① Which Hong Kong Technology stocks have been significantly shorted by short sellers recently? ② How do institutions view the subsequent performance?
According to the Financial Association on May 19 (edited by Hu Jiarong), the Hong Kong stock market started the day slightly down, with market sentiment becoming cautious. Notably, according to the short selling data released last Friday (May 16), multiple Technology stocks have seen significant short selling increases.
Specific data shows that in the past three trading days (from May 14 to May 16), the changes in short selling shares of major Technology stocks are as follows:
Meituan: Short selling shares surged from 6.0885 million shares on the 14th to 12.1113 million shares on the 16th, nearly doubling.
Alibaba: Short selling shares increased from 8.7743 million shares on the 14th to 11.046 million shares on the 16th, a growth of about 26%.
NetEase: Short selling shares skyrocketed from 0.6698 million shares on the 14th to 2.6119 million shares on the 16th, an increase of as much as 290%.
Kuaishou: Short selling shares rose from 6.5057 million shares on the 14th to 8.6212 million shares on the 16th, an increase of about 32.5%.
In contrast to the aforementioned Technology stocks, the short selling pressure on TENCENT has eased, with short selling shares decreasing from 2.7363 million shares on the 14th to 1.7645 million shares on the 16th, a decrease of about 35.5%.
How do Institutions view the future market performance?
Although there was a slight adjustment in today's morning session, China Galaxy pointed out that the domestic interest rate cuts and reserve requirement ratio cuts have been implemented, fiscal policies continue to exert force, and the effects of these policies will gradually become apparent, which is expected to boost the profit performance of Hong Kong stocks. Currently, Hong Kong stock valuations are at historical average levels. Looking ahead, in the short term, China Galaxy recommends focusing on: the foreign trade Sector that benefits from the easing of China-US relations; the investment and Consumer Sector that benefits from policies aimed at expanding domestic demand; and the Sector benefiting from new regulations on significant asset restructuring of listed companies, mainly including central SOEs and Technology enterprises.
The Brokerage also pointed out that the US and China still reserve the right to impose a 10% tariff as a Strategic deterrent, and that structural tariffs on certain Industries have not yet been reached, indicating that there is still significant uncertainty in future China-US trade relations.
