Core Viewpoint - Goldman Sachs has initiated coverage on Junshi Biosciences (复宏汉霖) with a "Buy" rating and a 12-month target price of HKD 100.70, representing a 52.3% upside from the recent closing price of HKD 66.10 [1] Group 1: Company Transformation and Pipeline Expansion - Junshi Biosciences is strategically transitioning from an early player in the biosimilar space to a global innovative biopharmaceutical company, supported by three key factors [1] - The pipeline expansion is led by the core asset HLX43, which is expected to become a best-in-class PD-L1 antibody-drug conjugate (ADC) and is preparing for global pivotal clinical studies [1] - The biosimilar segment has two new products set to launch in global markets, which will be commercialized through established international partnerships, generating significant cash flow to support further R&D investments [1] Group 2: HLX43 Valuation and Market Potential - HLX43 is identified as the primary driver of valuation, with projected risk-adjusted sales reaching USD 3.8 billion by 2036, contributing approximately 54% to the company's valuation [2] - Among the various cancer types HLX43 targets, the second-line EGFR wild-type non-squamous non-small cell lung cancer (2L EGFRwt NSCLC) shows the most clear and significant commercialization potential, with early data expected to be validated by year-end [2] - Additional proof-of-concept data is anticipated within the next 12 months to support further exploration of HLX43 in cervical cancer, esophageal cancer, and colorectal cancer [2] - HLX43 has the potential for global collaboration with international pharmaceutical companies, aligning with Junshi Biosciences' strategic focus on unlocking core innovation value globally [2]