Sector Update: Healthcare Stocks Gain Late Afternoon

03:57 PM EDT, 10/15/2026 (MT Newswires) -- Healthcare stocks rose late Thursday afternoon, with the NYSE Healthcare Index rising 2.3% and the State Street Health Care Select Sector SPDR ETF (XLV) gaining 2.1%. The iShares Biotechnology ETF (IBB) climbed up 2.5%. In sector news, KKR-backed (KKR) Catalio Capital Management is planning to raise $500 million for AI-focused healthcare startups, Bloomberg reported. Catalio accelerated the launch of its Nexus V fund from 2027 to capitalize on opportunities in AI-driven healthcare innovation, according to a letter to investors viewed by Bloomberg. In corporate news, Sanofi (SNY) shares added 1.3% after it said Thursday it completed negotiations with the pan-Canadian Pharmaceutical Alliance and signed a letter of intent covering Dupixent for four additional indications. Astrazeneca (AZN) shares added over 3% after the company said it has signed a drug discovery and licensing deal with Insitro to develop treatments for fatty liver disease and heart muscle disorders. Adlai Nortye (ANL) shares jumped past 11% after it said Thursday it has signed clinical trial collaboration and supply agreements with Eli Lilly (LLY) and Merck KGaA to evaluate its investigational cancer drug AN4035 plus cetuximab. Verastem's (VSTM) G12D drug showed promising efficacy in pancreatic cancer, while its shares remain undervalued, RBC said in a note. RBC raised its price target to $19 from $14, with an outperform rating. Its shares surged nearly 19%.