Macro and Strategy Research - The central economic work conference emphasized the importance of "quality improvement" and maintaining domestic demand as a primary task for 2026, highlighting the need for effective quality enhancement alongside reasonable growth [2][3] - The fiscal policy will continue to be proactive, focusing on maintaining necessary fiscal deficits and total debt levels while optimizing expenditure structures and addressing local fiscal difficulties [3][4] - Monetary policy will maintain a moderately loose stance, with a shift towards flexible and efficient use of various policy tools, emphasizing support for key areas such as expanding domestic demand and technological innovation [4][5] - The focus on expanding domestic demand will prioritize supply optimization and service consumption, with plans to implement a "rural and urban resident income increase plan" to boost consumer spending [5][6] - Innovation will be a key area, with plans to establish international technology innovation centers in major regions to enhance the national innovation system and support new momentum cultivation [6][8] - The conference also addressed the need for "anti-involution" measures and emphasized reforms in the capital market to support investment and financing [8] Industry Research - The release of the new basic medical insurance drug list and the first commercial health insurance innovative drug list aims to support the innovative development of the pharmaceutical industry, with 114 new drugs added to the basic insurance list, including 50 innovative drugs [13][14] - The approval of a CDK2/4/6 inhibitor by a Chinese biopharmaceutical company marks a significant advancement in the industry [13] - The stock performance of the pharmaceutical sector showed a mixed trend, with the SW pharmaceutical industry index PE ratio at 50.70 times, indicating a 265% premium over the CSI 300 index [13][14] - The report suggests focusing on the growth potential of pharmaceutical companies' products entering the insurance list and the investment opportunities arising from the optimization of payment structures for innovative drug companies [14]

Investment Rating - The report maintains an investment rating of "Positive" for the pharmaceutical and biotechnology industry [2]. Core Viewpoints - The recent release of the "Medical Insurance + Commercial Insurance Dual Directory" by the National Medical Insurance Administration is expected to boost investment enthusiasm for innovative drugs. The report suggests focusing on investment opportunities in innovative drugs, CXO, and the upstream life sciences industry chain [3][9]. - The pharmaceutical sector is currently experiencing a lack of clear market direction, with the pharmaceutical commercial sector leading in performance. Notable stocks include Haiwang Biological (up 55.59%), Ruikang Pharmaceutical (up 36.54%), and Yue Wannianqing (up 15.37%) [3][9]. - The report emphasizes the importance of companies with stable dividends and operational improvements, as well as potential turning points in high-end medical devices [3][11]. Summary by Sections 1. Market Performance - The pharmaceutical and biotechnology sector's return was -0.74% last week, underperforming the CSI 300 by 2.02%, ranking 21st among 31 primary sub-industry indices. The pharmaceutical commercial sector had the highest weekly return at 5.19% [3][7]. - Over the past month, the sector's return was -2.35%, also ranking 20th among sub-industry indices, with the pharmaceutical commercial sector leading at 5.78% [3][7]. 2. Innovative Drugs - The report recommends focusing on companies with leading product pipelines and market potential, including Innovent Biologics, 3SBio, Hengrui Medicine, and others [3][9][10]. 3. CXO and Upstream Life Sciences - Key CXO companies to watch include WuXi AppTec, WuXi Biologics, and others. The report also highlights clinical CRO leaders and resource-based CXOs [10]. 4. High-End Medical Devices - The report identifies several companies in the high-end medical device sector that may benefit from market recovery and increased demand, including Mindray Medical and others [11]. 5. Valuation Metrics - The current PE (TTM) for the pharmaceutical and biotechnology industry is 29.27 times, which is below the historical average of 30.88 times over the past five years [12][15].

Core Viewpoint - Junshi Biosciences has received the acceptance notice from the National Medical Products Administration for its new drug application for JS005, a monoclonal antibody injection for treating moderate to severe plaque psoriasis in adults [1] Group 1 - The product JS005 is a recombinant humanized anti-IL-17A monoclonal antibody injection [1] - The indication for JS005 is for adult patients suitable for systemic therapy or phototherapy for moderate to severe plaque psoriasis [1]

Core Viewpoint - Shanghai Junshi Biosciences Co., Ltd. has received a notice of acceptance from the National Medical Products Administration for its new drug application for JS005, a monoclonal antibody injection for treating moderate to severe plaque psoriasis in adults [1][2]. Drug Basic Information - Drug Name: JS005 (Rocacitinib Injection) - Application: Domestic production drug registration and marketing license - Acceptance Number: CXSS2500129, CXSS2500130 - Applicant: Shanghai Junshi Biosciences Co., Ltd. - Specifications: 150mg (1ml) per pre-filled syringe and 150mg (1ml) per pre-filled auto-injector - Approval Conclusion: The application has been accepted according to the Administrative Licensing Law of the People's Republic of China [1]. Drug Development and Clinical Research - JS005 is a specific anti-IL-17A monoclonal antibody developed by the company, targeting IL-17A, a cytokine associated with autoimmune diseases like psoriasis [2]. - The drug works by binding to IL-17A and blocking its interaction with receptors, thereby alleviating symptoms of autoimmune diseases [2]. - A pivotal Phase III clinical study (JS005-005-III-PsO) involving 747 moderate to severe plaque psoriasis patients showed significant improvement in psoriasis area and severity index (PASI) scores after 12 weeks of treatment, with sustained efficacy over 52 weeks [3].

Group 1: Major Transactions - Bohai Chemical is planning to sell 100% equity of Tianjin Bohai Petrochemical and acquire control of Anhui Taida New Materials through a combination of share issuance and cash payment, leading to a significant asset restructuring [1] - Zhongneng Electric is set to acquire 65% equity and debt from three companies, which may constitute a major asset restructuring but will not involve share issuance or change in control [4] - Hai Tai Development has decided to terminate the acquisition of controlling interest in Zhixueyun Technology due to disagreements on key terms, ensuring no adverse impact on normal business operations [5] Group 2: Performance Updates - Wen's shares reported a sales revenue of 3.324 billion yuan from meat chickens in November, marking a year-on-year increase of 10.18% [6] - Shuguang shares saw a 71.07% year-on-year increase in vehicle sales, totaling 207 units in November [6] - Muyuan shares experienced a decline in sales revenue from commodity pigs, reporting 9.39 billion yuan, a decrease of 20.43% year-on-year [6] - Pengding Holdings reported a 5.58% year-on-year decrease in consolidated revenue for November [6] Group 3: Industry Developments - Xiangxi Dairy reported a 6.3% month-on-month increase in fresh milk production in November, although it saw a year-on-year decline of 6.47% [7] - Baisheng Intelligent plans to acquire 51% equity in Zhongke Shengu, which focuses on the research and application of core technologies for embodied intelligent robots [7]

Core Viewpoint - Junshi Biosciences has received the acceptance notice from the National Medical Products Administration for its new drug application of Rocabotamab injection, aimed at treating moderate to severe plaque psoriasis in adult patients suitable for systemic therapy or phototherapy [1] Group 1 - The product Rocabotamab is a recombinant humanized anti-IL-17A monoclonal antibody injection [1] - The acceptance of the new drug application marks a significant step for Junshi Biosciences in expanding its product portfolio in the dermatology sector [1] - As of the announcement date, all participants in the Phase II clinical study of Rocabotamab for treating active ankylosing spondylitis have completed treatment and entered the safety follow-up period [1]

Core Viewpoint - Junshi Biosciences (01877) has received acceptance for its new drug application for the injection of Rocabotilumab, a recombinant humanized anti-IL-17A monoclonal antibody, aimed at treating moderate to severe plaque psoriasis in adult patients suitable for systemic therapy or phototherapy [1] Group 1 - The National Medical Products Administration has issued an acceptance notice for the new drug application of Rocabotilumab [1] - Rocabotilumab is a specific anti-IL-17A monoclonal antibody developed by the company [1] - IL-17A is a multifunctional cytokine closely related to the development of autoimmune diseases such as psoriasis, rheumatoid arthritis, and ankylosing spondylitis [1] Group 2 - Rocabotilumab works by binding with high affinity to IL-17A and selectively blocking its interaction with receptors IL-17RA/IL-17RC, thereby inhibiting the activation of downstream signaling pathways and the release of inflammatory factors [1] - As of the date of the announcement, all participants in the Phase II clinical study of Rocabotilumab for the treatment of active ankylosing spondylitis have completed treatment and entered the safety follow-up period [1]

Core Viewpoint - Junshi Biosciences has received a notice of acceptance from the National Medical Products Administration for its new drug application for JS005, a monoclonal antibody injection for treating moderate to severe plaque psoriasis in adults [1] Drug Information - Drug Name: JS005 (Rocacitinib Injection) - Application Type: Domestic production drug registration and marketing license - Acceptance Numbers: CXSS2500129, CXSS2500130 - Applicant: Junshi Biosciences - Specifications: 150mg (1ml) per pre-filled syringe and 150mg (1ml) per pre-filled autoinjector [1] - Approval Conclusion: The application has been accepted following the review under Article 32 of the Administrative Licensing Law of the People's Republic of China [1]

Core Viewpoint - Junshi Biosciences has received the acceptance notice from the National Medical Products Administration for the new drug application of Rocabotamab injection for the treatment of moderate to severe plaque psoriasis in adult patients suitable for systemic therapy or phototherapy [1] Group 1 - The drug Rocabotamab is a specific anti-IL-17A monoclonal antibody that binds with high affinity to IL-17A and selectively blocks its interaction with receptors IL-17RA/IL-17RC [1] - By inhibiting the activation of downstream signaling pathways and the release of inflammatory factors, Rocabotamab can effectively alleviate symptoms of autoimmune diseases [1]

Group 1 - Shareholder of Xidiwei plans to reduce holdings by up to 3% of total shares, amounting to 12.37 million shares [2] - Minsheng Bank successfully issued 6 billion yuan of 3-year floating rate financial bonds to optimize its liability structure [3] - Baisheng Intelligent intends to acquire 51% stake in Zhongke Shengu for 100 million yuan, with a preliminary valuation of up to 200 million yuan [4] Group 2 - Junshi Biosciences received acceptance for the new drug application of Rocaqi monoclonal antibody injection for treating moderate to severe plaque psoriasis [5] - Ganneng Co. announced the successful commissioning of its clean coal power project, achieving national performance standards [6] - Yuekang Pharmaceutical plans to issue H-shares and list on the Hong Kong Stock Exchange [7][8] Group 3 - Qingtang City received notice of expropriation for Huaneng Mall, which will be shut down pending approval processes [9] - Meilixin's controlling shareholder plans to increase holdings by 50 million to 100 million yuan, with a maximum price of 52 yuan per share [10] - Zhenghong Technology reported a 20.43% year-on-year decline in November pig sales revenue [11][12] Group 4 - GAC Group reported a 9.72% year-on-year decline in November automobile sales, totaling 179,700 units [16] - Oupokangshi received approval for clinical trials of a new eye drop for treating presbyopia [17] - Kang En Bei announced the resignation of its chairman and legal representative due to work adjustments [18] Group 5 - Jiangxi Changyun is set to receive 15.7 million yuan in compensation for the expropriation of part of its properties [28] - Tianrun Dairy reported a 2.99% month-on-month increase in November pig sales revenue [29] - New Point Software won a 54 million yuan contract for a digital smart community construction project [31]