China Fund News reporter Yao Bo
Hong Kong stock fluctuated sharply, Hang Seng Index fell more than 200 points, and Shenzhen V reversed held 18,000 points.
As the Hong Kong stock market rises gradually slowed down, the southbound buying funds continued to remain high, while the selling funds weakened. On November 17, the net purchase of in southbound reached HK$5.2 billion, the highest since November 4.
"breakup" brings collapse game stocks
As the Internet companies enter the financial report season, the company is also ushering in a turbulent autumn. Before the third quarter results were announced, NetEase's share price plunged due to a "breakup" news. Due to the failure to renew the contract, Blizzard said it will suspend its domestic operations with NetEase after it expires on January 23, 2023, including games such as " World of Warcraft ".
NetEase said that it has been doing its best to negotiate with Activision Blizzard, hoping to promote contract renewal. After a long period of negotiations, it is still impossible to reach an agreement on some key terms of cooperation. NetEase said it was very regretful that Activision Blizzard announced the suspension of cooperation today and would have to accept this decision.
After the two companies that have been working with each other for nearly 20 years officially announced their breakup, NetEase's stock price plummeted by 9%.
According to Observer.com , the reason for the breakup between the two parties was that Blizzard offered sky-high contract renewal conditions, including the global distribution of mobile games, but NetEase only obtained the profits in China, which was equivalent to requiring NetEase to "work in vain". NetEase 's decline in also caused a lot of mobile game stocks to collapse, and Xindong Company's 's decline even exceeded NetEase.
1 On November 17, NetEase specifically disclosed after the closing of the market that the national service agent authorization of NetEase and Blizzard will expire in January 2023 and will not be renewed. The game represented by Blizzard has contributed a percentage of NetEase's net income and net profit in the first nine months of 2021 and 2022, both of which are lower single digits. The expiration of authorization will not have a significant impact on NetEase's financial performance. The joint development and distribution of Diablo Immortal is covered by another long-term agreement. market expects that Tencent may take over some game agents. Tencent responded to the media that there is no relevant news within the country for the time being, "It is recommended that Blizzard's official reply be based on Blizzard's official reply."
However, there are still small-cap game companies in Hong Kong stocks that rise against the market. sen stocks with a market value of more than HK$100 million, Youlai Interactive is a global game distribution service company, which soared by more than 30% today.
dividend style reduction, has the stock price held up?
In the second quarter of this year, after Tencent's revenue declined for the first time in history, the third-quarter report released yesterday exceeded expectations for revenue and net profit. Under the slight improvement in operating growth, many brokers raised their target prices.
CICC said that based on the rebound in sector valuation, it raised Tencent shares’ target price by 16% to HK$379, maintaining its outperforming industry rating. However, in the absence of clear guidance for the fourth quarter, the market's response was obviously lower than expected. On November 17, Tencent's stock price fell more than 4% in the early trading, closing down 0.82%.
Tencent continues to divest non-core assets and announces dividend-based reductions of HK$159.4 billion Meituan shares. Meituan's stock price opened low and closed low, falling nearly 6%.
Morgan Stanley published a report saying that Tencent’s physical distribution of Meituan to hold may be bad for Meituan’s short-term market sentiment. However, the market response from Tencent’s previous experience in distributing JD shares will be better than expected, and eliminates the uncertainty of Meituan in the past year. Investors are advised to consider it as a buying opportunity.
New energy vehicle sells down
After a slight rebound in recent days, "Wei Xiaoli" has fallen collectively again. On November 17, Ideal Auto, NIO and Xiaopeng Auto fell 5.27%, 5.85% and 7.97% respectively, leading the decline in the Hong Kong stock auto sector.
year is approaching. Affected by factors such as production capacity , competition and consumption willingness, the sales of many new energy vehicle companies are not as optimistic as expected. According to Cailianshe data, Xiaopeng Motors' cumulative sales from January to October were 103,700 units, only 42% from the sales target of 250,000 units; NIO 1-October's cumulative sales from 92,500 units, achieving 61% of the target of 150,000 units at the beginning of the year. The cumulative sales of Ideal Auto in the first 10 months were about 97,000 vehicles, which is a huge gap from the 1.6 million vehicle target it proposed to reach in 2025.The latest data on passenger car sales in
html in November was released. In the second week of November this year, the overall narrow passenger car market retail reached an average of 40,000 vehicles per day. fell by 12% year-on-year compared with in the second week of November 2021, and a decrease of 20% compared with the average of the second week of October this year. In addition to weakening sales, the new power company's hematopoietic ability is still not optimistic. In the first half of 2022, the three new forces suffered a total loss of nearly 10 billion yuan. The net losses of NIO, , Xiaopeng , and Ideal were RMB 4.54 billion, RMB 4.402 billion and RMB 652 million respectively.? On the one hand, sales are slowing down and competition is intensifying. New energy vehicles are taking advantage of the dividend of the penetration rate . On the other hand, the current production capacity is not enough to support profits, so the market chooses to vote with its feet.
? Edited by: Xiaomo
