Hong Kong Stock Open | Hong Kong Stock Three Major Indices Fall as a Whole, Securities Company: Hong Kong Stock Correction Brings Structural Opportunities

August 4th, the three major indices in Hong Kong fell collectively, with the Hang Seng Index down 0.31%, the Hang Seng Tech Index down 0.66%, and the Enterprise Index down 0.35% as of the release time.

The market conditions are that the stocks in the tech sector have fallen sharply, with Weblogic up 0.1% and Alibaba down over 1%.

About Hong Kong Stock After Market

Wahao Securities published a research report on Hong Kong stock strategy, stating that the recent correction in Hong Kong stocks is mainly due to changes in internal and external expectations, but the medium-term liquidity relaxation logic does not change. As for configuration, we recommend looking for sectors with improving prospects and low valuations, particularly emphasizing the allocation of technology sectors; short-term trading should focus on: value-for-money gaming and internet e-commerce companies with high profit margins and a strong growth outlook in the next 12 months.

Credit Suisse Securities pointed out that Hong Kong stocks have formed an internal-external resonance-type liquidity relaxation this year. From the perspective of cycle gains, AH premium rates, and broad-based index valuations, Hong Kong stocks are still within reasonable valuation ranges against A-shares, and the technology, medicine, and non-banking financial sectors still have significant repair space in the long term.

East Wealth Securities analyzed that looking ahead, market concerns about overseas risks rising. One is that the US dollar assets will continue to rise, which may lead to a decrease in attention from Chinese assets; two is that tariffs are approaching their deadline, and the market expects a "soft" and "downward" tariff game. This week's A-shares and Hong Kong stocks showed a strong rebound trend, but if they cannot quickly recover key points, the impact on market sentiment will be unfavorable, requiring attention.

Citic Securities Research Report believes that the current market is showing confidence in some sub-industries, with earnings expectations still rising; technology stocks have recently had small adjustments to their earnings expectations due to external factors affecting a few internet platforms; other sub-industries have generally shown upward trends in earnings expectations, particularly notable for new energy vehicles, semiconductors, and consumer electronics. Among them, the performance expectations of new energy vehicles and semiconductors are quite different, implying higher elasticity space; the earnings expectations of consumer electronics are generally consistent, with a strong growth outlook.

Citic International pointed out that Hong Kong stocks still have a relatively healthy overall upward trend, with core drivers gradually shifting from previous cautionary sentiment and position replenishment to basic improvement and policy expectations turning positive. The market may gradually reprice the internal basic repair process at a speed and intensity; from a technical perspective, short-term market overheating has accumulated.

Ping An Securities (Hong Kong) Research Report also pointed out that the current Hong Kong stock market still has advantages such as low valuations and "profit-making" effects. The medium- to long-term outlook is still optimistic. We recommend continuing to focus on human-computer interaction, robotics, semiconductors, industrial software, and policy-supported innovative pharmaceuticals and healthcare sectors.

Hot Focus

1. The People's Bank of China held a meeting on August 1st to promote the 2025 half-year work conference and central inspection and rectification work promotion meeting. The meeting believes that financial support for economic continued growth should be strengthened. Implementing moderate monetary policy to reduce reserve requirements, flexibly using various monetary policy tools, and maintaining liquidity at a comfortable level. Lowering interest rates, structural monetary policy tool interest rates, and personal housing provident fund loan interest rates to promote financial market interest rates and social comprehensive financing costs.

2. The United States added 7.3 million non-farm jobs in July, below the estimated increase of 10.4 million and last month's increase of 14.7 million. This is a new low in nine months.

3. US President Trump posted on social media platform "True Social", calling for Federal Reserve Chairman Powell to resign. Trump mentioned that former President Biden-appointed Fed member Adriana Kugler had previously announced her resignation, saying that she knew Powell had made mistakes in interest rate issues and should also step down.

4. OPEC+ sources indicated during the meeting that eight member countries of OPEC+ agreed to increase their oil production by 54.8 million barrels in September. OPEC+ will hold its next meeting on September 7th. OPEC+ plans to assess the daily increase of 166 million barrels before December.

Company News

Smartone Telecommunications Holdings Limited (00008): First half-year revenue HK$189.22 billion, up 7% year-on-year; net loss HK$4.45 billion, down 4% year-on-year.

Solomon Sino-Korea Power Engineering Co., Ltd. (00968): First half-year revenue HK$109.32 billion, down 6.5% year-on-year; net profit HK$7.46 billion, down 58.8% year-on-year.

Shenzen Glass Technology Co., Ltd. (00868): First half-year revenue HK$98.21 billion, down 9.7% year-on-year; net profit HK$10.13 billion, down 59.6% year-on-year.

Solomon Sino-Korea Energy Co., Ltd. (03868): First half-year revenue HK$12.1 billion, up 7.7% year-on-year; net profit HK$4.5 billion, up 23.4% year-on-year.

Debang Marine Co., Ltd. (02510): Released a report stating that it expects medium-term net profit of approximately HK$1.8-2.0 billion, an increase of approximately 220%-255% year-on-year.

Lianhua Supermarket Co., Ltd. (00980): Released a report stating that it expects medium-term net profit of approximately HK$2500-5500 million.

Tibet Water Resources Co., Ltd. (01115): Released a report stating that it expects medium-term net profit of approximately HK$3600 million, an increase of approximately 300% year-on-year.

Ford Real Estate Group (00420): Released a report stating that it expects medium-term net profit of approximately HK$3070 million, with a turnaround from loss to profit.

Hong Kong Land Investment Trust Co., Ltd. (08162): Released a report stating that it expects medium-term net profit growth to be at least HK$1700-2000 million.

Hong Kong Travel Agency (00308): Released an alert stating that it expects medium-term net loss of over HK$7000 million, with a turnaround from profit to loss.

Powell Real Estate Group (00119): Released a report stating that it expects medium-term net profit down by 40-50% year-on-year.

BYD Electric Vehicle Co., Ltd. (01211): Sold approximately 249.03 million new energy vehicles in the first seven months, up 27.35% year-on-year.

Chang'an Automobile Co., Ltd. (02333): Sold approximately 67.42 million vehicles in the first seven months, up 3.57% year-on-year.

Ideal Automobile W (02015): Delivered 30,731 new cars in July.