DIAGENS-B (02526) saw its shares climb nearly 9% during Tuesday morning trading, with gains reaching 8.24% to HK$473 at the time of writing, on a turnover of HK$11.665 million.

The company has been selected by Hang Seng Indexes Company as a constituent of 23 Hang Seng indexes, including the Hang Seng Composite Index and the Hang Seng Biotechnology Index, effective September 7 and September 14 respectively. It also joins the Hang Seng Stock Connect AI Theme Index, which takes effect on September 14 as well.

Notably, the company has now met the criteria for inclusion in the Stock Connect scheme's southbound trading. What sets this apart is that DIAGENS-B is the sole company added to the Hang Seng Biotechnology Index in this round of index rebalancing, underscoring the market's strong recognition of its technological capabilities and industry standing in the AI-powered healthcare sector.

In a recent research report, Kaiyuan Securities highlighted that DIAGENS-B is actively advancing its iMedImage® medical imaging foundation model, transitioning its business model from traditional medical imaging software to an AI healthcare platform. The firm believes the company is well-positioned to benefit from the rising adoption of AI in healthcare and the commercial deployment of large language models.

The brokerage projects the company's revenue to reach RMB 490 million, RMB 930 million, and RMB 1.72 billion for the fiscal years 2026 through 2028, initiating coverage with a "Buy" rating. Given that DIAGENS-B generated revenue of RMB 164 million in 2025, these projections imply a tenfold increase in revenue over the next three years.