WXIBF - WuXi Biologics: Eyes On Long-Term Risks And Near-Term Outlook (Rating Downgrade)
2025-05-18 04:04:32 ET
Summary
- I have lowered my rating for WuXi Biologics from a Buy to a Hold, taking into consideration its financial prospects and risk factors.
- In the long run, the onshoring of drug manufacturing in the U.S. might limit WuXi's growth potential for the long run.
- But WuXi should be able to register a solid mid-teens topline expansion in the next few years based on positive read-throughs from backlog and PPQ (Process Performance Qualification) metrics.
I'm turning Neutral on WuXi Biologics (Cayman) Inc. ( WXIBF ) ( WXXWY ) (2269.HK) or "WBCI"....
WuXi Biologics: Eyes On Long-Term Risks And Near-Term Outlook (Rating Downgrade)