CMB International Securities analyst Jill Wu maintained a Buy rating on HUTCHMED (China) yesterday and set a price target of HK$31.39.
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Jill Wu has given her Buy rating due to a combination of factors that highlight both challenges and opportunities for HUTCHMED (China). Despite facing competitive pressures in the Chinese market, which led to a reduction in full-year revenue guidance, the company remains optimistic about the second half of the year. This optimism is supported by the launch of fruquintinib in Europe, new approvals for savolitinib, and a restructuring of the sales team, which is expected to drive future growth.
Additionally, HUTCHMED’s strong cash position of US$1.37 billion provides it with the strategic flexibility to pursue growth opportunities, including potential mergers and acquisitions. The company’s focus on expanding indications for its key drugs, such as savolitinib and fruquintinib, and the development of its innovative ATTC platform, further bolster its growth prospects. These strategic initiatives, coupled with a moderate financial performance in the first half of 2025, underpin Jill Wu’s Buy rating, despite the revised downward guidance.
According to TipRanks, Wu is a 5-star analyst with an average return of 40.6% and a 61.21% success rate. Wu covers the Healthcare sector, focusing on stocks such as BeOne Medicines, Thermo Fisher, and HUTCHMED (China) .
In another report released yesterday, Citi also maintained a Buy rating on the stock with a HK$36.00 price target.