Hong Kong pharmaceutical stocks accelerated their decline during afternoon trading on February 26, with innovative drug industry chain stocks leading the downturn. The Huabao Hang Seng Hong Kong Stock Connect Innovative Drug Selection ETF (520880) and Huaxia CSI Hong Kong Stock Connect Medical Theme ETF (159137) both fell over 2%, while their on-market premiums rose simultaneously, indicating potential bottom-fishing activity by investors.
Among individual stocks, heavyweight leader BEIGENE dropped more than 6%, ranking as the top decliner. The company is scheduled to release its 2025 financial report today. As a leading enterprise in the innovative drug sector, BEIGENE is a constituent stock of both the Huabao Hang Seng Hong Kong Stock Connect Innovative Drug Selection ETF (520880) and Huaxia CSI Hong Kong Stock Connect Medical Theme ETF (159137), with weightings of 11.27% and 2.13% respectively.
Analysis suggests Chinese innovative drugs are undergoing an international transition from "scale accumulation" to "value realization," while continuously entering a commercialization phase shifting from "pipeline expectations" to "performance delivery." The innovative drug sector has already experienced two quarters of correction. From a long-term perspective, many high-quality stocks show significant valuation advantages at current levels, warranting increased attention.
Capturing opportunities in Hong Kong pharmaceutical stocks at low levels can be efficiently achieved through ETFs, which offer high flexibility and T+0 trading. For innovative drug exposure, consider the Huabao Hang Seng Hong Kong Stock Connect Innovative Drug Selection ETF (520880) and its off-market feeder fund (025221), providing 100% allocation to innovative drug R&D companies with top ten holdings exceeding 70% concentration, highlighting strong leadership characteristics. For broader healthcare exposure, the Huaxia CSI Hong Kong Stock Connect Medical Theme ETF (159137) focuses on medical innovation, encompassing hot concepts like brain-computer interfaces, AI healthcare, and online pharmacies, while covering leaders across the entire innovative drug industry chain.
MACD golden cross signals have formed, indicating positive momentum for several stocks.