Recently, medical device stocks have risen too much, and they are facing certain adjustment pressure in the short term. However, due to the vast space for industrial development, investors can take advantage of the possible adjustments this time to actively buy related listed companies.

New themes stimulate

Qin Hong, an analyst at Jinbailin Consulting, pointed out that the main rise in the medical device industry is mainly due to two points: First, the impact on the entire medical service industry after the price of medicine is reduced. As the price of medicine continues to drop, the price of primary medicine continues to drop, and the profitability of hospitals also continues to drop. Therefore, in order to maintain the normal operation of hospitals, many hospitals have begun to purchase a large number of medical equipment in order to make up for the reduced loss of medical sources through inspection fees and other methods. Therefore, the medical device industry has seen a trend of accelerated growth in the near future. The second is the stimulation of new themes, mainly referring to the rise of wearable medical devices. Nowadays, medical diagnostic equipment is becoming more and more family-oriented. Therefore, manometers worn on the wrist have quickly become best-selling products, driving the A-share market to form a new hype theme, wearable medical product theme, and Jiu'an Medical is this. A leading variety of new themes, so the recent success of medical device stocks is not so much the big development of the medical industry, but rather the stimulation of wearable devices.

Large room for growth

Qin Hong believes that the medical device industry has a broad industry development space. Because with the aging of the population and the significant increase in health care awareness, the medical device industry has maintained a rapid growth trend, with an average growth rate higher than that of the pharmaceutical industry. According to statistics from the National Bureau of Statistics, in 2012, the income of enterprises above designated size in the medical device industry in my country has reached 156.5 billion yuan. The output value ratio of devices and pharmaceuticals in developed countries is about 1:1, while the revenue of devices in my country accounts for about 10% of the pharmaceutical market. This means that my country's medical device industry still has broad room for industrial growth.

In addition, as the income of Chinese residents increases, the demand for disease diagnosis, prevention and health management has increased, and the per capita expenditure on medical care for urban and rural residents has increased steadily. In other words, the home penetration rate of medical devices will increase rapidly in the future, which will lead to the high growth of the performance of listed medical device companies in my country.

Qin Hong emphasized that the recent increase in the medical device industry has been too large and the short-term pressure is facing certain adjustments. Investors are advised not to catch up. However, as the medical device industry has a broad space for development, it is still recommended that investors take advantage of the possible adjustments to actively reduce the absorption of listed medical device companies. Among them, the subdivisions with investment value in the medical device industry will focus on three major categories: major diseases, high value-added consumables, and household medical devices: major diseases with higher technical requirements (such as cardiology equipment, interventional therapy , CT, MRI and other high technical barriers); high value-added consumables include hemodialysis, orthopedics, high-end surgical intervention materials, etc.; household medical devices are relatively low-end but high-demand varieties. Therefore, Wandong Medical, Kailitai, Hongda High-tech and other varieties can be tracked.