The pharmaceutical sector has shown renewed strength recently, with two established drug companies hitting the daily trading limit for two consecutive sessions. Following the close of trading on September 22, the peer companies Xinhua Pharmaceutical (SZ: 000756, share price 16.14 yuan, market cap 11.2 billion yuan) and Harbin Pharmaceutical Group (SH: 600664, share price 9.08 yuan, market cap 22.9 billion yuan) each released announcements regarding unusual stock trading fluctuations, providing explanations for the recent consecutive price surges.
As of September 22, Xinhua Pharmaceutical saw the cumulative deviation of its closing price gains over three consecutive trading days reach 20%, while Harbin Pharmaceutical Group recorded a cumulative deviation of 20% over two consecutive trading days. Both companies stated in their announcements that, after self-inspection, no significant changes have occurred in their fundamentals, and there is no undisclosed material information that should have been reported. Both firms also reminded investors to be mindful of the risks associated with secondary market stock price volatility and to make decisions rationally.
Harbin Pharmaceutical Group Triggers Volatility Alert After Two Consecutive Limit-Ups
Harbin Pharmaceutical Group disclosed that over the two consecutive trading days of September 21 and September 22, the cumulative deviation of its daily closing price gains exceeded 20%, meeting the criteria for unusual stock trading fluctuations. Over the past two days, its share price has hit the daily limit consecutively, with a cumulative gain of 21.07%. During the most recent three trading days, the stock's turnover rates were 20.13%, 7.70%, and 12.24%, respectively. As of the close on September 21, the static price-to-earnings ratio for the pharmaceutical manufacturing industry (C27) stood at 27.66 times, while Harbin Pharmaceutical Group's static P/E ratio was 57.46 times, significantly higher than the industry average. The company noted that its stock price has risen sharply in the short term, outpacing both the industry and the Shanghai Composite Index, and that trading risks are currently elevated, including the possibility of a rapid decline and potential irrational speculative activity.
In response to the unusual stock movement, Harbin Pharmaceutical Group stated that its fundamentals have not changed materially, operations remain normal, and the internal and external business environment has seen no significant shifts. The company also reviewed its recent key disclosures: on July 14, it announced adjustments to its product listings in the National Essential Medicines List, with six varieties added and one removed for the company and its subsidiaries. On August 4, it reported that its subsidiaries' products, including Ceftazidime Avibactam Sodium for Injection and Vonoprazan Fumarate Tablets, were provisionally selected in the 12th national centralized drug procurement. For the first half of 2026, Harbin Pharmaceutical Group posted operating revenue of 8.296 billion yuan, up 2.10% year-over-year, and net profit attributable to shareholders of 410 million yuan, up 57.99% year-over-year.
Pharmaceutical Sector Shows Broad Strength Recently
Xinhua Pharmaceutical shares recorded cumulative closing price gain deviations of 20% across three consecutive trading days from September 18, September 21, and September 22, with limit-ups on the 21st and 22nd and a 4.55% gain on the 18th. After review, the company confirmed that no corrections or supplements to previously disclosed information are needed, and that recent operations and the business environment have not undergone significant changes. Xinhua Pharmaceutical also highlighted its recent wave of drug registration and consistency evaluation progress: on September 21, it disclosed announcements regarding the receipt of drug registration certificates for Magnesium Sulfate, Sodium Sulfate, and Potassium Sulfate Oral Concentrated Solution, Donepezil Hydrochloride Orally Disintegrating Tablets from a subsidiary, and Levocarnitine Oral Solution. On September 1, the company announced that Azithromycin Tablets passed the generic drug consistency evaluation. Xinhua Pharmaceutical stated that no other material information that could significantly impact its share price has been identified.
From a sector perspective, the broader pharmaceutical industry has strengthened over the past three trading days. According to the Shenwan Pharmaceutical and Biological Index (801150), the index rose 0.96% on September 18, 3.59% on September 21, and 0.28% on September 22, marking three consecutive session gains and providing a supportive backdrop for the recent rally in pharmaceutical stocks.
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