CICC: Maintaining Ruibo Bio-B (06938) outperforming the industry rating target price of HK$90

The Zhitong Finance App learned that CICC released a research report saying that considering Madrigal's overseas authorization to increase revenue, maintain Ruibo Bio-B (06938) outperform the industry rating, and considering that fluctuations in expectations of the Federal Reserve's interest rate hike may affect the valuation of the Hong Kong stock innovative drug sector, based on DCF, the bank maintained a target price of HK$90, with 49.1% upside compared to the current stock price. The company announced 1H26 results: revenue of 420 million yuan, an increase of 304% over the previous year; net profit to mother was 20.3 million yuan. The performance exceeded expectations, mainly due to the company's overseas authorized cooperation agreement with Madrigal to increase performance with a down payment.

CICC's main views are as follows:

Core product RBD4059 accelerates progress

The company has announced phase IIa results of RBD4059 (FXI siRNA) for chronic coronary artery disease (CAD). Under aspirin as background treatment, the average maximum decrease in FXI activity reached 92% in patients who completed a course of high-dose vortosiran administration with a maintenance dose of 400 mg, and continued for several months after administration, supporting dosing every 3-6 months; there were no serious adverse events or major bleeding events related to treatment. The bank believes that it has initially verified FXI's potential for drug development in the CAD field. In addition, the company has laid out a number of phase IIb clinical programs: European SPAF indications phase IIb clinical approval; VTE phase IIb applications were submitted in May.

The bank suggests focusing on the development of FXI target drugs in the industry, or providing target verification and clinical development guidance for siRNA drugs

FXI target drug development routes are divided into 3 categories, namely small molecules, monoclonal antibodies, and siRNA. Due to early development of small molecules, the overall progress of small molecules is relatively advanced. Among them, BMS/J&J's Milvexian will release phase III clinical data for ischemic stroke on 4Q26, and phase III data for atrial fibrillation on 1H26. Judging from current side-by-side data, the inhibition rate of siRNA activity on FXi is significantly higher than that of small molecules.

Intrahepatic and extra-hepatic siRNA layouts have blossomed, and platform construction has entered the harvest period

In terms of other intrahepatic targets, the European phase II clinical trial of RBD5044 (apoc3 siRNA) for the treatment of hypertriglyceridemia continues to advance, and the Chinese phase II clinical trial has completed patient recruitment; RBD7022 (PCSK9 siRNA) is undergoing phase III clinical trials in China by partner Qilu Pharmaceutical. In terms of extra-hepatic delivery, kidney, myocardium, adipose, and CNS are multi-site layout. Among them, the first drug in the kidney field has been promoted to the preclinical stage.

Risk warning: Clinical trial data falls short of expectations, risk of failure in research and development of the same target within the industry.