XTALPI (02228) surged 5.04% in intraday trading on Tuesday, extending its strong momentum from the previous session. The rally reflects growing investor optimism around the company's strategic shift toward an AI-driven platform model.

The stock got a boost after the company recently launched its XtalPi Science intelligent platform and co-initiated the "Scientific Intelligence Open Ecosystem Alliance" with 26 institutions. Market expectations are rising for a valuation re-rating as XTALPI transitions from a traditional CRO service provider to an AI platform company. Additionally, JP Morgan initiated coverage with an "Overweight" rating, while Zheshang Securities maintained a "Buy" rating, highlighting that core business revenue grew 65% year-over-year after stripping out a one-time pipeline payment.

The broader Life Sciences Tools & Services sector also strengthened, with peers like PHARMARON and INSILICO advancing, reflecting continued capital inflows into the AI-driven drug discovery theme. Ahead of its board meeting on August 19 to review interim results, the stock has garnered additional attention from investors positioning for the upcoming earnings window.