- ST Pharm's 3Q operating profit beat our forecast, despite softer small-molecule CMO sales, as CRO and lucrative oligonucleotide (or oligo) CMO businesses contributed significant sales.

- We maintain BUY but cut our target price to KRW110,000. Our DCF-based target price has been adjusted to reflect lowered expectations for its mRNA-based COVID19 vaccine, as vaccine latecomers face dimming outlook.