Morgan Stanley has released a research report reiterating its "Overweight" rating on SH PHARMA (02607), while reducing the target price from HK$16 to HK$15.8, a decrease of 1.25%. The firm stated that following SH PHARMA's 2025 results announcement, it has lowered its profit forecasts for the company for the years 2026 to 2030 by 2% to 3%, reflecting a lower revenue outlook. The bank also indicated that the better-than-expected performance of SH PHARMA's distribution business is a key factor supporting the "Overweight" rating. It projects the company's overall profit to achieve a compound annual growth rate of 9% from 2025 to 2028, with a forecasted price-to-earnings ratio of approximately 7 times for 2026.
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