The innovative drug industry chain saw broad-based strength during early trading on August 4, with Hong Kong-listed shares leading the charge. Multiple innovative drug leaders under the Hong Kong Stock Connect program rebounded, with stocks such as 百济神州, 石药集团, 康方生物, and 中国生物制药 collectively gaining over 1%. The 100% innovative drug R&D-focused product, 港股通创新药ETF华宝 (520880), surged 2.58% in early trading on higher volume.
The CXO giant 药明康德 posted a substantial increase in half-year results, gapping up after the earnings release, with its Hong Kong-listed shares briefly skyrocketing over 14%. CXO concept stocks rallied in tandem, with 金斯瑞生物科技 rising over 10%, while 凯莱英 and 康龙化成 advanced more than 9% and 7%, respectively. The Hong Kong Stock Connect medical ETF 华宝 (159137), which has over 48% exposure to CXO stocks, spiked as much as 5.41%.
On the evening of August 3, 药明康德 disclosed its first-half results, which exceeded market expectations. During the reporting period, the company achieved a net profit attributable to shareholders of the listed company of 11.08 billion yuan, a year-on-year increase of 29.43%. This marks the first time the company's net profit has surpassed the 10 billion yuan threshold in a half-year period. Based on strong first-half performance and a robust order book, 药明康德 fully raised its full-year 2026 performance guidance. It now expects 2026 total revenue to be between 58.5 billion yuan and 60.5 billion yuan, up from the previous range of 51.3 billion yuan to 53 billion yuan. The year-on-year growth rate for revenue from continuing operations has been raised from 18%-22% to 35%-39%.
In its latest weekly industry report, 招商证券 stated that it continues to favor the innovative drug industry trend. The sector has transitioned from early-stage oversold recovery to a phase driven by fundamentals and industry trends, with the impact of market style and capital rotation gradually weakening. With the mid-year reporting season and the anticipated catalyst of innovative drug pipelines approaching, the firm remains bullish on the pharmaceutical sector's outlook. It recommends focusing on overseas-end and R&D-end assets, as well as low-position stocks with improving performance, specifically highlighting innovative drugs, CXO, upstream sectors, and pharmacies.
东北证券 also noted that the core logic remains unchanged: the high prosperity of the overseas innovative drug industry chain continues to transmit, industrial buybacks are forming a solid bottom, and the multi-payment system is gradually improving. The firm continues to view innovative drugs and medical devices as the mid-to-long-term main theme. To invest in the innovative drug industry chain, focus on two T+0 instruments: for pure innovative drug exposure, consider 港股通创新药ETF华宝 (520880), which excludes CXO and is 100% allocated to innovative drug R&D companies, with over 70% of positions in innovative drug leaders. For a combined "Innovative Drugs + CXO" approach, choose 港股通医疗ETF华宝 (159137), which has 48% CXO and 20% innovative drug exposure, with the remaining 30% allocated to medical device and AI medical leader stocks. Data sourced from the Shanghai-Hong Kong-Shenzhen Stock Exchanges, CSI Index Company, and Hang Seng Index Company. Institutional views are from 东北证券 (July 27, 2026, "Northeast Medical and Health Weekly: Continued Bullish on Innovative Drugs and Medical Devices as Mid-to-Long Term Theme; AI Medical Has Entered a Value Realization Window") and 招商证券 (August 2, 2026, "Biomedicine Industry Weekly: Bullish on Pharmaceutical Outlook During Mid-Year Reporting Season; Recommending Innovative Drugs, CXO, Upstream, and Pharmacies"). Note: ETF funds do not charge sales service fees. When investors subscribe or redeem fund shares, the subscription/redemption agency broker may charge a commission of up to 0.5% of the standard rate, which includes fees charged by the stock exchange, registration institution, etc. For fund fee rates, refer to the legal documents of each fund. Risk Warning: The index constituent stocks mentioned are for display purposes only. Individual stock descriptions do not constitute investment advice of any form, nor do they represent the holdings or trading intentions of any fund under the manager's management. The fund manager assesses the risk level of 港股通医疗ETF华宝 and its linked funds, as well as 港股通创新药ETF华宝 and its linked funds, as R4-medium-to-high risk, suitable for aggressive (C4) and above investors. Any information appearing in this article (including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, any form of expression, etc.) is for reference only. Investors must be responsible for any investment decisions made independently. Additionally, any views, analyses, or forecasts in this article do not constitute investment advice of any form to readers, nor are they liable for any direct or indirect losses caused by the use of the content. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Past performance of a fund does not represent its future performance. Fund investment carries risks.