Hong Kong Stocks Innovative Pharmaceutical Concept Remains Active, Federal Pharmaceuticals Soars 8%, Hansteen Pharmaceuticals Rises Over 5%

Hong Kong stocks' innovative pharmaceutical concept remains active, with Federal Pharmaceuticals soaring 8%, Hansteen Pharmaceuticals rising over 5%, and Cologne Pharma-B and Tongyuan Pharmaceutical Co. rising over 4%.

Golden Securities believes that from the perspective of valuation, past valuations of innovative pharmaceuticals have mainly focused on domestic markets, with the main commercialization methods being through insurance (or other channels) to reach domestic patients. However, overseas collaborations offer Chinese innovative pharmaceuticals a vast global market (about ten times larger than the domestic market), providing opportunities for commercialization mainly through licensing to overseas companies, ultimately reaching overseas markets. Considering that the intense repayment period of innovative pharmaceuticals is coming, the country's policy support has been consistent and clear, and the trend of development and upgrading of the innovative pharmaceutical industry has become more apparent.