CSPC PHARMA's stock surged 13.48% during intraday trading on Friday, breaking through multiple moving averages as part of a broader rally in the innovative drug sector.
The surge comes amid strong momentum across A+H innovative drug stocks, with sector ETFs seeing significant gains and heavy trading volume. More than 45 out of 50 constituent stocks in the Hong Kong Stock Connect Innovative Drug ETF traded higher, with CSPC PHARMA leading the gains.
Industry analysts point to several catalysts driving the sector rally, including the release of 2025 annual reports showing strong profitability among innovative drug companies, upcoming industry conferences like AACR and ASCO, and robust business development deal activity. The sector has been in correction for two quarters, making current valuations attractive for investors seeking exposure to innovative drug companies.

