Jingu Finance | Huayuan Securities released research reports, stating that innovent bio (01801) was established in 2011 and listed on the Hong Kong Stock Exchange in 2018, focusing on the research and development of innovative drugs in major areas such as oncology, autoimmunity, metabolism, and ophthalmology. Currently, the company has 11 approved products on the market, with ongoing research in new drugs covering dual-target GLP1, PD-1/IL2 bispecific antibodies, and other high-potential high-value pipelines. The commercial product portfolio is increasingly diverse, with improving marketing output and operational efficiency, successfully transitioning from Biotech to Biopharma. The firm believes that in the oncology sector, through the "IO+ADC" strategy, it will achieve the next global oncology innovation wave and consolidate its leading position. Opening up a new growth curve in non-oncology pipelines covering cardiovascular and metabolism, autoimmunity, ophthalmology, with high potential and value.

The firm predicts that the company's revenue for 2024-2026 will be 8.094, 11.327, and 14.551 billion yuan respectively, with year-on-year growth rates of 30.43%, 39.94%, and 28.46%. Calculated using the DCF method, assuming a perpetual growth rate of 3% and a WACC of 9.52%, the company's fair equity value is 93.9 billion yuan, corresponding to 101.5 billion Hong Kong dollars (exchange rate of 1 yuan = 1.08 Hong Kong dollars). With a rich and diverse commercial product portfolio, continuously improving operational efficiency, and the imminent commercialization of a major weight loss product, the value potential of the pipeline under development is significant. First coverage, 'buy' rating for the company.