CICC has published a research report maintaining an "Outperform" rating on HUTCHMED (00013) while raising its price target by 7.7% to HK$28. Following the transaction closing this year, the firm has adjusted its revenue recognition timeline for 2026 and 2027, increasing its 2026 net profit forecast by 41% to $78.07 million, while reducing the 2027 projection by 25% to $66.38 million.

HUTCHMED recently announced an exclusive development and licensing agreement with GlaxoSmithKline (GSK), granting GSK worldwide rights to develop and commercialize HMPL-A830, excluding mainland China. The company will receive an upfront payment of $110 million and could earn up to $1.185 billion in research, regulatory, and commercial milestone payments, along with tiered royalties based on annual net sales.

CICC notes that HMPL-A830 is HUTCHMED's first-in-class KRAS-EGFR antibody-targeted toxin conjugate (ATTC). Future clinical development will initially focus on colorectal cancer, pancreatic cancer, and lung cancer indications. HUTCHMED will lead the global Phase I trial, expected to begin in the second half of 2026. The firm views GSK as a strong partner and believes the ATTC platform has gained endorsement from a multinational pharmaceutical company, adding that beyond HMPL-A830, the PI3K/PIKK pipeline also holds potential.