Futu News reported on February 13 that all three major Hong Kong stock indices fell. $Hang Seng Index (800000.HK)$Down 0.20%. $Hang Seng TECH Index (800700.HK)$Down 0.87%. $Hang Seng China Enterprises Index (800100.HK)$Down 0.69%.
As of the close, 676 Hong Kong stocks rose, 1,387 fell, and 1,030 remained unchanged.
The specific industry performance is shown in the picture below:
In terms of sectors, Network Technology stocks showed mixed results, KUAISHOU-W rose by 6.31%, JD-SW rose by 5.74%, XIAOMI-W fell by 5.56%, JD-SW fell by 2.95%, MEITUAN-W rose by 2.90%, Alibaba-W rose by 2.55%, SenseTime-W fell by 1.74%, and TENCENT fell by 0.50%.
Digital Health stocks showed mixed results, ALI HEALTH rose by 3.86%, Dingdang Health rose by 1.02%, JD HEALTH rose by 0.15%, Dingdang Health rose by 1.02%, and ZA ONLINE fell by 0.81%.
Apple Supplier stocks generally fell, BYD Electronics fell by 7.59%, AAC TECH fell by 4.81%, COWELL fell by 3.87%, Q TECH fell by 3.26%, VSTECS fell by 2.39%, FIH fell by 2.25%, and SUNNY OPTICAL fell by 1.41%.
Most semiconductor stocks fell, SHANGHAI FUDAN fell by 8.03%, HG SEMI fell by 6.35%, CE HUADA TECH fell by 5.76%, SOLOMON SYSTECH fell by 5.36%, HUA HONG SEMI fell by 5.23%, Semiconductor Manufacturing International Corporation fell by 4.07%, InnoCare Pharma fell by 4.05%, and Becker Micro rose by 1.17%.
Many Lithium Battery stocks declined, LEOCH INT'L rose by 14.11%, BYD Electronics fell by 7.59%, BYD Company fell by 3.69%, GANFENGLITHIUM fell by 3.02%, TIANNENG POWER fell by 2.43%, and Zhongchao Innovation rose by 1.36%, CHAOWEI POWER fell by 0.68%, while TIANNENG POWER rose by 0.26%.
Many Securities and Brokerage stocks declined, China International Capital Corporation fell by 5.57%, SWHY fell by 5.49%, China Merchants fell by 5.15%, China Galaxy fell by 4.44%, CSC fell by 4.42%, GF SEC fell by 4.06%, HTSC fell by 3.19%, and GTJA fell by 2.35%.
Automobile stocks generally fell, Great Wall Motor fell by 4.40%, LEAPMOTOR fell by 3.84%, BYD Company fell by 3.69%, Geely Auto fell by 3.06%, LI Auto-W fell by 2.97%, Xpeng Motors-W fell by 2.81%, YADEA fell by 1.66%, and NIO-SW rose by 0.62%.
In terms of individual stocks,$LAOPU GOLD (06181.HK)$Up 5.21%, there is a queuing frenzy at offline stores, and multiple major banks have adjusted their Target Price upwards.
$MEITUAN-W (03690.HK)$Up by 2.9%, Citigroup states that dining merchants still rely on the MEITUAN platform, and its Keeta has begun the globalization process.
$ENN ENERGY (02688.HK)$Up 2.5%, Morgan Stanley expects that the implementation of tariffs on LNG imported from the U.S. will have a neutral impact on the company.
$SHENZHOU INTL (02313.HK)$Up 1.37%, Morgan Stanley expects the company's shipment volume in the second half of 2024 to increase by 15% year-on-year.
$ALI HEALTH (00241.HK)$Up 3.86%, AI is expected to empower online consultations and health management.
$BILIBILI-W (09626.HK)$Up 5.65%, results will be disclosed next week, and Citi expects strong growth in gaming and advertising last quarter.
$BABA-W (09988.HK)$Up 2.55%, the stock price has risen over 40% this year, and it is reported to develop AI features for the iPhone in China.
Top 10 transaction amounts today.
Hong Kong Stock Connect funds.
Regarding the Hong Kong Stock Connect, today there was a net outflow of 1.024 billion Hong Kong dollars.
Institutional Views
Morgan Stanley: Raising the target price for MEITU to 5.4 Hong Kong dollars, benefiting from continuous AI monetization efforts.
Morgan Stanley published a research report indicating that $MEITU (01357.HK)$ Driven by the growth of subscription revenue stimulated by AI and improved operational leverage, last year's earnings further saw strong growth. Excluding one-time gains from the disposal of Cryptos, the group preliminarily estimates that its adjusted net income last year will increase by 52% to 60% year-on-year, estimated at a midpoint of 0.575 billion yuan, which is also higher than Morgan Stanley's forecast and the company's guidance.
Morgan Stanley believes that with the boost from DeepSeek, the lower AI model inference costs should further improve MEITU's subscription revenue gross margin. The bank raised the group's adjusted net income forecasts for 2024 and 2025 by 5% and 8.7%, and also increased the adjusted net income forecast for 2026 by 9% to 1.08 billion yuan. The bank pointed out that MEITU benefits from overseas expansion, especially with the launch of X-design at the end of 2024, and is expected to achieve a 19% compound annual growth rate in adjusted net income between 2026 and 2029. Benefiting from continuous AI monetization efforts, the bank raised the group's target price by 20%, from 4.5 Hong Kong dollars to 5.4 Hong Kong dollars, maintaining a 'Buy' rating.
Citi: BYD's rising ADAS penetration rate will help boost orders, maintaining a 'Buy' rating.
Citi published a report stating that $BYD COMPANY (01211.HK)$ an Advanced Driver Assistance System (ADAS) event was held yesterday, overall meeting the bank's expectations. During the event, BYD incorporated the ADAS feature 'God's Eye' into models priced as low as 0.0788 million yuan, and included it as standard equipment in models priced between 0.1 million and 0.15 million yuan.
The bank expects that the rise in ADAS penetration rate will help boost orders, leverage cost advantages of ADAS hardware, and enhance vehicle ownership experience through the iteration of databases and algorithms based on ADAS. The bank gives it a 'Buy' rating with a target price of 500 HKD.
Citi: It is expected that this year's trade-in plan may increase to 300 billion yuan, maintaining a 'Buy' rating for HAIER SMARTHOME, Midea Group Co., Ltd, and Gree Electric Appliances, Inc.of Zhuhai.
Citi published a report stating that the State Council held a meeting on February 10 to discuss measures to stimulate consumption. The bank's China economic team expects that this year's trade-in plan could double to 300 billion yuan (compared to the 150 billion yuan subsidy from July to December 2024), and believes that the new round of subsidies may be announced as early as the two sessions in March. Citi believes that these subsequent subsidies should complement the first batch of trade-in subsidies announced by the government on January 8.
The new trade-in subsidies expected to be announced in March are anticipated to support major home appliance companies' sales growth in the second quarter of this year, further alleviating investors' concerns about the slowdown in sales growth for home appliance companies after the first quarter of this year. The bank maintains its $HAIER SMARTHOME (06690.HK)$ 、 $MIDEA GROUP (00300.HK)$ And the 'Buy' rating for Gree Electric Appliances, Inc. of Zhuhai.
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