Investment Rating - The industry view is rated as Attractive [7] Core Insights - The report highlights over 70 oral presentations from Chinese scholars at the 2025 ASCO, including 11 late-breaking abstracts, showcasing advancements in various pharmaceutical developments [1] - Sino Biopharma's combination of Benmelstobart (PD-L1) with anlotinib showed superior efficacy in first-line squamous non-small cell lung cancer (sq-NSCLC) with a median progression-free survival (mPFS) of 10.12 months compared to 7.79 months for tislelizumab [2] - CSPC's SYS6010 (EGFR ADC) demonstrated preliminary efficacy in advanced gastrointestinal cancers with mPFS of 5.8 months in gastric cancer patients [3] - Kelun Pharma's sac-TMT (TROP2 ADC) achieved a confirmed overall response rate (ORR) of 59.3% in first-line non-squamous NSCLC [4] - Fosun Pharma's HLX43 (PD-L1 ADC) showed an ORR of 31.3% in late-line solid tumors, with competitive results in NSCLC patients [5] Company Summaries Sino Biopharma - The combination therapy of Benmelstobart and anlotinib is expected to release Phase 3 data for first-line NSCLC and maintenance treatment after radiochemotherapy soon [2] - TQB2102 (HER2 bsAbADC) achieved an ORR of 53.4% in late-line HER2 low-expressing breast cancer [2] CSPC - SYS6010 in combination with SYH2051 showed preliminary efficacy for second-line advanced gastrointestinal cancers, with a G3+ treatment-related adverse event (TRAE) rate of 48% [3] - ALMB-0168 (Cx43 agonist) for relapsed/refractory osteosarcoma showed an ORR of 20% and a disease control rate (DCR) of 90% [10] Kelun Pharma - Sac-TMT demonstrated a 70.7% ORR and a mPFS of 13.4 months in first-line triple-negative breast cancer (TNBC) [11] - In the third-line EGFR-mutant NSCLC setting, sac-TMT achieved a PFS of 6.9 months compared to 2.8 months for docetaxel [11] Fosun Pharma - HLX43's competitive ORR of 38.1% in NSCLC patients during the dose-expansion phase indicates potential for further development [5]

Investment Rating - The industry investment rating is Attractive [3] Core Insights - Ferguson is rated Overweight with a price target of $195 and GBp 15,000 [7][10] - The expected organic growth for Ferguson is +1% with an operating margin of 8.3%, in line with consensus [6][8] - For FY25, Ferguson anticipates low single-digit growth in net sales and adjusted operating margin guidance of 8.3-8.8% [9] Summary by Sections Earnings and Events Calendar - Ferguson's 3Q25 results are due on June 3, 2025, with Ashtead's FY25 results following on June 17, 2025 [1] Company Performance Expectations - Ferguson's volume growth is expected to be approximately +3%, offset by a pricing headwind of about -2% due to commodity deflation [8] - The consensus for Ferguson's FY25 group revenues is $30,242 million, implying a +2.0% growth compared to FY24 [9] Valuation and Market Position - Ferguson's shares are trading at a CY25e P/E of approximately 20x, which is slightly above the coverage average but justified by a higher-quality mix [10] - The valuation methodology includes a DCF approach with an 8.0% WACC and a 2% terminal growth rate [12]

Investment Rating - The industry investment rating is Attractive [7] Core Insights - The report highlights several promising clinical trial results for various biotech companies, indicating potential best-in-class therapies in oncology and other therapeutic areas [2][3][4][5][6] - The report emphasizes the competitive landscape in the biotech sector, particularly in the context of EGFRm+ NSCLC, where DB-1310 faces significant competition [3] - The report provides a detailed analysis of multiple abstracts presented at ASCO, showcasing the efficacy and safety of various drug candidates [6][10] Summary by Relevant Sections Clinical Trial Results - DB-1311 in 3L CRPC shows a median rPFS of 8.3 months, indicating best-in-class potential [2] - DB-1310 in pre-treated EGFRm+ NSCLC demonstrates a uORR of 35.7% and mPFS of 7.0 months, competitive against peer HER3-ADCs [3] - Surufatinib + KN046 in 1L PDAC shows better response and safety, with mPFS competitive against SoC [4] - IBI363 in MSS/pMMR CRC shows consistent ORR and potential best-in-class mDoR of 7.5 months [4] Abstract Reactions - The report includes reactions to select abstracts from ASCO, indicating meaningful upside for DB-1311 and modest upside for DB-1310 [6][10] - IBI363 shows consistent results in immunotherapy-treated acral/mucosal melanoma with a DoR of 14 months [5] - ZL-1310 in r/r ES-SCLC shows an ORR of 68%, demonstrating best-in-class potential [5] Company Ratings - The report provides ratings for various companies in the healthcare sector, with notable mentions including: - 3SBio rated as ++ - Adicon Holdings rated as Overweight - Alibaba Health rated as Overweight [61]

Investment Rating - The report assigns a rating of Equal-weight to Grasim Industries Ltd (GRAS.NS) as of April 12, 2024 [63]. Core Insights - Grasim aims to achieve a double-digit market share in the core decorative business by fiscal year 2026 [6]. - The industry growth for fiscal year 2026 is projected to be in the low single digits due to muted market conditions [6]. - Grasim's luxury and premium products account for over 65% of its revenues across all product categories and sub-brands [6]. - The company has nearly reached its target of 50,000 dealers by fiscal year 2025, with an 80% penetration of tinting machines [6]. - Grasim's Birla Opus brand has achieved a high single-digit revenue market share, with combined market share exceeding 10% for Birla Opus and Birla White [6]. - The company has reached over 21% of industry capacity with five out of six plants operational, with the Kharagpur plant expected to be commissioned in the first quarter of fiscal year 2026 [6]. - Management noted that emulsions and waterproofing products are performing well, while enamels are catching up after a delayed launch [6]. - Pricing strategies for fiscal year 2026 will depend on competitive actions, with Grasim believing it offers sufficient value to consumers [6]. Summary by Sections Market Position and Strategy - Grasim's strategy includes adding more dealers and increasing counter share with existing dealers [6]. - The company is focused on maintaining competitive pricing, particularly in the luxury segment, where demand remains strong [6]. Financial Performance - The overall market growth for fiscal year 2025 was low single digits, indicating a challenging environment [6]. - Grasim's management highlighted that the end price for Birla Opus is competitive with other brands, despite competitors reducing prices in the economy segment [6].

Investment Rating - The report assigns an "Overweight" rating to Cigna Corp (CI) and UnitedHealth Group Inc (UNH), while Elevance Health Inc (ELV) and Humana Inc (HUM) are rated "Equal-weight" [56]. Core Insights - Cigna's Evernorth business has introduced an enhanced benefit offering for GLP-1 medications, negotiating a net price approximately 20% lower than previous prices for Wegovy and Zepbound, which could significantly expand coverage [1]. - The new program is estimated to save patients up to $3,600 annually compared to direct purchases from manufacturers, highlighting the role of PBMs in reducing drug costs through negotiation [1]. - Cigna's strategy contrasts with CVS' recent partnership with Novo Nordisk, indicating a less exclusionary approach in its offerings [1]. Summary by Sections Managed Care Developments - Cigna's new GLP-1 benefit offering includes a flexible copay structure, capping monthly copays at $200, aimed at employers without current coverage [1]. - The report notes that Cigna's approach is designed to address key pain points for customers and enhance cost-sharing options [1]. Policy Dynamics - Recent PBM policy dynamics are viewed as relatively benign, focusing on transparency and limiting spread pricing in Medicaid, which is manageable for PBMs [6]. - The evolving PBM models are better equipped to adapt to reform measures, indicating a positive outlook for the industry [6].

May 23, 2025 04:01 AM GMT Embodied AI | North America AI Robotics Disruptors: Skild AI A key bottleneck for scaling AI in robotics is a lack of data. You need vision data to train a vision language action (VLA) model. Chatbots train on internet data. Can robots learn by watching YouTube? We profile Skild AI, a startup building general-purpose robotics models leveraging human videos. At a recent dinner party in Rome, I learned how to tie a bow tie by watching a YouTube video (I had to practice a few times be ...

Investment Rating - The biotechnology industry in North America is rated as Attractive [4]. Core Insights - Initial Phase I/II data for Genmab's Rinatabart sesutecan (Rina-S) in advanced endometrial cancer shows an unconfirmed overall response rate (ORR) of 50% for the 100 mg/m² dosing cohort and approximately 45% for the 120 mg/m² cohort, indicating competitive efficacy [3][6]. - Legend Biotech's Carvykti demonstrates promising outcomes in high-risk multiple myeloma (MM) with a median progression-free survival (mPFS) of 13 months compared to 4 months for standard of care [12]. - The pipeline updates for DLL3 and Claudin 18.2 programs from Legend Biotech show early efficacy signals, warranting further observation [6]. Summary by Relevant Sections Genmab (GMAB) - The report highlights initial data from the GTC1184-01 study, focusing on Rina-S for advanced endometrial cancer, with a median follow-up of approximately 19 weeks [3]. - The safety profile indicates that over 15% of patients required dose reductions, with one Grade 5 event noted [3][7]. - The efficacy signal is considered strong when compared to Merck's TROP2 ADC, which had an ORR of about 34% [3][7]. Legend Biotech (LEGN) - The CART-4 subgroup analysis shows promising outcomes in high-risk MM, with 5-year CART-1 data indicating a functional cure in about one-third of patients [6]. - The ongoing Phase I study of LB2102 in relapsed or refractory small cell lung cancer (SCLC) shows strong tolerability and initial signs of dose-dependent efficacy [10]. - Preliminary results from LB1908 in advanced gastroesophageal adenocarcinoma indicate tumor reductions of 1% to 41% in treated patients [11]. Overall Industry Insights - The report anticipates limited stock impact for both Genmab and Legend Biotech from the ASCO abstracts, with further details expected from full presentations [6]. - The biotechnology sector is viewed positively, with expectations for continued advancements and potential market opportunities [4].

Investment Rating - The investment rating for Kanzhun Ltd is Overweight (OW) [1][67]. Core Insights - Improving recruitment demand is observed in April-May, with expectations for cash billing growth to accelerate from Q2 2025. The limited impact of tariffs on the industry is also noted [1]. - Enhanced operating efficiency and cost control measures are anticipated to contribute to earnings upside in 2025 [1]. Summary by Relevant Sections - **Industry View**: The industry is viewed as attractive, with positive indicators for recruitment demand and operational improvements [1]. - **Valuation Methodology**: The valuation is based on a discounted cash flow model, utilizing a 12% WACC and a 3% terminal growth rate, reflecting the company's commitment to share buybacks and potential dividends [8]. - **Analyst Stock Ratings**: Kanzhun Ltd is rated as Overweight, indicating that its total return is expected to exceed the average total return of its industry coverage over the next 12-18 months [33][67].

Investment Rating - The investment rating for Tosoh is Equal-weight [4]. Core Insights - Tosoh has released a new medium-term management plan (MTP) for F3/26-28, targeting an operating profit (OP) of ¥140 billion for the final year, with a guidance of ¥108 billion for F3/26. The previous MTP aimed for ¥150 billion in F3/25, but the actual result was ¥98.9 billion [1][4]. - The company plans to invest between ¥220 billion and ¥250 billion over the next three years, focusing on expanding earnings in high-performance materials and strengthening the revenue base of its chain business [1]. - Tosoh has revised its shareholder return policy, increasing the total return ratio from 30% to 50%, with a dividend per share (DPS) floor of ¥100 and plans for share buybacks if the payout ratio falls below 50%. An additional ¥50 billion is allocated for share buybacks over the next three years [1]. Summary by Sections Financial Performance - The operating profit target for F3/28 is set at ¥140 billion, with the previous year's actual result being ¥98.9 billion, indicating a significant shortfall in the chlor-alkali and specialty products businesses [1]. Capital Investment - Tosoh's capital investment plans for the next three years range from ¥220 billion to ¥250 billion, slightly above the previous plan's total of ¥221.8 billion [1]. Shareholder Returns - The company has shifted its shareholder return policy to a total return ratio of 50%, with a DPS floor of ¥100 and plans for share buybacks if the payout ratio drops below 50%. Up to ¥50 billion will be allocated for share buybacks over the next three years [1].

Investment Rating - The investment rating for Corporate Travel Management Limited (CTD.AX) is Equal-weight [2][11]. Price Target - The price target has been updated to A$12.50 from A$11.80 [1][5]. Core Views - The report indicates that after a period of elevated uncertainty, activity in the corporate travel sector has returned closer to business as usual, leading to low-double-digit EPS upgrades for FY25e-27e, although still below consensus [1][11]. - The report highlights that the corporate travel industry is expected to show resilience despite slowing growth, with CTD emerging as a more competitively advantaged business post-COVID-19 [11][20]. - The report notes that the company has improved its competitive position and is well-positioned to gain market share both organically and through acquisitions [11][20]. Financial Estimates - The fiscal year ending estimates for EPS are as follows: FY24 at A$0.80, FY25e at A$0.60, FY26e at A$0.70, and FY27e at A$0.87 [2][19]. - Total Transaction Value (TTV) estimates are projected at A$714 million for FY24 and FY25e, increasing to A$778 million for FY26e and A$843 million for FY27e [15][19]. Valuation Metrics - The valuation metrics include a P/E ratio of 15x for FY26e EPS, which is below the 10-year average of 28x, and an EV/EBITDA of 9x for FY26e EBITDA, also below the long-term average [5][11]. - The report uses a DCF model with a WACC of 11.8% and a terminal growth rate of 3.5% [5]. Market Dynamics - The report emphasizes that the corporate travel sector is expected to rebound, driven by ROI-driven dynamics and market share gains, particularly in the Asia segment [9][10]. - The report also notes that the industry consolidation favors scale players, which benefits CTD [11][20].