China Fund News reporter Guo Minjun
On February 15, on the second trading day of the Year of the Dragon, the three major indexes of Hong Kong stocks were once again in the red. At the close, Hong Kong's Hang Seng Index rose 0.41% to 15,944.63 points, the Hang Seng Tech Index rose 0.79% to 3,223.1 points, and the Hang Seng China Enterprises Index rose 0.46% to 5,410.94 points. The market turnover was 47.017 billion Hong Kong dollars.
Consumer stocks and technology stocks were among the top gainers. Li Ning rose 5.58%, JD.com Group rose 2.41%, and Lenovo Group rose 2.21%, leading the blue chips.
Technology stocks performed eye-catchingly, with GDS up 7.30%, Weibo up 4.51%, and NIO up 3.92%.
In terms of declines, China Resources Vientiane Life fell 2.53%, WuXi Biologics fell 1.91%, and Tencent Holdings fell 1.59%, leading the blue-chip decline.
In terms of industry performance, according to Wind information, the lottery industry index rose 4.28%, the LED lighting index rose 4.24%, and the Chinese-funded education index rose 3.37%, leading the Hang Seng major industry indexes.
The Internet Finance Index fell 2.58%, the Virtual Reality Index fell 2.42%, and the E-sports Index fell 1.98%, leading the declines in various industry indices.
Xinshi Culture soared by more than 40%
Film and television media stocks are flying
The total box office of Spring Festival movies entered the top three in Chinese film history, and film and television media stocks rose sharply. Xinshi Culture rose 43.48%, leading the rise in Wind Hong Kong's media industry constituents.
In addition, Huitao Group rose 30.30%, Shida Holdings rose 16.28%, Dadi International Group rose 10.00%, and Shaw Brothers Holdings rose 5.56%.
According to the data of Maoyan Professional Edition, as of 13:19 on February 15, the total box office of Spring Festival movies in 2024 exceeded 6.2 billion yuan, which has surpassed the 2022 Spring Festival file and entered the top three Spring Festival box office in Chinese film history.
Huaxin Securities research report pointed out that the cinema film market is an industry that creates demand for supply, and the emotional heat brought by the short-term single-film finalization is the turning point of single-screen output in the medium term. Huaxin Securities believes that it can pay attention to the cinema sector (Hengdian Film and Television, Bona Film, Wanda Film, etc.) after the recovery of the overall content β, and the content supply α help the flexibility of follow-up products such as Huace Film and Television, Guangguang Media, Huaqiang Fangte, China Film, China Confucianism, Maoyan, Huanxi Media, etc., and in the long run, under the cultural power and film power, the branded cinema chain companies will continue to increase their market share.
Consumption of catering, accommodation and other expenses during the Spring Festival increased by more than 20%
Consumer stocks rose
On February 15, driven by the sharp increase in consumption during the Spring Festival, consumer stocks in the Hong Kong market rose.
Consumer discretionary stocks surged higher. Tongdao Liepin rose 14.18%, NagaWorld Holdings rose 6.38%, and China Education Holdings rose 6.12%, leading the rise in the constituent stocks of the Hang Seng Consumer Discretionary Industry Index.
Consumer staples stocks also rose. Weilong Flavor rose 8.58%, Huabao International rose 5.21%, and Uni-President China rose 1.81%, leading the rise in the constituent stocks of the Hang Seng Consumer Staples Index.
On February 15, according to CCTV News, data from the People's Bank of China showed that the industry-wide online payment transactions processed by the Netlink Clearing Company and China UnionPay continued to grow. From the Chinese New Year's Eve of the Spring Festival to the fifth day of the Lunar New Year, a total of 15.38 billion transactions were processed, amounting to 7.74 trillion yuan, an increase of 15.8% and 10.1% year-on-year, respectively. Among them, consumption scenarios such as catering, accommodation, tourism, retail, and film and television entertainment are particularly favored, with a year-on-year increase of more than 20%.
In addition, data from the 2024 Comprehensive Transport Spring Festival Work Team shows that on February 14 (the 20th day of the Spring Festival, the fifth day of the first lunar month), the cross-regional flow of people in the whole society was 306.99 million, an increase of 1.9% month-on-month, an increase of 10.2% over the same period in 2023, and an increase of 24.4% over the same period in 2019.
Li Ning rose by more than 6%, leading the rise of a number of sports brands
On February 15, the share price of Li Ning, one of China's leading sports brand enterprises, rose 6.36% to close at HK$20.25, up 5.58%. The stock price has rebounded more than 36% from the new intraday low set on January 22, basically recovering all the losses since the beginning of the year.
Morgan Stanley recently issued a report saying that the market's sentiment towards Li Ning is improving, believing that the stock will have a "U-shaped" recovery, although the data in the first half of the year is weak, but the second half of the year will be reversed, the worst has passed, and the improvement in business conditions will attract more long-term investors.
Previously, Guosen Securities released a research report saying that the business environment in the second half of 2023 was not good, and Li Ning actively reduced channel inventory and strictly controlled wholesale shipments, which had an impact on revenue in the second half of the year, and the gross profit margin is expected to remain relatively stable due to controllable retail discounts.
Guosen Securities expects that by the end of 2023, the company's channel inventory-to-sales ratio will return to a healthier level, and in 2024, the company is expected to resume steady growth and restore profitability under favorable factors such as healthy inventory levels, year-on-year improvement in retail discounts and the end of the large store investment period. Guosen Securities said that in the medium and long term, the company's sales of a number of running shoes with a sales volume of one million doubles appeared, forming a professional product matrix, proving that the brand's professionalism has been highly recognized by the market, and it continues to be optimistic about the growth of professional categories.
In addition to Li Ning, other sports brand stocks also rose in different ranges. Wisdom Sports rose 3.33%, Anta Sports rose 1.93%, and Xtep International rose 1.76%.
According to the latest research report of QYResearch, a consulting company, the global sports and fitness apparel market is expected to reach $417.62 billion in 2029, with a compound annual growth rate of 4.15% in the next few years.
According to the QYResearch report, three Chinese brands, Anta, Li Ning and Xtep, have entered the top 15 in the global sports and fitness apparel market in terms of market share.
Editor: Captain
Review: Xu Wen