Zhi Tong Cai Jing·2025-08-13 07:56Core Viewpoint - Zhaoyan New Drug (603127) has seen a significant stock price increase of 9.23%, reaching HKD 24.62, with a trading volume of HKD 391 million, indicating positive market sentiment towards the company [1] Company Analysis - Huatai Securities reports that after experiencing high growth from 2018 to 2022, Zhaoyan New Drug is expected to face order volume and price pressures from 2023 to 2025, but these negative factors are gradually being resolved. Starting in 2026, the company is anticipated to enter a new growth phase driven by domestic recovery and offshore outsourcing [1] - The price of experimental monkeys, a key indicator of supply and demand in the safety evaluation industry, is currently stable at RMB 80,000 to 100,000 per monkey, with a slight upward trend expected as supply-demand dynamics tighten [1] - The report suggests that as the supply-demand gap widens, monkey prices may enter a new upward cycle, having previously reached RMB 150,000 to 200,000 per monkey in 2022 [1] Industry Outlook - Contrary to market concerns regarding the impact of new FDA regulations and the growth potential of overseas business, Huatai Securities believes that the new regulations are primarily focused on the monoclonal antibody sector and have not yet been adopted domestically. In the short term, animal testing will remain the dominant method in global drug safety evaluation for the next 3 to 5 years [1] - Long-term prospects for new methodologies, such as AI and organoids, remain uncertain and will require careful evaluation of transitional results and technological maturity [1] - The report expresses optimism about the collaborative evolution of animal testing and new methodologies, which could drive overall industry development, and highlights the company's proactive positioning in adopting new methodologies to enhance its comprehensive capabilities [1]