Investment Rating - The report maintains a positive investment outlook on URAT1 inhibitors, suggesting that they are expected to rapidly capture market opportunities in the coming years, particularly for domestic companies with strong clinical data and internationalization potential [4][6]. Core Insights - The gout and hyperuricemia patient population is substantial, with estimates of approximately 10.23 to 26.18 million gout patients and around 167 million hyperuricemia patients in China, indicating a significant unmet clinical need due to the side effects of existing medications [1][12][25]. - The global market for URAT1 inhibitors is competitive, with only one drug, Lesinurad, approved so far, which has shown superior efficacy in clinical trials compared to existing treatments [2][28]. - Domestic companies are advancing rapidly in the development of URAT1 inhibitors, with several products in late-stage clinical trials demonstrating promising efficacy and safety profiles [3][32]. Summary by Sections 1. Gout/Hyperuricemia and URAT1 Target Overview - The prevalence of gout and hyperuricemia is increasing, with a notable trend towards younger patients, and the current treatment options have significant side effects, highlighting a large unmet clinical demand [1][24][25]. - Existing medications for gout, such as allopurinol and febuxostat, have seen sales growth, but their side effects create a demand for safer and more effective alternatives [1][17][24]. 2. Domestic URAT1 Inhibitors Flourishing - URAT1 inhibitors work by inhibiting uric acid reabsorption, promoting uric acid excretion, and thus lowering serum uric acid levels [26]. - The first approved URAT1 inhibitor, Lesinurad, has shown a 74% success rate in clinical trials, significantly outperforming existing treatments [2][35]. - Several domestic companies, including HengRui Medicine and Yipinhong, are leading in the development of URAT1 inhibitors, with multiple candidates showing high efficacy rates in clinical trials [3][32][40]. 3. Investment Recommendations - The report recommends focusing on companies with strong clinical data and progress in the URAT1 inhibitor space, such as HengRui Medicine, Yipinhong, and Kangzhe Pharmaceutical, which are well-positioned for commercialization and international expansion [4][5].