Sun-Novo(SH:688621) Xinda Securities·2025-06-04 08:22Investment Rating - The report assigns a "Buy" rating for the company based on its strong clinical trial results and potential for commercialization [1]. Core Viewpoints - The company has achieved significant milestones with its STC007 injection, which has shown superior pain relief compared to placebo and comparable efficacy to positive control drug Tramadol [2][3]. - The opioid market presents vast opportunities, with KOR agonists like STC007 offering advantages over traditional MOR opioids, such as reduced risk of respiratory depression and addiction [4][5]. - The company is in a critical phase of business transformation, focusing on a comprehensive R&D service model, pipeline cultivation, and a new quality industrial chain [6][7]. Summary by Sections Clinical Trial Results - STC007 has completed its Phase II clinical trial for postoperative pain, demonstrating significant pain relief in moderate to severe cases compared to placebo and Tramadol [2][3]. - The safety profile of STC007 is favorable, with common side effects being lower than those of Tramadol [3]. Market Potential - The opioid market in China has grown from 193.58 billion in 2019 to 233.68 billion in 2023, indicating a robust demand for effective pain management solutions [3]. - The successful market entry of similar KOR agonists validates the commercial viability of STC007, enhancing its market prospects [5]. Business Transformation Strategy - The company aims to build a "R&D service + pipeline cultivation + new quality industrial chain" model, enhancing its operational capabilities and market positioning [6]. - The acquisition of Langyan Life Sciences is expected to strengthen the company's production capabilities and ensure stable product quality and supply [7]. Financial Projections - Revenue is projected to grow from 1.29 billion in 2025 to 1.78 billion in 2027, with net profit expected to increase from 204 million to 300 million in the same period [8][9]. - The company’s EPS is forecasted to rise from 1.82 in 2025 to 2.68 in 2027, reflecting strong earnings growth [9].