Core Viewpoint - The CRO sector experienced a collective decline in stock prices, influenced by recent economic data and expectations regarding interest rate changes in the U.S. [1] Group 1: Stock Performance - King’s Ray Biotechnology (01548) fell by 6.05%, trading at 14.92 HKD [1] - Kanglong Chemical (300759) decreased by 4.67%, trading at 20.8 HKD [1] - Via Biotechnology (01873) dropped by 4.57%, trading at 1.88 HKD [1] - Tigermed (300347) declined by 3.71%, trading at 36.9 HKD [1] Group 2: Economic Context - The U.S. non-farm payroll data for September exceeded expectations, leading to a reduced likelihood of interest rate cuts by the Federal Reserve in December [1] - Despite fluctuations in overseas CPI data, there is an expectation for a gradual shift towards interest rate cuts starting in 2024, which may improve investment and financing conditions [1] Group 3: Industry Outlook - Zhongtai Securities (600918) anticipates a recovery in external demand for CRO/CDMO services and domestic preclinical CROs, suggesting potential valuation recovery opportunities [1] - The CRO sector has been significantly impacted by domestic and international financing environments, but with the gradual implementation of domestic policies, a recovery in the sector is expected [1] - Continuous focus on investment opportunities in clinical CROs is recommended as the sector shows signs of recovery [1]

Core Viewpoint - The domestic R&D demand is showing marginal improvement, driven by the overseas expansion of innovative drugs, leading to a recovery in R&D orders and stabilization of industry prices after a decline in 2023. The CRO sector is expected to see better performance growth by 2026, while the CDMO industry has also reached a bottom and is poised for continued strong growth due to robust demand for new molecules and new orders [1][2][3]. CRO Sector - The domestic R&D demand is recovering, with an increase in orders and stabilization of prices, indicating a clear upward trend for CRO companies. Clinical CROs like Tigermed, Nossan, and Prasis are expected to see revenue growth turning positive by 2025, with significant contributions from overseas business [2][3]. - The recognition of domestic CRO clinical data is improving, which is beneficial for companies like Tigermed [2]. CDMO Sector - The CDMO sector has seen a recovery in performance, with new orders continuing to improve quarterly. The global demand for innovative drug R&D is driving growth in new orders and backlog [3]. - The industry is benefiting from increased capacity utilization and profitability, with a strong certainty of performance and profit growth expected to continue into 2026 [3]. Life Sciences Sector - The life sciences upstream sector is experiencing a dual drive from domestic substitution and overseas expansion, with urgent demand for domestic alternatives in areas like cell culture media and biological reagents. Companies are expected to capture market share through new product categories and cost-effective offerings [4]. - The demand for specific segments such as drug efficacy, antibodies, and proteins is increasing, indicating a clear long-term growth logic for the industry [4]. API Sector - The raw material pharmaceutical industry is currently in a phase of price bottoming and supply surplus, with traditional product performance under pressure. However, companies are extending their business into generics, innovative drugs, and specialty APIs, which may lead to value reconstruction through business structure optimization [5]. - The valuation of raw material pharmaceutical companies is at a low point, presenting opportunities based on changes in new business layouts [5]. Investment Recommendations - For clinical and preclinical CROs, companies like Tigermed, Nossan, and Yinos are recommended due to the gradual recovery of the industry and expected improvement in order structure [6]. - In the CDMO sector, companies such as WuXi AppTec, WuXi Biologics, and others with strong fundamentals and capacity advantages are highlighted for their potential benefits from industry recovery and high demand for new molecules [6]. - In the life sciences upstream sector, companies like Baitai Biotechnology and others are recommended due to accelerated domestic substitution and strong overseas growth [6]. - Companies like Pro Pharma and Huahai Pharmaceutical are noted for their new business layouts that are expected to contribute significant value increments [6].

Core Viewpoint - Tiger Med's stock price has experienced a decline of 5.53% year-to-date, with a significant drop of 13.21% over the past five trading days, indicating potential concerns among investors regarding the company's performance and market position [1]. Financial Performance - For the period from January to September 2025, Tiger Med reported a revenue of 5.026 billion yuan, reflecting a year-on-year decrease of 0.82%. However, the net profit attributable to shareholders increased by 25.45% to 1.020 billion yuan [2]. - The company has distributed a total of 2.458 billion yuan in dividends since its A-share listing, with 1.154 billion yuan distributed over the past three years [3]. Stock Market Activity - As of November 20, Tiger Med's stock was trading at 51.32 yuan per share, with a market capitalization of 44.188 billion yuan. The stock has seen a trading volume of 264 million yuan and a turnover rate of 0.90% [1]. - The net outflow of main funds was 22.6355 million yuan, with large orders showing a buy of 466.036 million yuan and a sell of 688.923 million yuan, indicating a higher selling pressure [1]. Shareholder Structure - As of September 30, 2025, the number of shareholders for Tiger Med was 48,400, a decrease of 6.01% from the previous period. The top circulating shareholder is Hong Kong Central Clearing Limited, holding 48.3625 million shares, an increase of 25.0969 million shares from the previous period [2][3].

Core Viewpoint - The announcement from Tigermed indicates that the share reduction plan by the general manager, Cao Xiaochun, has been completed, with a total of 347,600 shares reduced, which is significantly lower than the original upper limit of the plan [1] Summary by Relevant Sections - **Share Reduction Details** - Cao Xiaochun, a major shareholder and general manager, completed a share reduction plan, selling a total of 347,600 shares, which represents 0.0475% of the company's total A-share capital [1] - The reduction period has ended as of November 18, and the total shares sold are well below the planned upper limit [1] - **Impact on Company Control and Governance** - The company stated that this share reduction will not lead to any change in control and will not affect the governance structure or the ongoing operations of the company [1] - **Company Background** - Tigermed was listed on the Shenzhen Stock Exchange on August 17, 2012, and is one of the earliest CRO companies to be listed in China [1] - The company also completed a secondary listing on the Hong Kong Stock Exchange in 2020 [1]

Core Viewpoint - The announcement from Tigermed (300347) indicates that the share reduction plan by General Manager Cao Xiaochun has been completed, with a total of 347,600 shares reduced, which is significantly below the upper limit of the original plan [1] Summary by Relevant Sections Share Reduction Details - Cao Xiaochun, a major shareholder and General Manager, completed the share reduction plan on November 18, reducing a total of 347,600 shares, which accounts for 0.0475% of the company's total A-share capital [1] - The reduction was well within the limits set by the original plan, indicating a controlled approach to share divestment [1] Impact on Company Structure - The company stated that this share reduction will not lead to any change in control and will not affect the governance structure or the ongoing operations of the company [1] Company Background - Tigermed was listed on the Shenzhen Stock Exchange on August 17, 2012, and is one of the earliest listed CRO (Contract Research Organization) companies in China [1] - In 2020, the company also completed a secondary listing on the main board of the Hong Kong Stock Exchange [1]

Investment Rating - The report suggests focusing on globally competitive CXO companies such as WuXi AppTec, WuXi XDC Cayman, WuXi Biologics Cayman, Pharmaron, Asymchem Laboratories, Porton Pharma Solutions, and Zhejiang Jiuzhou Pharmaceutical [29][30] Core Insights - The overseas CXO industry has confirmed a bottom in prosperity and is showing signs of structural recovery. The industry has passed the cyclical bottom, but recovery is characterized by significant structural differentiation [30] - Clinical CROs like IQVIA and Medpace are leading the recovery with strong orders and guidance, while CDMOs such as Lonza demonstrate resilience through long-term contracts. Preclinical CROs and research services are still stabilizing, with improving inquiry or order cancellation rates [30][31] - The overall recovery strength and sustainability will depend on the continuation of enthusiasm in biotech financing [30] Summary by Sections 1. Overseas CXO Industry Q3 2025 Performance Review - The overseas CXO industry has shown a structural recovery trend, with significant differentiation in recovery across sectors. Clinical CROs are leading the recovery, while preclinical CROs and research services are still in a stabilization phase [8][30] 2. Leading Company Analysis 2.1 Charles River - The company is nearing a performance bottom, with Q3 revenue at $1 billion and an organic growth rate of -1.6%. The management has raised the full-year revenue and EPS guidance, indicating a positive outlook for 2026 [15][16] 2.2 Samsung Biologics - The company reported a strong Q3 performance with revenue of 1.66 trillion KRW, a 40% YoY increase. The CDMO segment continues to grow, with a full-year revenue growth guidance of 25%-30% [19][20] 2.3 Lonza - Lonza's Q3 performance met expectations, with CDMO business projected to grow by 20%-21% YoY. The company is experiencing strong demand in its core business segments [24][25] 3. Key Financial Metrics - The report includes financial forecasts for various companies, indicating expected revenue growth and profitability metrics for 2025-2027. For instance, WuXi AppTec is expected to have an EPS of 5.42 in 2025, with a PE ratio of 18 [26]

Core Insights - The Biotech Index (970038) closed at 2182.31 points, down 0.94%, with a trading volume of 13.462 billion yuan and a turnover rate of 1.08% [1] - Among the index constituents, 7 stocks rose while 42 stocks fell, with Xinlitai leading the gainers at 0.83% and Hualan Biological leading the decliners at 5.98% [1] Index Constituents Summary - The top ten constituents of the Biotech Index include: - Mindray Medical (sz300760) with a weight of 12.58%, latest price at 204.81, and a decline of 0.92% [1] - Changchun High-tech (sz000661) with a weight of 4.87%, latest price at 102.32, and a decline of 0.27% [1] - Shimeiao (sz002252) with a weight of 4.74%, latest price at 6.70, and a decline of 0.30% [1] - Kanglong Chemical (sz300759) with a weight of 4.55%, latest price at 29.16, and a decline of 1.22% [1] - Tigermed (sz300347) with a weight of 4.54%, latest price at 52.37, and a decline of 2.44% [1] - Shenzhen Technology (sz000021) with a weight of 4.16%, latest price at 23.90, and a decline of 1.77% [1] - Muyuan Foods (sz002714) with a weight of 3.62%, latest price at 48.45, and a decline of 0.31% [1] - Lepu Medical (sz300003) with a weight of 3.19%, latest price at 16.11, and a decline of 1.29% [1] - Aimeike (sz300896) with a weight of 3.16%, latest price at 155.51, and an increase of 0.58% [1] - Yuyue Medical (sz002223) with a weight of 3.07%, latest price at 35.28, and a decline of 0.20% [1] Capital Flow Analysis - The Biotech Index constituents experienced a net outflow of 1.382 billion yuan from major funds, while retail investors saw a net inflow of 1.358 billion yuan [1] - Notable capital flows include: - Aimeike (sz300896) had a net inflow of 26.5772 million yuan from major funds, but a net outflow from retail investors of 20.4422 million yuan [2] - Changchun High-tech (sz000661) saw a net inflow of 8.8418 million yuan from major funds, with a slight net inflow from retail investors of 186.25 thousand yuan [2] - Other stocks like Furuisi (sz300049) and Yuyue Medical (sz002223) also showed mixed capital flows with significant net outflows from retail investors [2]

| 表格序號 | 大股東/董事/最高行政人員名稱 作出披露的 買入 / 賣出或涉及的股每股的平均價 | | | | | 持有權益的股份數目 佔已發行的 有關事件的日 | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | | 份數目 | | | (請參閱上述*註解)有投票權股 (日 / 月 / 年) | | | | | | | | | 份百分比 | | | CS20251118E00015 | 兴证全球基金管理有限公司 | 1201(L) | | 935,900(L | HKD 41.5596 | 6.739.600(L) | 5.47(L)17/11/2025 | 泰格医药(3347.HK)今日盘中一度跌3.57%至39.44港元，股价创7月9日以来逾4个月新低。该股自上周五(11月14日)迄今已连续4个交易日下跌，累跌12.94%。 消息面上，联交所最新权益披露资料显示，泰格医药于11月17日遭兴证全球基金管理有限公司在场内以每股均价41.5596港元减持93.59万股，涉资约3889.56 万港元。减持后，其最新持股数目为673.96万股， ...

Core Viewpoint - Tiger Med's stock price has experienced a decline of 3.17% year-to-date, with a significant drop of 21.49% over the past 60 days, indicating potential challenges in the market [1] Company Overview - Tiger Med, established on December 15, 2004, and listed on August 17, 2012, is located in Hangzhou, Zhejiang Province. The company specializes in providing professional clinical research services for domestic and international pharmaceutical and health-related products [1] - The main business segments include I to IV phase clinical trial technical services, data management and statistical analysis, registration application, clinical trial site services, SMO services, medical testing services, medical documentation translation, medical imaging diagnosis services, and training services [1] - The revenue composition is as follows: clinical trial-related services and laboratory services account for 52.60%, clinical trial technical services for 45.21%, and other services for 2.19% [1] Financial Performance - For the period from January to September 2025, Tiger Med reported a revenue of 5.026 billion yuan, a year-on-year decrease of 0.82%. However, the net profit attributable to the parent company was 1.020 billion yuan, reflecting a year-on-year increase of 25.45% [2] - The company has distributed a total of 2.458 billion yuan in dividends since its A-share listing, with 1.154 billion yuan distributed over the past three years [3] Shareholder Information - As of September 30, 2025, the number of shareholders for Tiger Med was 48,400, a decrease of 6.01% from the previous period. The average circulating shares per person remained at 0 shares [2] - The top circulating shareholders include Hong Kong Central Clearing Limited, which increased its holdings by 25.097 million shares, and China Europe Medical Health Mixed A, which increased its holdings by 1.218 million shares [3]

Summary of Key Points Core Viewpoint - On November 17, 2025, CICC Global Fund Management Co., Ltd. reduced its stake in Tigermed (03347.HK) by selling 935,900 shares at an average price of HKD 41.5596 per share, totaling approximately HKD 38.8956 million. Following this transaction, CICC's holdings decreased from 6.23% to 5.47% of the total shares outstanding [1]. Group 1 - CICC Global Fund Management Co., Ltd. sold 935,900 shares of Tigermed at an average price of HKD 41.5596 per share [1]. - The total value of the shares sold by CICC was approximately HKD 38.8956 million [1]. - After the sale, CICC's total holdings in Tigermed were reduced to 6.7396 million shares, representing 5.47% of the total shares outstanding [1].