Asia Pacific Equity Research

Research evidence excerpt

Asia Pacific Equity Research

J P M O R G A N Asia Pacific Equity Research

01 August 2026

Pharmaceutical Sector Weekly

July 27-31: Apr-Jun results

The pharmaceuticals sector fell 3.3% WoW the week of July 27–31, Japan Equity Research

underperforming TOPIX (−0.2% WoW). Several pharmaceutical companies

Biotechnology & Pharmaceuticals/

reported Apr-Jun results on Friday (see our reports for Takeda Pharmaceutical, Medical Technologies & Services

July 30; Ono Pharmaceutical, July 31; Daiichi Sankyo, July 31; Otsuka Holdings, AC Seiji Wakao, Ph.D.

July 31); and Sumitomo Pharma, July 31), but the overall sector was sold while

(81-3) 6736-8612

AI-related stocks rebounded sharply on a pause in the decline in semiconductor seiji.wakao@jpmorgan.com

stocks and the passing of key events, including hyperscaler results. For weekly Yugo R. Kamimura, Ph.D.

performance, Eisai and Shionogi increased on positive catalysts from overseas (81-3) 6736-8635

results, but share prices fell sharply at Nippon Shinyaku after an FDA advisory yugo.kamimura@jpmorgan.com

committee expressed a negative opinion on deramiocel, and at Daiichi Sankyo on Naoko Saito

a negative view of results. Otsuka Holdings reported good 1H results, and buying (81-3) 6736-8693

resumed after the results announcement even though market sentiment was poor naoko.saito@jpmorgan.com

(Otsuka closed down 1.8% on July 31, versus a sector decline of 3.9%). Going JPMorgan Securities Japan Co., Ltd.

forward, we believe a resumption of the AI rally could serve as a headwind for the

pharmaceutical sector, but fundamentals have been generally good in results thus

far, and we expect to see pharmaceutical sector rerating in the second half of the

year. See our Apr-Jun earnings outlook here. Figures 8-9 show the Apr-Jun results

calendar.