On August 14th, Futu News reported that the three major stock indices in the Hong Kong stock market opened higher and then fell, showing a weak trend throughout the day, and trading in the market continued to shrink. By the close, the Hang Seng Index and the National Index fell by 0.35% and 0.4%, respectively. The Hang Seng Technology Index fell the most during the afternoon, down 1.3%, and eventually closed down 0.99%.
![](https://postimg.futunn.com/news-editor-imgs/20240814/public/1723623069143592590836.png)
By the close, 694 Hong Kong stocks rose, 1099 fell, and 1269 were flat.
The specific industry performance is shown in the following figure:
![](https://postimg.futunn.com/news-editor-imgs/20240814/public/17236231191569803426542.jpeg)
In terms of sectors, network technology stocks are weak, Tencent Music-SW fell 18.13%, NetEase-S fell 3.88%, Ctrip-S fell 1.87%, Kuaishou-W fell 1.33%, Tencent Holdings fell 1.27%, Meituan-W fell 1.26%, Alibaba-SW fell 0.45%.
Biotechnology stocks fell across the board, Tigermed fell by 7.07%, WuXi Bio fell by 4.27%, WuXi AppTec fell by 4.04%, Genscript Bio fell by 3.76%, Akeso fell by 2.47%, Juzi Bio fell by 2.39%, and Beigene fell by 2.11%.
Most pharmaceutical stocks are down, Hutchmed (China) fell by 4.42%, Pharmaron fell by 4.26%, Hansoh Pharma fell by 3.70%, Sino Biopharmaceutical rose by 2.37%, Innovent Bio fell by 2.26%, and Luye Pharma fell by 2.08%.
Mainland real estate stocks are down, Longfor Group fell by 3.06%, Sunac China fell by 2.91%, Yuexiu Property fell by 1.81%, China Vanke fell by 1.47%, Seazen fell by 1.39%, and Greentown China fell by 1.32%.
In terms of individual stocks,$QUANTUMPH-P (02228.HK)$ Up nearly 17%, the company has reached a technical cooperation agreement with N1 Life, and CICC said the company is expected to enter the Hong Kong stock connect program.
$WH GROUP (00288.HK)$ Up more than 8%, the mid-term net profit was $784 million, an increase of 86.67% year-on-year.
$CTG DUTY-FREE (01880.HK)$ Down more than 3%, it was removed from the MSCI China Index, and the company's net profit declined in the first half of the year.
$MMG (01208.HK)$ After the release of the half-year performance, the stock fell nearly 7%, achieving a profit in the first half of the year and not paying a mid-term dividend.
$EAST BUY (01797.HK)$ Down more than 8%, Dongfang Selection has caused controversy again, and Jiang Xiaobai said it did not accept the apology from Dongfang Selection's anchor.
$TME-SW (01698.HK)$ Down more than 18%, Q2 revenue fell slightly year-on-year, and there may be uncertainty in the growth of music subscription revenue in the future.
TOP 10 trading volume today
![](https://postimg.futunn.com/news-editor-imgs/20240814/public/17236231504808231600955.jpeg)
Hong Kong Stock Connect Fund
Regarding the Hong Kong Stock Connect, the net outflow from the Hong Kong Stock Connect (Southbound) today was HKD 1.042 billion.
![](https://postimg.futunn.com/news-editor-imgs/20240814/public/17236231348125586679088.png)
Institutional perspective
Morgan Stanley: Profit forecast raised and buyback of shares boost bullish outlook for Chinese stocks in the second half.
Liu Mingdi, Managing Director and Chief Asian & Chinese Equity Strategist of JPMorgan, believes that although the business cycle is still weak, corporate profits have improved slightly. From July to August, the earnings forecast per share of MSCI China Index increased by 1.2%. In the past 7 months, companies spent 26 billion U.S. dollars on buybacks. In addition, regulatory policies are directionally correct, which is conducive to the future performance of Chinese stocks in the second half of the year.
Goldman Sachs: Maintains a "buy" rating on Tencent Music-SW and a target price of HKD 55.1.
Goldman Sachs released a research report stating that it maintains a "buy" rating, and the transformation of Tencent Music's growth momentum may cause some investors to worry about multiple contractions, but it is bullish on its long-term growth prospects. Its income forecast for 2024 to 2026 has been lowered by 3% to 7%, and its target price has been lowered by 11% to HKD 55.1. Tencent Music's second-quarter results met expectations, but the outlook for the second half of the year to 2025 is different. The management team lowered its quarterly net new user guidance from the original 3 million level to 1.5 million to 2 million, and hopes to increase the monthly ARPPU by higher-priced Super VIP services to maintain the group's revenue target. $TME-SW (01698.HK)$ UBS: Maintains a "buy" rating on WH Group and a target price of HKD 6.5.
UBS released a research report stating that it maintains a "buy" rating on
UBS released a research report stating that it maintains... $WH GROUP (00288.HK)$ Rated as "buy", expecting a positive market reaction to the company's business, raising its pure profit forecast for the next two years by 3% and 1% respectively, with a target price of HKD6.5, while reiterating its position as the industry's top pick. The report stated that the company's sales in the first half of the year fell by 6% YoY to USD12.293 billion, while net profit increased by 81% to USD0.694 billion, reflecting a YoY drop of 4% and an increase of 88% in sales and net profit respectively in the second quarter. The results of the second quarter surpassed the market and the bank's expectations, despite the weaker performance of the Mainland China business. The stronger-than-expected US business and the outstanding performance of the European business drove the quarterly performance.
Editor/Feynman