Investment Rating - The report maintains a positive outlook on the pharmaceutical industry, indicating a "Buy" rating based on recent market performance and emerging opportunities in innovative drug development [2][3]. Core Insights - The pharmaceutical sector saw a significant increase, with the Shenwan Pharmaceutical and Biological Index rising by 7.8%, outperforming the Shanghai Composite Index, which increased by 3.82% [2][3]. - The report highlights the ongoing commercialization of innovative drugs, including the oral GLP-1 medication Wegovy by Novo Nordisk, and the successful clinical trials of various RNAi therapies [11][13][18]. - The establishment of a comprehensive long-term care insurance system in China is expected to enhance the healthcare landscape, potentially benefiting the pharmaceutical sector [11][12]. Market Performance - The Shenwan Pharmaceutical and Biological Index ranked 6th among 31 Shenwan first-level sub-industries, with various sub-sectors showing positive growth, such as medical devices (+10.8%) and medical research outsourcing (+11.1%) [2][5]. - The overall valuation of the pharmaceutical sector stands at 30.6 times earnings, ranking 10th among 31 Shenwan first-level industries [5][10]. Recent Key Events - The report notes the successful approval and commercialization of several new drugs, including BeiGene's BCL-2 inhibitor and Sanofi's APOC3 siRNA drug, which address significant medical needs [20][22]. - Collaborations in drug development are highlighted, such as the $8.88 billion partnership between Insilico Medicine and Servier focusing on oncology [21]. - The report emphasizes the potential of the brain-computer interface industry, with companies like Mindray Medical and Lepu Medical making strides in this area [24]. Investment Opportunities - The report suggests focusing on domestic innovative drug companies and CROs, particularly those involved in the development of small nucleic acid drugs and brain-computer interface technologies [2][11]. - Specific companies to watch include Tigermed, WuXi AppTec, and Innovent Biologics, which are positioned to benefit from the recovery of the innovative drug sector [2][11].

Group 1 - Walmart will become part of the Nasdaq-100 Index starting January 20, replacing AstraZeneca [2][3] - The retailer will also join the Nasdaq-100 Equal Weighted Index and the Nasdaq-100 Ex-Tech Sector Index [2][3] - Companies often make such moves to connect with different investor groups and minimize listing and compliance expenses [2][3] Group 2 - The Nasdaq-100 Index includes top non-financial companies like Nvidia and Apple, making it attractive for major corporations [2][3] - Improved technology and services from the new exchange platform may be offered through the Nasdaq system [2][3] - The Nasdaq-100 Index has attracted several firms that switched from the NYSE to Nasdaq in 2025 [2][3]

Group 1 - AstraZeneca PLC (NASDAQ:AZN) is recognized as one of the best performing pharmaceutical stocks in 2025, with a Buy rating reiterated by Berenberg Bank and a price target of $95 [1] - The company announced positive full results from the Phase III TULIP-SC trial, showing that 56.2% of patients receiving Saphnelo (anifrolumab) experienced a reduction in disease activity at Week 52 compared to 37.1% in the placebo group [2] - The safety profile observed in the TULIP-SC trial was consistent with Saphnelo's known clinical profile, confirming the findings from the interim analysis as statistically significant [3] Group 2 - AstraZeneca PLC is a biopharmaceutical company engaged in the exploration, development, manufacturing, and commercialization of prescription medicines, supplying products to specialty and primary care physicians [4]

Core Insights - Allka Research has over two decades of experience in investment, focusing on uncovering undervalued assets in ETFs, commodities, technology, and pharmaceutical sectors [1] - The company emphasizes a conservative investment approach, aiming to deliver substantial returns and strategic insights to clients [1] - Allka Research is committed to simplifying investment strategies, making them accessible to both seasoned and novice investors [1] Company Mission - The mission of Allka Research is to empower individuals financially by sharing knowledge and insights through the Seeking Alpha platform [1] - The company aims to provide thought-provoking analyses and informed perspectives to foster a community of informed investors [1] - Allka Research seeks to demystify investing, inspiring confidence in readers to navigate the financial markets intelligently [1]

Core Viewpoint - In the event of a recession, it is expected that individuals will continue to take their prescriptions and will not cancel major medical treatments, indicating resilience in the healthcare sector [1] Group 1 - The healthcare industry is likely to remain stable during economic downturns as essential medical needs persist [1]

Core Insights - The "High-Income DIY Portfolios" Marketplace service aims to provide high income with low risk and capital preservation for DIY investors, particularly targeting income investors such as retirees or near-retirees [1][2] - The service offers a total of 10 model portfolios, including 3 buy-and-hold, 3 rotational portfolios, and a conservative NPP strategy portfolio, designed to create stable, long-term passive income with sustainable yields [1][2] Group 1 - The service includes two High-Income portfolios, two Dividend Growth Investing (DGI) portfolios, and a conservative NPP strategy portfolio that focuses on low drawdowns and high growth [1] - The unique 3-basket investment approach aims for 30% lower drawdowns, 6% current income, and market-beating growth over the long term [2] - The portfolios are structured to cater to varying levels of risk and include buy and sell alerts along with live chat support for investors [2]

Group 1 - Walmart (WMT) will be added to the Nasdaq-100 Index on January 20, 2026, replacing AstraZeneca (AZN) [3] - The Nasdaq-100 Index includes 100 of the largest non-financial companies, indicating Walmart's significant market position [3]

Macro Dynamics - The National Internet Information Office has drafted regulations for the collection and use of personal information by internet applications, aiming to protect personal information rights and promote reasonable use [2] - The regulations require apps to request necessary personal information only when users are using specific functions and to inform users of the purpose of data collection [2] Market Regulation - The State Administration for Market Regulation has revised the "Complaint and Reporting Handling Measures" to enhance consumer rights protection and regulate malicious claims [3] - Key revisions include strengthening rights protection, optimizing complaint jurisdiction, improving reporting procedures, and preventing abuse of the system [3] Market Data - On January 9, US stock indices closed higher, with the Dow Jones and S&P 500 reaching all-time closing highs [7] - Intel saw a significant increase of over 10%, marking its largest single-day gain since September, while Tesla and Meta also experienced gains [7] Company Dynamics - Walmart will be included in the Nasdaq-100 Index on January 20, 2026, replacing AstraZeneca [9] - OpenAI and SoftBank announced a joint investment of $1 billion in SB Energy, part of the "Stargate" initiative, with plans for a 1.2GW data center in Texas [10]

Core Viewpoint - Walmart is set to join the Nasdaq-100 Index, replacing AstraZeneca, effective January 20 [1] Group 1: Index Inclusion - Walmart will also join the Nasdaq-100 Equal Weighted Index and the Nasdaq-100 Ex-Tech Sector Index [1] Group 2: Strategic Moves - Companies often switch exchanges for better alignment with investor bases and services [1] Group 3: Nasdaq-100 Characteristics - The Nasdaq-100 is known for including top non-financial companies [1]

Core Viewpoint - Walmart Inc will be added to the Nasdaq 100 Index, replacing AstraZeneca Plc, with the change effective before the market opens on January 20 [1] Group 1: Walmart's Market Position - Walmart's market value has approached nearly $1 trillion, driven by steady sales growth and share gains as consumers favor lower-priced essentials [4] - The company has expanded its digital operations, with its US e-commerce business expected to achieve profitability this year, alongside growth in advertising, marketplace, and membership revenue [4] - Walmart shares have increased by 146% on a total return basis over the past three years [5] Group 2: Index Impact and Inflows - Analysts from Jefferies Financial Group estimated that Walmart's inclusion in the Nasdaq 100 could lead to nearly $19 billion in inflows as index-tracking funds and exchange-traded products rebalance their holdings [2] - The Nasdaq 100 tracks the largest non-financial companies listed on the Nasdaq exchange, underpinning hundreds of billions of dollars in investment products, with over $600 billion in assets tracked through ETFs as of December 2025 [7] Group 3: AstraZeneca's Removal - AstraZeneca's removal from the Nasdaq 100 reflects a decline from its pandemic-era peak, primarily due to fading vaccine-related revenue and a shift in investor focus towards obesity treatments from competitors [6]