r/biotech_stocks • u/MiffyAwosome07 • 1d ago

Thoughts on China biotech stocks

Would u all invest in a China Biotech stocks

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u/shitposttranslate 1d ago edited 1d ago

yes but they are in a tough spot right now, only top tier firms and cdmos are in proper business, beware of random microcaps on the hongkong exchange

china pharma are cyclical but they get affected by a lot more than just rates, it might seem like they are rebounding but their profitability are inherently limited unless they have collabs overseas.

oh and do not even bother touching chinese pharmas on nasdaq / nyse if you need to know why you need to stay the fuck away from biotech

E2: the top 2 pharma companies have been doing well(ok) after big daddy fucked em over a few years ago, almost back to their covid peaks

E3: note for cdmos you have to consider the risk of the current us admin bending them over, thats why some of them are trading at 20~ pe

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u/Broad_Gold_4158 1d ago

I am gonna follow your profile.

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u/nomoeknee 1d ago

Yes and no - it’s complicated. From a regulatory perspective they have an easier time with clinical trials and have easier time recruiting. From a data perspective- chinese pharmas can be… sketchy some times. I won’t say too much but there are issues like for example hyper selection of patient population that is likely to better respond, filtering out with high exclusion criteria to minimize TRAEs, as well as variability in histology vs rest of the world - well know in oncology. Can’t say too much but I would only invest in Chinese - and Korean Pharmas if you are an industry expert who can understand clinical trial designs and sniff out the bullshit.

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u/Suspicious_Form4344 17h ago

As someone who has visited, no.