(People's Daily Health Client Tan Qixin) Since the end of September, the medical device sector has rebounded strongly for many consecutive days, attracting market attention. As of the close of September 30, the Wind Medical Device Select Index of Professional Medical Data has risen continuously in the past week, with a cumulative increase of and exceeding 11%; the CSI Medical Device Index has risen for 4 consecutive days, with a cumulative increase of nearly 9%.
More than
Industry insiders believe that thanks to the recent positive industry policies, the confidence of the pharmaceutical and medical devices market has increased significantly, and it is expected that the market will still achieve continuous growth in the future.
Enterprise researchers are testing functional medical devices in the laboratory, Vigo Orthopedics official website photo.
more than stock grew by more than 10%. National policy support is the main reason
. Behind the high market sentiment, many stocks in the medical device sector performed well, contrary to the previous downturn. Among them, the cumulative increase of Dabo Medical in the past week reached 44.72%, the cumulative increase of Weigao Orthopedics stock price increased by more than 30%, and Huakang Medical, Kaili Medical, Mindray Medical , etc. all increased by more than 16%.
In the view of Zhang Yi, CEO and chief analyst of iMedia Consulting, policy support and encouragement at the national level are the main reasons why the industry has boosted confidence from the volatile trend since the epidemic, among which the fiscal interest subsidy loan policy is the most direct influencing factor.
htmlOn September 13, the State Council Executive Meeting determined that special re-lending and fiscal interest subsidy support equipment updates and transformation in some fields, expand market demand and increase development potential. On September 15, the National Health Commission also issued a notice, intending to use financial interest subsidy loan to update and transform medical equipment, collect loan needs and initial use directions of loan funds from local health departments. It is expected to cover comprehensive hospitals, specialized hospitals, traditional Chinese medicine hospitals (including integrated Chinese and Western medicine hospitals, ethnic hospitals), infectious disease hospitals and private hospitals. The loan usage direction also includes the purchase of various medical equipment such as diagnosis and treatment, clinical testing, severe illness, rehabilitation, scientific research and transformation, which also means that domestic medical institutions will inevitably usher in a wave of equipment renewal and transformation."The fiscal interest subsidy loan policy reflects the government's emphasis on the update and upgrading of medical resources. Although it is directly aimed at medical institutions across the country, after implementation, it is a great benefit for both the medical institution terminals and the entire pharmaceutical industry chain." Zhang Yi told the People's Daily Health Client reporter.
centralized procurement will bring domestic substitution, attracting investors to be optimistic about
In addition, it is worth noting that Dabo Medical and Vigo Orthopedics, which led the rise this time, are both the "big winners" of the first national procurement of high-value spinal consumables that have just ended. According to the winning results released by the national joint procurement platform for medical consumables on September 30, Dabo Medical has 11 products selected, and all 18 products submitted by Vigo Orthopedics won the bid.
"Although centralized procurement will bring about a certain price drop, it will also bring about an increase in market demand. Spinal consumables account for the largest proportion of orthopedic consumables. The market size involved in this centralized procurement is estimated to cost hundreds of billions of yuan, especially for companies with more winning products, it is more likely to achieve "price for volume" to quickly increase their market share, which is also the reason for the sharp rise of related individual stocks." Zhang Yi analyzed that, in addition, since my country's spinal consumables market was previously occupied by foreign brands for a long time, the domestic substitution effect brought by centralized procurement is also the reason why investors are optimistic about domestic medical device brands.
is expected to fluctuate and increase in the fourth quarter, and the industry elimination process is accelerating
According to statistics from Zhuoshi Consulting, from 2015 to 2020, the annualized compound growth rate of my country's medical device market size was 20.03%, far exceeding the global average. It is expected that the scale of China's medical device market will exceed 2.2 trillion yuan in 2030.
Comprehensive analysis of multiple research reports, the long-term positive trend of medical devices will not change. The pessimistic expectations of the orthopedic industry valuation and performance suppression of the centralized procurement policy have been released. The implementation of precise prevention and control will also help the medical device industry return to a healthy development track, and the performance of relevant leading enterprises can achieve stable expectations.
At the same time, in the sub-track of orthopedics and IVD ( in vitro diagnostic reagent ), core competitiveness companies with complete product pipelines, strong R&D strength and certain brand strength have also become the key recommended targets such as Guojin Securities and Debang Securities .
Zhang Yi also remained optimistic about the trend of the pharmaceutical and medical device sector in the next fourth quarter. "After experienced nearly a year of downturn, we believe that the normal rebound in valuation is an inevitable trend. With the gradual release of multiple policies, the pharmaceutical and medical device sector is expected to maintain the current upward trend in the fourth quarter, but considering the uncertainty of the implementation of the short-term policy implementation, the expected upward trend is also cyclical and volatile. " Zhang Yi told reporters.
"Benefiting from the implementation of the new infrastructure project, the next two years are expected to be the hottest trend of the development of the medical device industry and an opportunity that enterprises must seize. But on the other hand, the impact of centralized procurement policies on the industry is still uncertain, and the market has not yet desensitized to centralized procurement information. Considering the difficulty of centralized procurement of spinal consumables, it remains to be seen whether the short-term market sentiment rebound brought by centralized procurement can continue. Looking forward to the bidding rules for centralized procurement in the next centralized procurement. It can be continuously optimized and improved. "A relevant person in charge of a large domestic medical device company told the People's Daily Health Client reporter that, in addition, referring to the previous implementation results of the high-value consumables procurement of heart stents and artificial joint , it can be found that manufacturers with more winning bids are still expected to maintain a reasonable profit margin, but the significant increase in industry concentration will undoubtedly further accelerate the elimination process of manufacturers with smaller scale and lack of core innovative technologies.
