BOCOM INTL: Cuts REMEGEN (09995) target price to HK$128, maintains "Buy" rating

BOCOM INTL released a research report stating that it has cut the target price for REMEGEN (09995) to HK$128 and maintained a "Buy" rating. The bank significantly raised its forecast for the company's outbound licensing revenue for 2026 and raised its 2026 revenue forecast, while lowering its revenue forecasts for 2027 to 2028, mainly reflecting the latest recognition pace of outbound licensing transaction revenue and adjustments to product sales forecasts based on first-to-third-quarter results. As the profit margin of the outbound licensing business is significantly higher than that of product sales, the upward revision to this business's revenue forecast directly drove a substantial improvement in overall profit expectations. The bank noted that REMEGEN's product sales accelerated in the third quarter, with the company remaining profitable on a single-quarter basis. Management expects overall operations to continue their good momentum in the fourth quarter and is confident in achieving the goal of breaking even at the underlying business level for the full year. In addition, BOCOM INTL noted that global development of the company's core pipeline will enter a harvest period in 2027.