Group 1 - Morgan Stanley has raised Alibaba Health's (00241) 2026 revenue and adjusted EPS forecasts by 3% and 9% respectively, reflecting better-than-expected performance in the first half of the fiscal year and high synergy effects from Alibaba's instant retail [1] - The 2027 revenue forecast has also been increased by 3%, while the adjusted EPS remains largely unchanged; the target price for December 2026 is maintained at HKD 6.5 with a "Neutral" rating based on a 2.5x enterprise value/revenue multiple for the fiscal year 2026 [1] - The firm believes that while there is uncertainty regarding the incremental contribution and sustainability of instant retail, the first factor will continue to drive platform sales growth in the foreseeable future [1] Group 2 - Due to the gradual removal of medical device subsidy policies in the second half of this year, Morgan Stanley expects some fluctuations in medical device sales in the second half of the 2026 fiscal year [2] - The firm projects a 15% year-on-year revenue growth for the entire 2026 fiscal year, with a 14% growth in the second half, which is a slowdown compared to the 17% strong revenue growth achieved in the first half, primarily driven by strong momentum in original prescription drugs and the comprehensive effects of Alibaba's instant retail [2]