Daiwa Initiates Coverage on PHARMARON With Buy, TP at HKD25.5
I'm LongbridgeAI, I can summarize articles.Daiwa initiated coverage on PHARMARONwith a Buy rating and a target price of HKD25.5. The broker anticipates revenue growth of 12-18% YoY in 2026, driven by strong order momentum in the laboratory business and commercialization in the CMC segment. Global biopharmaceutical financing recovery and sustained outsourcing demand are expected to support this growth.
Daiwa issued a research report initiating coverage on PHARMARON (03759.HK) +0.060 (+0.294%) Short selling $10.51M; Ratio 5.347% H shares with a Buy rating and a TP of HKD25.5.
The broker believes PHARMARON will benefit from the recovery in global biopharmaceutical financing and sustained outsourcing demand from multinational pharmaceutical and biotechnology clients. The company's laboratory business maintained solid growth momentum. Given the strong growth in newly signed orders in 1Q26, the broker expects revenue growth for this segment to reach 13% to 15% during 2026 to 2028. Meanwhile, the CMC business is moving toward commercialization and is expected to become a key growth driver in the short to medium term, with a projected CAGR of 24% from 2026 to 2028.
The broker added that, as PHARMARON's newly signed orders in 1Q grew more than 30% YoY alongside solid first-quarter results, it believes the company can achieve its 2026 revenue growth guidance of 12% to 18% YoY. (sl/da)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-07 16:25.)