The bottom of the pharmaceutical stocks is rising | The layout window is coming

The pharmaceutical network on October 23, with the continuous correction of the market since June, the pharmaceutical bio-sector has also undergone a large adjustment, the decline is in the top. Recently, the plate has appeared long-term rise from the bottom of the section, how to treat the medical sector rise?

At present, some institutions believe that the current sector has rebounded from the bottom, but it still has greater uncertainty. Funds tend to avoid some stocks that are still uncertain in the initial stage of the disk; some institutions believe that pharmaceutical companies The logic of the upswing has not changed, and the market outlook will still behave.

Yesterday, driven by the overall warmth of the disk, medicine The sector continued the counter-attack trend since last Friday. The sector's gains reached 5.19% yesterday, ranking the forefront of the CITIC industry. Due to the deep correction of the previous sector, many investors have a greater expectation for the sector.

Against the background of the expected improvement in the pharmaceutical bio-sector, the plate has ushered in a wave of 'spreading' since mid-February this year. As of the June callback, the biomedical sector's gains once exceeded 30%. However, since the high point Since the fall, the biggest decline in the sector as of last Thursday has also reached 36.52%. Not only has 'erase' the previous increase, but since the beginning of the year, there has been a drop of more than 20%, which makes investors' optimistic expectations for the sector exhausted.

Analysts said that in fact, in this year's weak market, pharmaceutical stocks have become the strongest sector, and many institutional funds were forced to chase high-yielding pharmaceutical stocks in the late stage of the market. Once some funds were shipped in advance, pharmaceutical stocks It will be like a 'bird of surprise'. Investment is not only about paying steady and steady growth, but also not only paying attention to the low valuation. Once the performance growth rate is not matched with the level of valuation improvement, the investment cost will be rapidly reduced.

At present, the valuation of the pharmaceutical sector has hit a new low of nearly 10 years, a large number of companies have entered the 10-20 times PE range. Many institutions believe that the sector has fallen into a higher price-performance ratio, but market participants stressed that although the pharmaceutical sector is good in the company More, but whether 'good stock' depends on the market environment.

Zhongtai Securities pointed out that the pharmaceutical sector has been adjusted independently from July and August, and has followed the adjustment in September and October. At present, many high-quality companies have entered historical low valuations or entered the value range. Last week, the pharmaceutical bio-sector continued to fall by 5.23%. Further reduction, the sector valuation calculated by 2018 earnings forecast is 23 times PE; TTM is estimated to be 24 times PE, which is significantly lower than the historical average of 37 times PE. Currently most companies in the pharmaceutical sector have entered the value range, the pharmaceutical industry as a long-term The development trend is clear, and the fundamentals continue to be upward, which deserves attention and layout.

In the current market, it is promising, and the blue-chip stocks are likely to rebound significantly under the performance catalysis. However, the high-yielding stocks that have continued to grow in the middle of the market or the stocks that have been killed will have a significant increase.

Analysts pointed out that the current stable growth of consumer categories is still an ideal investor sector. In the large-volume consumer sector, the pharmaceutical sector is dominated by domestic demand, terminal demand is strong and steady growth. From an investment perspective, compared to other In the consumer sector, the stagflation in the 2017 sector and the significant correction in the previous sector have made the investment in the pharmaceutical sector still cost-effective. Therefore, the callback provides a rare opportunity to get on the train for investors who are optimistic about the sector.