Citi has released a research report placing WUXI APPTEC (02359) on a 90-day positive catalyst watch, noting that the group is scheduled to participate in and deliver a presentation at a US healthcare conference this Wednesday, the 14th, Pacific Time. Based on a recovery in global financing, Citi anticipates that WUXI APPTEC's management will maintain an optimistic outlook for the current year and provide clearer 2026 performance guidance and details during its March earnings report. The bank considers WUXI APPTEC's valuation attractive, assigning it a "Buy" rating with a target price of HK$142. Citi expects the company's robust growth prospects to be supported by increasing order volumes from both domestic and international sources, projecting that its China-based laboratory business, bolstered by its "long-tail" strategy and differentiated services from innovative platforms, achieved a sales compound annual growth rate of 27.4% from 2020 to 2023.
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