Jiankangyuan NS-041 Approved for Clinical Trials in Depression: Analysis of Valuation and Growth Potential

NS-041 tablet is a new type of highly selective KCNQ2/3 agonist, which has been approved to conduct clinical research on epilepsy and depression simultaneously, making it the only such drug in China [0]. Depression is one of the leading causes of disability globally, with over 280 million patients worldwide; approximately half do not respond to first-line treatments, indicating a huge unmet need [1][2].

Jiankangyuan’s current market capitalization is approximately USD 21.4 billion, with a PE ratio of 15.67x and PB ratio of 1.44x, indicating a relatively reasonable valuation [0]. No KCNQ2/3-targeted drugs have been launched in China yet, so NS-041 has a first-mover competitive advantage.

The failure rate of phase II/III trials for CNS drugs is approximately 85%, and multiple depression drug trials failed in 2025 [3]. NS-041 needs to complete multi-phase clinical trials and pass regulatory approval; it is still several years away from launch, with significant uncertainty.

• R&D uncertainty as core constraint
  : High failure rates and long cycles mean NS-041 is unlikely to have a substantial impact on the company’s performance in the short term; R&D progress needs to be evaluated carefully.
• Value of being the only one in China
  : As the first KCNQ2/3-targeted drug in China that is simultaneously being developed for epilepsy and depression, if successfully launched, it will fill the market gap and benefit from unmet needs.
• Lag in valuation impact
  : The current valuation already reflects the fundamentals of existing businesses; the positive impact of NS-041 will gradually manifest after key progress is made in clinical trials.

• Risk of clinical trial failure: CNS drug R&D has a high failure rate; caution is needed regarding safety or efficacy not meeting expectations [3].
• Change in competitive landscape: Other companies may launch similar drugs into clinical trials in the future, weakening the first-mover advantage.
• Regulatory approval uncertainty: The regulatory approval process may be delayed, affecting the launch time.

• Huge market demand: The unmet need in depression treatment is vast; successful launch will bring significant revenue potential.
• Value of technology platform: Validation of KCNQ2/3 targeting technology will enhance the company’s R&D capabilities in the central nervous system field.

The approval of Jiankangyuan’s NS-041 tablet for clinical trials in depression marks an important progress for the company in the central nervous system drug field. Although the drug is still a long way from launch and has R&D risks, its status as the only one in China and the huge demand in the depression market give it the potential to become a future growth engine for the company. Investors should pay attention to subsequent clinical trial data to evaluate its true value.