HK Stock Market Move | Medical sector stock is showing a strong performance, and innovative drugs are gradually reaching the turning point of profitability. The 2026 AACR Annual Meeting is about to be held.

The pharmaceutical sector is showing strong momentum. As of the publication, LEPU BIO-B (02157) rose by 15.17% to 6.15 Hong Kong dollars; REMEGEN (09995) rose by 13.88% to 109.1 Hong Kong dollars; KEYMED BIO-B (02162) rose by 10.96% to 67.35 Hong Kong dollars; 3SBIO (01530) rose by 9.98% to 24.9 Hong Kong dollars; and InnoCare Pharma (09969) rose by 9.29% to 14.82 Hong Kong dollars. In terms of news, the pharmaceutical industry has recently seen multiple catalysts. According to the latest data released by the National Medical Products Administration, the total amount of overseas licensing transactions for innovative drugs in China in the first three months of this year exceeded 60 billion US dollars, nearly half of the total amount of 135.7 billion US dollars for the whole year of 2025. In addition, the AACR Annual Meeting 2026 is about to be held, and according to various institutions, 104 Chinese pharmaceutical companies will be presenting at the AACR this year, showcasing more than 250 innovative drugs and related research results covering various popular targets. It is worth noting that the annual performance reports released by many pharmaceutical companies recently show that innovative drugs have entered a profitable cycle, with leading innovative drug companies such as BEONE MEDICINES and INNOVENT BIO leading the way in achieving profitability. Industrial believes that in the past two years, the number and amount of overseas licensing transactions for innovative drugs in China have continued to reach new highs. The landing of BD (Business Development) transactions is the first step in going overseas, and with the opening of overseas phase III clinical trials in the future, the certainty of overseas listing will increase, and valuation is expected to continue to rise (based on the potential sales peak and success rate of the products). Based on this, it is advisable to focus on the future progress of BD varieties, as they have stronger certainty compared to non-BD varieties, and various developments in the future will continue to provide catalysts, bringing space for valuation improvement.