INSILICO (03696) shares jumped more than 10% in Hong Kong trading, climbing 10.25% to HK$44.54 at the time of writing, with turnover reaching HK$538 million.

The surge comes on the heels of Moderna's and Merck's successful Phase III clinical trial results for their AI-driven mRNA personalized cancer vaccine, which has reignited market enthusiasm for both mRNA technology and AI-powered drug development. INSILICO, recognized as a frontrunner in AI-driven pharmaceutical innovation, has demonstrated a robust model validation and delivery pipeline within the AI4S drug development space.

Adding to the positive momentum, on August 20, INSILICO announced a research collaboration with YUANMA, a next-generation RNA therapeutics company. The partnership will focus on advancing AI-based neoantigen prediction and sequence design, circular mRNA technology, targeted delivery systems, automated experimentation, and intelligent manufacturing, with the goal of building a comprehensive next-generation mRNA AI-native R&D platform.

According to a recent research note from Guotai Junan Securities, multiple molecules developed through INSILICO's Pharma.AI platform have already secured licensing agreements with both domestic and international pharmaceutical firms. Furthermore, the company's MMAIGym initiative is expected to transition its business model from project-based AI drug discovery collaborations to a more scalable platform-driven monetization approach, encompassing model training infrastructure, data and model licensing, and cloud-based access.

Benchmarking against comparable companies, the brokerage has assigned a price-to-sales ratio of 29x for 2026, setting a target price of HK$73.23, and has initiated coverage with an "Overweight" rating.