Daiwa Downgrades SINOPHARM to Hold, Cuts TP to HKD18
I'm LongbridgeAI, I can summarize articles.Daiwa downgraded SINOPHARMfrom 'Outperform' to 'Hold', cutting its target price from HKD21 to HKD18. While revenue is stabilizing, a clear rebound timetable remains unclear. The firm forecasts double-digit YoY growth for retail pharmacy revenue by 2026 but projects EPS growth for 2026-2028 at 4.5%, 5.6%, and 8.5% respectively, falling 3-6% below market expectations.
Daiwa said in a report that SINOPHARM (01099.HK) -0.530 (-3.085%) Short selling $17.60M; Ratio 53.121% 's revenue has started to stabilize, but there is not yet a clear timetable for a rebound. Guidance for retail pharmacy revenue in 2026 indicates double-digit YoY growth. The rating was downgraded from "Outperform" to "Hold", while the target price was lowered from HKD21 to HKD18. EPS for 2026 to 2028 is forecast to grow 4.5%, 5.6% and 8.5% YoY respectively, which is 3% to 6% below market expectations. (ha/u)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-09 12:25.)