Morgan Stanley has released a research report maintaining a target price of HK$82 and an "Overweight" rating for Hengrui Pharma (01276).

The firm noted that the once-weekly oral treatment space remains at a very early stage, with a limited number of global competitors. A US$300 million upfront payment is considered "quite substantial" for an asset still in IND/Phase 1 stage.

The transaction once again reflects that global pharmaceutical companies continue to place significant importance on the obesity market, and Hengrui Pharma's GLP-1 platform possesses global competitiveness.