Zhi Tong Cai Jing·2025-09-26 05:58Core Viewpoint - Daiwa maintains a "Buy" rating for WuXi AppTec (603259) with a target price raised from HKD 128 to HKD 134, reflecting an optimistic outlook on the company's revenue and earnings growth [1] Revenue and Earnings Forecast - The firm has increased its revenue and earnings per share forecasts for the company by 3% for the years 2023 to 2027, driven by higher revenue expectations from WuXi's chemical business [1] Product Development and Market Position - WuXi produced 4 out of the 10 best-selling chemical drugs last year and is expected to have 8 out of 40 small molecule drugs approved by the FDA between 2024 and the first half of 2025 [1] - The company is currently developing 23 GLP-1 drugs, an increase from 21 in January and 19 in September of the previous year, with 16 of these in Phase 2 and Phase 3 clinical trials, capturing 26% of the market share [1] Business Growth Expectations - Management anticipates that WuXi's TIDES business will see a year-on-year revenue growth of over 80% this year [1] Future Operational Plans - The first small molecule factory at the Singapore API site is expected to commence operations in 2027, followed by the first TIDES factory in the second quarter of 2028 and a second small molecule factory in the fourth quarter of 2029 [1] - The DP base in Delaware, USA, is projected to begin operations in the fourth quarter of next year, with sterile filling/completion capabilities expected by the fourth quarter of 2027 [1]