Investment Rating - The report maintains an investment rating of "Buy-A" with a target price of HKD 108.0, while the current stock price is HKD 87.60 [3][5]. Core Insights - The core logic of the report emphasizes the significant potential of the second-generation IO cornerstone drug PD-1/IL-2α dual antibody for overseas licensing, which is expected to drive the company's transformation from a China-focused biopharma to a global biopharma [1][2]. - The company has established a robust pipeline of innovative drugs, primarily focused on oncology, with additional products in metabolic, autoimmune, and ophthalmic fields [1][10]. - The report highlights the promising overseas licensing potential of IBI363, the PD-1/IL-2α dual antibody, which is positioned as a new cornerstone drug in IO therapy [2][3]. Summary by Sections 1. Second-Generation IO Potential - The report identifies the PD-1/IL-2α dual antibody as a key product with substantial overseas licensing potential, which could serve as a foundation for the company's global transformation [2][3]. 2. Innovative Drug Layout - The company has developed a rich pipeline of innovative drugs, with a focus on oncology, metabolic diseases, autoimmune diseases, and ophthalmology [1][22]. - In the oncology sector, the company has 12 approved drugs and several in late-stage clinical trials, including the PD-1/IL-2 dual antibody [23][24]. 3. Heavyweight Products in Domestic Market - The report notes that the weight-loss and diabetes drug, Ma Shidu Peptide, has a large domestic market and a first-mover advantage as it has already been approved for weight loss and is expected to receive approval for diabetes soon [2][4]. 4. Future Key Focus Areas - The report outlines several key factors driving the company's transition to a global biopharma, including the overseas licensing of IBI363 and the projected sales revenue of 20 billion yuan by 2027 [3][6]. - The company anticipates revenue growth from existing and pipeline products, projecting revenues of 11.9 billion yuan, 15.75 billion yuan, and 20.4 billion yuan for 2025, 2026, and 2027, respectively [3][6]. 5. Financial Projections and Valuation - The report provides financial forecasts, estimating net profits of 700 million yuan, 1.84 billion yuan, and 2.92 billion yuan for 2025, 2026, and 2027, respectively [6][19]. - A DCF valuation method estimates the company's value at approximately 168.7 billion yuan [3][6].