CRO concept stocks continued to rebound. As of press release, Viva Biotech (01873) rose 8.93% to HK$0.61; Kingsley Biotech (01548) rose 8.35% to HK$11.94; Kanglong Chemical (03759) rose 5.91% to HK$10.04; and Pharmaceutical Biotech (02269) rose 5.79% to HK$14.26.
The Zhitong Finance App learned that CRO concept stocks continued to rebound. As of press release, Viva Biotech (01873) rose 8.93% to HK$0.61; Kingsley Biotech (01548) rose 8.35% to HK$11.94; Kanglong Chemical (03759) rose 5.91% to HK$10.04; and Pharmaceutical Biotech (02269) rose 5.79% to HK$14.26.
CITIC Construction Investment pointed out that at present, first-level investment and financing in the pharmaceutical sector still needs to be resumed, and the downstream demand side needs to improve. Furthermore, the industry has recently been greatly affected by the “Biosafety Act” introduced by both houses of the Senate. Currently, both houses are advancing similar laws, but they are in the early stages. Further progress and potential effects still need to be observed. The major companies involved in the bill have also clarified the untruths.
The bank pointed out that domestic CXO companies still have a certain competitive advantage compared to global companies. In recent years, with the rapid development of ADC and peptide drugs, demand for related CXO has increased rapidly, and segments such as small nucleic acids and CGT are also expected to usher in rapid development. Companies that match high-end needs in the clinical CRO field are expected to gain a higher share. Currently, the overall valuation of the CXO sector is low. In the long run, we are still optimistic about the CXO sector's development potential and growth space.