The Zhitong Finance App learned that CITIC Construction Investment Securities released a research report saying that looking ahead to 2024, it will continue to be optimistic about investment opportunities in the medical device sector, and is optimistic about the three main lines of policy inflection points, internationalization, and innovation-driven innovation. It is recommended to focus on some companies that are expected to benefit from a recovery in surgery volume and a recovery in bidding demand in 24 years, companies with strong certainty or expected to exceed expectations in high overseas business growth, and some companies that may increase their performance growth rate as a result of the release of new products and technologies. Industry procurement is expected to recover moderately in '24. The performance certainty of some high-value consumables companies in the first half of the year was higher than IVD and higher than that of medical equipment companies. Stock prices and valuations of some high-quality individual stocks have recently been adjusted. It is recommended to seize the opportunity to increase positions in individual stocks with high certainty in 24-year performance.

What are you optimistic about next: The main line of innovation: the best magic weapon to get through the cycle. Global liquidity is expected to improve marginally, which is beneficial to the pricing of innovative assets; national policies encourage the development of innovative pharmaceutical devices; and new technologies drive the rapid development of the industry. Typical industry segments are innovative drug and pharmaceutical companies. Among them, evaluation of differentiation, clinical value, compliance commercialization ability, or platform capability is the core basis for stock selection.

The main line of overseas travel: reasonable expectations, leading companies should pay a premium. In the long run, the pharmaceutical industry is expected to leave major global companies, but investors also need to fully anticipate the challenges posed by going overseas. This must be a long-term process. The representative industry segment is innovative drug and device companies. Evaluating the international competitiveness of the company's products and teams is the core basis for stock selection. Currently, companies that are already highly competitive should be given a higher premium.

Improving the main line: Grasp the pace of changes in business climate. ① The CXO industry has been fully adjusted in the early stages, and the recovery of global investment and financing is expected to drive a gradual recovery in global customer demand. ① Traditional Chinese medicine: leading OTC brand and leading innovative traditional Chinese medicine enterprise ② leading pharmacy chain; ③ vaccine leader with strong commercialization and product selection capabilities; ④ Pharmaceutical distribution and comprehensive pharmaceutical enterprise

Other main lines: medical services.

Hong Kong stock market review: Pharmaceuticals overall outperformed the market this week, and pharmaceutical circulation performed well. Hang Seng Healthcare fell 6.95% this week, the Hang Seng Index fell 3.00%, and Hang Seng Healthcare overall outperformed the market by 3.95%. Since 2024, Hang Seng Healthcare has outperformed the market overall by 3.95%. In terms of sub-sectors, the pharmaceutical distribution (+0.54%) sub-sector performed well this week.

A-share market review: Pharmaceuticals overall outperformed the market this week, and pharmaceutical retail and pharmaceutical distribution performed well. This week, the pharmaceutical index fell 3.14%, the Wandequan A index fell 2.97%, and the overall pharmaceutical index outperformed the market by 0.17%. Since 2024, the overall pharmaceutical index has outperformed the market by 0.17%. In terms of sub-sectors, the pharmaceutical retail (+2.12%) and pharmaceutical distribution (+0.75%) sub-industries performed well this week.