Guosen Securities released a research report stating that the home medical device sector offers long-term growth prospects, with certain major products demonstrating strong structural growth in the near to medium term. Driven by factors such as an aging population, increased public awareness of health management, and technological and product innovation, the home medical device sector maintains robust long-term growth potential. The report recommends focusing on high-quality companies with comprehensive product portfolios in related fields, rapid progress in popular product lines, and leading international expansion strategies. The main views of Guosen Securities are as follows:

The home medical device industry is a high-growth potential sector under the silver economy. Home medical devices are essential tools for enhancing residents' self-health management capabilities and early disease intervention, widely covering areas such as home health monitoring, respiratory therapy, rehabilitation medicine, and nursing care. As China's aging population grows in both size and proportion, public health management awareness strengthens, and supply-side upgrades driven by policy support and technological innovation occur, multiple segments within the home medical device industry possess considerable growth potential. The domestic market is expected to grow faster than the global industry average, exhibiting characteristics of "low penetration rates and high growth potential."

Health monitoring products serve as a key entry point for home health management. These products are responsible for monitoring vital signs and chronic disease indicators in home settings. China has a large base of patients with chronic conditions such as hypertension and diabetes, indicating substantial potential demand. Traditional health monitoring products like blood pressure monitors and thermometers have already established a certain market size. Currently, with ongoing iterations in product intelligence and functional integration, the high-end market still holds growth potential. Domestic brands are steadily increasing their market share through the development of high-end product lines and the improvement of online sales platforms. Continuous Glucose Monitoring (CGM) systems, as revolutionary products for diabetes management, are experiencing impressive growth rates both domestically and internationally. Domestic brands have caught up with international leaders in terms of product performance, laying a foundation for future competitiveness in the domestic market and overseas expansion. The report suggests monitoring companies with well-established high-end portfolios in traditional categories and rapid commercialization progress in new categories like CGM, such as Yuyue Medical and Sinocare.

Respiratory therapy represents a growth segment with significant room for increased penetration. Respiratory therapy products mainly include oxygen concentrators, home ventilators, and nebulizers. The domestic oxygen concentrator market exhibits a structure dominated by three major players alongside several strong competitors, with Yuyue and two other foreign brands holding over 35% of the market share. The penetration rate of home ventilators in China remains relatively low; however, driven by continuous patient education and the active overseas expansion of domestic brands, this segment is expected to maintain a high compound growth rate. The report recommends focusing on companies leading in market share within the respiratory therapy field and those with well-developed international market presence, such as Yuyue Medical, Cofoe Medical, and ResMed.

Risk warnings include intensifying market competition, slower-than-expected product iteration, slower-than-expected improvement in the consumer environment, and policy risks in overseas markets.