Daiwa Downgrades SINOPHARM to Hold, Cuts Target Price to HK$18

Stock News
07/10

Daiwa has issued a research report stating that SINOPHARM (01099) revenues have begun to stabilize, but a clear timeline for a rebound has yet to emerge. The company's 2026 guidance for retail pharmacy revenue projects year-on-year double-digit growth. The rating has been lowered from "Outperform" to "Hold," and the target price has been reduced from HK$21 to HK$18. Earnings per share for 2026 to 2028 are forecast to grow by 4.5%, 5.6%, and 8.5% year-on-year, respectively, which is 3% to 6% below market expectations.

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