中药行业周报：多数公司发布三季报，OTC及品牌中药表现依旧好于创新药

Investment Rating - The industry is rated as "Overweight" [5] Core Viewpoints - The Chinese medicine industry is currently under short-term pressure due to high base effects, weak consumption in the first half of the year, and centralized procurement of traditional Chinese medicine and Chinese patent medicines. However, the long-term positive trend remains unchanged with the gradual implementation of favorable policies and adjustments in medical insurance negotiations [5][6] - The report emphasizes three main investment themes: innovation in traditional Chinese medicine, brand rejuvenation, and benefits from state-owned enterprise reforms [5][6][7] Market Performance - The Chinese medicine sector index rose by 3.39% last week, outperforming other pharmaceutical sub-sectors [3][9] - The overall pharmaceutical sector index increased by 3.11% during the same period [3][9] Valuation - The current PE (ttm) for the Chinese medicine sector is 27.59X, with a PB (lf) of 2.43X, indicating a valuation premium of 114.46% compared to the CSI 300 index [4][5] - The PE has increased by 0.91X week-on-week, while the PB has risen by 0.07X [4] Company Performance - Among the 55 listed companies that reported Q3 results, 33% achieved year-on-year revenue growth, and 40% reported positive net profit growth [4][5] - Notable performers include Changyao Holdings, Xintian Pharmaceutical, and Huasheng Technology, while companies like Lingrui Pharmaceutical and Fangsheng Pharmaceutical lagged behind [3][4][11]