Hong Kong Stock Movement: Competition in the innovative drug industry intensifies, XUANZHUBIO falls 10.19%

Hong Kong Stock Movement

XUANZHUBIO-B fell 10.19%. Based on recent key news:

1. On November 6, XUANZHUBIO's Annelazole Sodium was approved for listing in June 2023 and successfully included in the national medical insurance catalog. This move raised market expectations for its future sales growth, but recent market reassessments of the overall valuation of the innovative drug industry led to stock price fluctuations.

2. On November 6, policy tailwinds and overseas opportunities opened dual tracks for quality enterprises; however, intensified homogeneous competition within the industry affected capital market confidence in innovative drug companies, putting pressure on XUANZHUBIO's stock price.

3. On November 6, global competition in the innovative drug market intensified, with a License-out return rate as high as 40%. The market's requirements for companies' global vision and core products have increased, leading to stock price fluctuations for XUANZHUBIO in this context. Competition in the innovative drug industry has intensified, with significant policy support.

Stocks with High Trading Volume in the Industry

Shijiazhuang Pharmaceutical Group fell 2.25%. Based on recent key news:

1. On November 4, Shijiazhuang Pharmaceutical Group's executive director Pan Weidong resigned due to personal matters, causing the stock price to drop. This news raised market concerns about corporate governance, with the stock price falling 4.42% and trading volume reaching HKD 1.073 billion. Source: Zhitong Finance

2. On November 4, Pan Weidong was penalized by the China Securities Regulatory Commission for insider trading, further exacerbating market unease. This incident involved his purchase of shares before a restructuring deal, resulting in a fine of RMB 5 million, with the stock price dropping 3.9%. Source: Economic Information Daily

3. On November 5, Shijiazhuang Pharmaceutical Group reported a decline in performance, with third-quarter net profit plummeting 50.4% year-on-year. The company's revenue and net profit both significantly decreased, leading the market to hold a pessimistic view of its future performance. Source: CICC report on the chemical pharmaceutical industry facing intensified competition and product price pressure.

China Biologic Products fell 2.43%. Based on recent key news:

1. On November 4, China Biologic Products experienced large transactions, with a trading amount exceeding HKD 23.05 million, indicating increased market attention on the stock, which may lead to price fluctuations.

2. On November 6, the collaboration model between Innovent Biologics and Takeda Pharmaceutical sparked market interest in the globalization of Chinese pharmaceutical companies. Although it did not directly involve China Biologic Products, the overall positive development of the industry may have an indirect impact on it.

3. Recent policy reforms in the pharmaceutical industry and the development trends of innovative drug companies have enhanced market expectations for long-term prospects of companies like China Biologic Products, despite short-term stock price declines. The globalization trend in the pharmaceutical industry is strengthening, with policy support.

Hansoh Pharmaceutical had a trading volume of HKD 187 million. Based on recent key news:

1. On November 4, Industrial Securities released a research report indicating that Hansoh Pharmaceutical has a high proportion of innovative drug revenue, driving rapid performance growth, and maintained a "Buy" rating. The company signed a licensing agreement with Roche, granting global exclusive rights for HS-20110, expecting to receive an upfront payment of USD 80 million and up to USD 1.45 billion in milestone payments. This move has boosted market confidence in the company's future performance, driving stock price fluctuations

2. On November 6, Zhongtai International pointed out that the Hang Seng Healthcare Index fell by 11.1% in October, with the market concerned that the U.S. increasing drug tariffs may affect the prospects for innovative drugs going abroad. The collaboration between Hansoh Pharmaceutical and Roche is considered to help advance ADC research, and the market sentiment remains cautious.

3. On November 6, the results of the centralized procurement from the National Medical Products Administration showed that the three major Hong Kong-listed pharmaceutical leaders had products selected, but none involved core products. Regulatory authorities focus on reasonable pricing, and the impact on major companies is expected to be minimal. The pharmaceutical industry's innovative drugs are frequently making headlines abroad.

Stocks ranked at the forefront of the industry by market capitalization

Hengrui Medicine fell by 3.17%. Based on recent key news:

1. On November 6, Hengrui Medicine recorded a large cross-trade transaction with a transaction amount of 25.83 million yuan, and the stock price was 0.7% lower than the previous day's closing price, indicating increased selling pressure on the stock, leading to a price decline.

2. On November 4, Wellington Management Group LLP increased its holdings in Hengrui Medicine by 855,600 shares, showing institutional confidence in the stock, but it failed to prevent the stock price from falling.

3. On November 4, Hengrui Medicine spent 13.0221 million yuan to repurchase 210,000 A-shares. Although the buyback indicates the company's recognition of its own value, it did not effectively boost the stock price. The demand for innovative drugs is growing, and policy support is evident