China International Capital issued a research report initiating coverage on RIBOLIFE-B (06938) with an "Outperform" rating. Based on a DCF valuation, the firm set a target price of HK$100.0, implying a potential upside of 44.9% from the current share price. Key points from the report are as follows:

RIBOLIFE is a global leader in small nucleic acid drug development, possessing a validated and mature platform. Since its establishment in 2007, the company has developed its proprietary GalNAc liver-targeting RiboGalSTAR platform and is expanding from liver-targeting to extrahepatic targeting. The company continuously iterates its chemical modifications to enhance target specificity and sequence compatibility while reducing off-target effects, thereby improving efficacy and safety. By the end of 2025, the company held 473 patents and patent applications across major global jurisdictions, forming a comprehensive intellectual property portfolio. Importantly, beyond molecular design, the company's R&D platform integrates the entire technology chain, covering the full lifecycle from CMC production and early research to commercialization, ensuring efficient pipeline advancement.

RIBOLIFE is one of the Chinese small nucleic acid companies with the most clinical-stage assets. As of the end of 2025, the company had seven siRNA pipelines in clinical stages, with four in Phase II. Core assets include RBD4059 (FXI), RBD5044 (ApoC3), and RBD1016 (HBV). RBD4059 is the world's first and clinically most advanced FXI siRNA drug for treating thrombotic diseases, with Phase IIb trials scheduled to begin in 2026 across multiple thrombotic indications. RBD5044 is the world's second ApoC3 siRNA to enter clinical stages, trailing only Arrowhead. RBD1016 is currently validating its potential as a drug for HBV.

A key difference from market consensus is the view on FXI inhibitors' viability. While the market expresses concerns, the report believes FXI inhibitors have already demonstrated viability in indications such as stroke and post-knee arthroplasty. FXI siRNA is expected to potentially address atrial fibrillation indications with its higher target inhibition rate.

Potential catalysts include data readouts from industry FXI inhibitors and ApoC3 siRNA trials, as well as the initiation and data results from multiple Phase II clinical trials of RIBOLIFE's small nucleic acid drugs. Risks include clinical trial data falling short of expectations, worsening competitive landscape, failure of same-target R&D within the industry, and cash flow pressures.