China's Biotech Is Quietly Eating Big Pharma's Lunch
Warning! GuruFocus has detected 7 Warning Signs with AKESF.
Multinational pharma isn't waiting around. Pfizer (NYSE:PFE) just cut a $1.2 billion upfront deal with 3SBio. Summit Therapeutics paid $500 million for rights to Akeso's cancer therapy. These aren't niche plays they're big bets on the future. And with China's massive patient pool and streamlined hospital network, companies can run trials in half the time (and at a fraction of the cost) compared to the US. That speed lets Chinese firms launch multiple shots on goal and global players are lining up to license the winners. From cell therapies to obesity drugs, the East is becoming the place where the drug pipeline gets built.
But approval is still a long game. US regulators aren't greenlighting drugs based solely on China trial data not yet. And with rising geopolitical tension, some in Washington are sounding alarms over biotech dependencies. Still, the shift is underway. In just five years, the number of top-ranked Chinese drug innovators has quadrupled. Investors watching this space aren't asking whether China will lead the next wave of biotech innovation. They're asking how soon.
This article first appeared on GuruFocus.
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Yahoo
22 minutes ago
- Yahoo
Viking Therapeutics, Inc. (VKTX): A Bull Case Theory
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Yahoo
22 minutes ago
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq trade mixed as Wall Street weighs Google, Tesla earnings
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Economic data: Initial jobless claims (week ending July 19) Chicago Fed national activity index (June); S&P Global US manufacturing PMI (July preliminary); S&P Global US services PMI (July preliminary); S&P global US composite PMI (July preliminary); New home sales (June) Earnings: American Airlines (AAL), Blackstone (BX), Deckers (DECK), Dow (DOW), Honeywell (HON), Intel (INTC), Keurig Dr Pepper (KDP), Nasdaq (NDAQ), Nokia (NOK), Southwest Airlines (LUV), Union Pacific (UNP) Here are some of the biggest stories you may have missed overnight and early this morning: Trump signals baseline hike in 'reciprocal' tariffs to 15% The AI trade hasn't changed for Big Tech — and that's working for them Trump to visit Fed HQ for refurb check as he battles with Powell Keurig Dr Pepper beats estimates but coffee inflation lurks Google beats on earnings, doubles down on AI spending spree Tesla stock sinks after earnings miss, 'rough' patch warning Chipotle plunges after company reports 2nd straight sales decline Goldman's trading desk touts cheap hedges against S&P 500 slide Meme stock rally has investors feeling 'invulnerable' Economic data: Initial jobless claims (week ending July 19) Chicago Fed national activity index (June); S&P Global US manufacturing PMI (July preliminary); S&P Global US services PMI (July preliminary); S&P global US composite PMI (July preliminary); New home sales (June) Earnings: American Airlines (AAL), Blackstone (BX), Deckers (DECK), Dow (DOW), Honeywell (HON), Intel (INTC), Keurig Dr Pepper (KDP), Nasdaq (NDAQ), Nokia (NOK), Southwest Airlines (LUV), Union Pacific (UNP) Here are some of the biggest stories you may have missed overnight and early this morning: Trump signals baseline hike in 'reciprocal' tariffs to 15% The AI trade hasn't changed for Big Tech — and that's working for them Trump to visit Fed HQ for refurb check as he battles with Powell Keurig Dr Pepper beats estimates but coffee inflation lurks Google beats on earnings, doubles down on AI spending spree Tesla stock sinks after earnings miss, 'rough' patch warning Chipotle plunges after company reports 2nd straight sales decline Goldman's trading desk touts cheap hedges against S&P 500 slide Meme stock rally has investors feeling 'invulnerable' Meme stock rally has investors feeling 'invulnerable' Retail investors with an appetite for risk are piling into speculative trades and creating a new roster of meme-stocks, helping power a broader rally in markets, Yahoo Finance's Jake Conley reports: Read more here. 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Trending tickers: Chipotle Mexican Grill, T-mobile and Wolfspeed Here are some top stocks trending on Yahoo Finance in premarket trading: Chipotle Mexican Grill (CMG) stock fell 10% before the bell on Thursday after reporting another quarter of negative sales growth. The fast-casual restaurant chain posted results on Wednesday as it navigates an uncertain consumer environment and as its new leadership deals with the most challenging backdrop in years. T-mobile (TMUS) stock rose 5% premarket on Thursday after beating analyst estimates on Wednesday. The telecom group's CEO Mike Sievert told Yahoo Finance's executive editor Brian Sozzi that the company's steady value messaging is helping it to gain market share. Wolfspeed (WOLF) shares rose 18% before the bell. The chipmaker's stock reacted positively this week to the new US-Japan trade deal and has been up 13% over the last five days. The US-Japan trade deal boosts optimism for Wolfspeed as it supports Renesas' EV chip production, raising hopes for more deals with automakers like Jaguar Land Rover. Here are some top stocks trending on Yahoo Finance in premarket trading: Chipotle Mexican Grill (CMG) stock fell 10% before the bell on Thursday after reporting another quarter of negative sales growth. The fast-casual restaurant chain posted results on Wednesday as it navigates an uncertain consumer environment and as its new leadership deals with the most challenging backdrop in years. T-mobile (TMUS) stock rose 5% premarket on Thursday after beating analyst estimates on Wednesday. The telecom group's CEO Mike Sievert told Yahoo Finance's executive editor Brian Sozzi that the company's steady value messaging is helping it to gain market share. Wolfspeed (WOLF) shares rose 18% before the bell. The chipmaker's stock reacted positively this week to the new US-Japan trade deal and has been up 13% over the last five days. The US-Japan trade deal boosts optimism for Wolfspeed as it supports Renesas' EV chip production, raising hopes for more deals with automakers like Jaguar Land Rover. American Eagle stock soars after-hours in latest meme push Stock in retail giant American Eagle Outfitters, Inc. (AEO) flew up over 25% in after-hours trades overnight Thursday. The individual share price went from $10.82 at close to a peak of $13.80 as of 10:57 p.m. EDT. The jump in value can be attributed to the current meme stock phase that has pushed up value in companies such as Opendoor (OPEN), Krispy Kreme (DNUT), Kohl's (KSS), and GoPro (GPRO) over the past few days. Much of meme-stock mania can be attributed to retail investors making moves in stocks with 'undervalued fundamentals', and the rallying of groups around individual personalities. With this in mind, the release of an ad campaign starring actress Sydney Sweeney has been leapt upon by members of online communities on Reddit and X. Though seen in other companies receiving the benefits of online attention, with Opendoor receiving a 140% increase in retail revenue in the past two weeks, it is unclear whether the increase in stock value will see a corresponding increase in revenue for American Eagle. Stock in retail giant American Eagle Outfitters, Inc. (AEO) flew up over 25% in after-hours trades overnight Thursday. The individual share price went from $10.82 at close to a peak of $13.80 as of 10:57 p.m. EDT. The jump in value can be attributed to the current meme stock phase that has pushed up value in companies such as Opendoor (OPEN), Krispy Kreme (DNUT), Kohl's (KSS), and GoPro (GPRO) over the past few days. Much of meme-stock mania can be attributed to retail investors making moves in stocks with 'undervalued fundamentals', and the rallying of groups around individual personalities. With this in mind, the release of an ad campaign starring actress Sydney Sweeney has been leapt upon by members of online communities on Reddit and X. Though seen in other companies receiving the benefits of online attention, with Opendoor receiving a 140% increase in retail revenue in the past two weeks, it is unclear whether the increase in stock value will see a corresponding increase in revenue for American Eagle. Oil prices rise on trade deal positivity, stockpile reduction Crude oil prices climbed late night Thursday, fueled by hopes for progress in US trade talks and a surprise plunge in American oil stockpiles, easing concerns about global economic slowdown. Reuters reports: Read more here. Crude oil prices climbed late night Thursday, fueled by hopes for progress in US trade talks and a surprise plunge in American oil stockpiles, easing concerns about global economic slowdown. Reuters reports: Read more here. 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Yahoo
22 minutes ago
- Yahoo
US business activity rises; tariffs fuel inflation concerns
By Lucia Mutikani WASHINGTON (Reuters) -U.S. business activity picked up in July, but companies asked higher prices for goods and services, supporting economists' views that inflation will accelerate in the second half of the year mainly because of tariffs on imports. Despite the increase in activity this month, the survey from S&P Global on Thursday also showed sentiment among businesses remained downbeat, which it said "primarily reflected broad-based concerns over tariffs and cuts to state funding following recent federal government policy changes." Consumer prices increased by the most in five months in June, with solid rises in the costs of tariff-exposed goods like household furnishings and supplies, appliances, sporting goods and toys, signaling that President Donald Trump's broad import duties were starting to have an impact on inflation. S&P Global's flash U.S. Composite PMI Output Index, which tracks the manufacturing and services sectors, increased to 54.6 this month, the highest level since December, from 52.9 in June. A reading above 50 indicates expansion in the private sector. The improvement came from the services sector, where the flash PMI surged to 55.2 from 52.9 in June. Economists polled by Reuters had forecast the services PMI inching up to 53.0. The survey's flash manufacturing PMI dropped to 49.5, the first contraction since December, from 52.9 in June. Manufacturing received a bump from front-loading of activity ahead of tariffs as well as from the protectionist nature of the duties. But S&P Global noted that "any protectionist benefits of import tariffs were often outweighed by concerns over higher prices and rising costs." Economists polled had forecast the manufacturing PMI easing to 52.7. HIGHER PRICES The survey's measure of prices paid by businesses for inputs edged up to 61.9 from 61.2 in June. The price gauge for services inputs jumped to 61.4 from 59.7 in June. While the pace of price rises for manufacturing inputs slowed, nearly two-thirds of manufacturers in the survey reporting higher costs attributed those to tariffs. The survey's measure of prices charged by businesses for goods and services ticked up to 58.6 from 58.1 in June. The prices charged gauge for services increased to 58.2 from 57.2 in June. About 40% of service providers reporting higher selling prices explicitly mentioned tariffs, while just under half of their counterparts in manufacturing blamed the import duties. The increase in business activity and elevated price gauges at face value argue against the Federal Reserve resuming interest rate cuts this month. Trump is demanding the U.S. central bank reduce borrowing costs, citing among others the struggling housing market. The Fed is expected to keep its benchmark overnight interest rate in the 4.25%-4.50% range, where it has been since December, when it meets later this month. "The rise in selling prices for goods and services in July, which was one of the largest seen over the past three years, suggests that consumer price inflation will rise further above the Fed's 2% target in the coming months as these price hikes feed through to households," said Chris Williamson, chief business economist at S&P Global Market Intelligence. The survey also suggested the labor market remained stable early in the third quarter, though factories shed jobs. New orders received by businesses increased this month, though both goods and services exports declined. The weakness is likely because of trade tensions and the Trump administration's immigration crackdown. Data and anecdotal evidence have shown fewer tourists visiting this year.
