On Tuesday, SSY Group Limited (2005:HK) (OTC: LJUIF) maintained its Buy rating and HK$5.20 price target from Huatai Financial. The company recently announced a strategic R&D agreement with HighTide Therapeutics to establish a joint research center. The collaboration aims to develop innovative products, build an industry ecosystem, and enhance market promotions.
The joint venture underscores SSY's commitment to advancing treatments for metabolic and digestive system diseases. Further details on the partnership are anticipated to be disclosed in due course. The analyst from Huatai Financial predicts a stable profit outlook for SSY in 2024, despite the forecast of one-off expenses within the year.
The financial firm's outlook is buoyed by the expansion of SSY's IV infusion production and expected seasonal incentives in the fourth quarter of 2024. Additionally, a rebound in the volume of Active Pharmaceutical (TADAWUL:2070) Ingredient (API) orders is projected to contribute to the company's financial stability.
The analyst's statement highlighted the potential for SSY Group to maintain its profitability through strategic growth initiatives and operational enhancements. The market awaits further announcements that will provide more insight into the collaboration between SSY Group and HighTide Therapeutics.
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