Investment Rating - The report maintains a recommendation for the small nucleic acid industry, indicating a positive outlook for investment opportunities in this sector [3]. Core Insights - The small nucleic acid industry is entering a critical phase for forward-looking investments, with domestic companies showing significant advantages. The report emphasizes the importance of technological breakthroughs and the evolving landscape of the industry [1][7]. - The report highlights that 2026 is expected to be a catalytic year for the small nucleic acid industry, with an increase in investable companies and significant advancements in technology [14]. Summary by Sections 1. Investment Opportunities in Small Nucleic Acids - The pharmaceutical investment landscape is closely tied to industry trends, with the small nucleic acid sector entering a multi-dimensional breakthrough era. Historical trends in innovative drug markets indicate that major market movements are driven by technological advancements and subsequent domestic adaptations [11][14]. - The report outlines that the small nucleic acid industry is transitioning towards breakthroughs by domestic companies and is poised for global competition [7][14]. 2. Competitive Advantages of Chinese Companies - The key to small nucleic acid drug development lies in the combination of effective delivery platforms and target identification. Chinese companies are noted for their efficiency in research and development, particularly in the context of established delivery systems [17][28]. - The report discusses the importance of speed and innovation in drug development, emphasizing that Chinese firms excel in these areas, which enhances their competitive edge in the small nucleic acid market [23][28]. 3. Investment Timing and Global Company Analysis - Alnylam is identified as a leading player in the small nucleic acid field, with expectations of profitability by 2025. The company has successfully commercialized several products, leveraging its GalNAc delivery system to establish a strong market position [40][43]. - Arrowhead is also highlighted for its innovative delivery systems and diverse target strategies, aiming to achieve breakthroughs in new therapeutic areas [46][48]. 4. Relevant Investment Targets - Several companies are identified as potential investment opportunities within the small nucleic acid sector: - **Bohua Pharmaceutical**: Noted for its advanced cardiovascular projects and collaboration with Novartis, which enhances its credibility and market position [62]. - **Rebio Biotech**: Recognized for its rapid clinical development of FXI factor anticoagulant drugs, indicating a strong pipeline in treating thrombotic diseases [7]. - **Sengin Biotech**: Focused on developing siRNA drugs for obesity and cardiovascular metabolic diseases, showcasing a commitment to innovative therapeutic solutions [7]. - **Frontier Biotech**: Reported to have promising preclinical data for its complement protein-targeting small nucleic acids [7]. - **Dongyang Sunshine Pharmaceutical**: Established a comprehensive research platform for small nucleic acids, originating from hepatitis B research [7].