Guotou Securities·2025-07-14 02:21Investment Rating - The report maintains a "Buy-A" investment rating for the company with a target price of 95.60 CNY per share over the next six months [5][6]. Core Insights - The company is expected to achieve significant growth in its financial performance, with projected revenues of 20.799 billion CNY and adjusted net profit of 6.315 billion CNY for the first half of 2025, representing year-on-year increases of 20.64% and 44.43% respectively [1][2]. - The expansion of the small molecule D&M pipeline is driving steady growth in this segment, with 203 new molecules added in Q1 2025 and successful FDA inspections of production facilities [3]. - The TIDES business is experiencing rapid growth, with a 105.5% year-on-year increase in orders and a significant expansion in production capacity from 32,000 liters in 2023 to 100,000 liters by the end of 2025 [4]. Financial Projections - The company’s projected net profits for 2025 to 2027 are 13.735 billion CNY, 13.872 billion CNY, and 16.210 billion CNY, reflecting year-on-year growth rates of 45.3%, 1.0%, and 16.9% respectively [5][11]. - The expected earnings per share (EPS) for 2025 is 4.78 CNY, with a price-to-earnings (PE) ratio of 20 times [5][11]. - The company’s total market capitalization is approximately 221.59 billion CNY, with a circulating market capitalization of about 191.73 billion CNY [6]. Stock Performance - The stock has shown strong relative performance, with a 1-month return of 15.5%, a 3-month return of 41.0%, and a 12-month return of 83.0% [9].