently at a historically low level, and the investment value is remarkable. The National Health Insurance Administration recently issued a draft for comments on the initial price formation mechanism for newly marketed chemicals. The pricing of new drugs has ushered in a new market-based model, and innovative pharmaceutical devices are expected to benefit. Recently, hot topics such as weight loss drugs, new cell therapy, and brain-computer interfaces have continued to benefit. As market sentiment gradually picks up, we continue to pay attention to investment opportunities in booming segments. It is recommended to focus on sectors such as innovative pharmaceutical devices, chain pharmacies, branded traditional Chinese medicines, medical services, Class II vaccines, and blood products. Individual stock attention: Yifeng Pharmacy, Ling Rui Pharmaceutical, Xinbang Pharmaceutical, etc.