Jianyin International Raises WuXi Biologics Target Price 20% to 52 HKD

Jianyin International has released a research report, upgrading its target price for WuXi Biologics (02268) to 52 Hong Kong dollars while maintaining its "outperform" rating. The firm highlighted the company's impressive performance in 2022 and the first half of 2023, driven by the steady growth of its innovative drug projects.

Jianyin International has revised its revenue forecasts for WuXi Biologics, increasing them by 3% and 4% for the current and next fiscal years, respectively. The new forecasts stand at 5.7 billion yuan and 7.9 billion yuan. Additionally, the firm has raised its adjusted earnings forecast for 2023 by 2% to 1.5 billion yuan.

The firm expects WuXi Biologics' revenue to grow by 41% year-over-year in 2023, exceeding the company's own guidance of 35% growth. This upward revision in the target price reflects Jianyin International's confidence in WuXi Biologics' sustained strong performance and promising growth prospects.

The firm's positive outlook is underpinned by the robust growth in WuXi Biologics' innovative drug projects, which have shown resilience and continued expansion. This performance has exceeded market expectations, positioning WuXi Biologics as a leader in the biopharmaceutical industry.

Jianyin International's decision to maintain its "outperform" rating indicates its belief in the company's ability to outperform the broader market. The firm's revised target price and earnings forecasts underscore its confidence in WuXi Biologics' future performance and its potential to deliver strong returns for investors.