After showing good news, pharmaceutical companies will meet their tenth consecutive limit

"stock don't move! Drug companies are good! " " isn't it? Don't panic, keep falling!In March 2019, the pharmaceutical company Baijian announced the failure of the development of an Alzheimer's drug, Adakama monoantigen, on the same day that the stock plunged nearly 28 percent, reducing its market value by $ 18 billion; But this time, a joint Japanese pharmaceutical company, Adumama, announced that the joint development of Adumama single resistance significantly reduced the severity of Alzheimer's disease, and baijian's shares immediately rose nearly 40 percent.What do you mean, these old things?The stock market doesn't hesitate because of the news that the same company has the same drug, and always follows a principle: normal stock price fluctuations are bound to react to the positives and positives of the news.What if a company releases good news and stocks fall?First, the good is too weak, thenot fall in place;On December 25, a pharmaceutical company announced that xx Bio, a wholly owned subsidiary, and xx American Company had signed the Second Amendment to the Production Agreement. Involved 900 million safe injection needles and safety syringes, with a total value of about 500 million yuan.This is a big bill, and both parties are real names, there is security. The $975 million amount is less secure than the $975 million contract signed on May 18 by JF Technologies, a subsidiary of JF Technologies, and a U.S. company. The latter is just an announcement, as of August 7, let the stock in the secondary market, the share price rose from 13.34 yuan / share to 17.38 yuan / share, the period rose as much as 43%, compared with the way to go.But a pharmaceutical this good, did not cause a rebound in the stock, even to the morning of the 29th, the stock appeared for ten consecutive days of decline and stop the dilemma.In this thrilling fall, there will inevitably be retail investors and institutions copy the bottom, there will also be people cutting meat. But this isn't the first time the drug's stock has fallen in a row, and it's not the first time it's made the news.In December 2019, CCTV experts said the stock market situation is more obvious.In July 2020, CCTV revealed that in June, a number of investors, after watching the live webcast, bought the stock price high on the relevant stocks, the next day even eat four stop, heavy losses.Of course, every time a business says there are no major things that are not disclosed.But can't stand the profit is really in decline, from the product business, medical services, chemical pharmaceutical and medical equipment research and development, production and sales, according to reason this year in addition to cold drug sales, other drugs are relatively stable, in addition to pharmaceutical stocks are more competitive. But profits have fallen, with net profit falling for the second year in a row in 2018 and 2019, with gross margins of 48% in 2015 and 9% in 2019. When it's not profitable, a stock fall is inevitable.The product line doesn't work, so what about the hospital? From the acquisition of a 51% stake in Hainan's anti-aging centre to a 100 per cent stake in Spain's in vitro diagnostics, making money may not be enough, but it has cost more than $600m.Some money is invested, the stock market will shout well; Investing in hospitals and companies that perform less than expected is bound to affect the overall stock price. Big mergers and acquisitions, especially indebted ones, will go the other side. No fist products to ensure that the basic profits do not fall, rely on investment to pull, but investment is not a steady income of life. Stocks may be fresh for a moment, but they're not always in their hands. Like Hengrui Pharmaceuticals such an announcement of the market value of the magic, that is the research and development pipeline up, a new drug clinical registration step by step for the camp, are relying on products to fight the world. Don't think you rely on stocks because of their high market value. The stock market is the equivalent of beer above the foam, the real craft is in the wine, people's cups of foam high, more by the wine under the top. Adults are more likely to drink than wine, and the size of alcohol is never looking at foam. (Sina Pharmaceutical News
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