CICC Maintains Outperform Rating for DAMAI ENT (01060.HK) Due to Anticipated Strong Growth in Alifish Business and Ongoing Emphasis on IP Economic Potential
Positive Profit Alert: DAMAI ENT expects a net profit of at least RMB500 million for 1HFY2026, marking a 48% year-on-year increase, primarily driven by strong performance in its Alifish business.
Revenue Drivers: CICC highlights that popular IPs like Sanrio, Chiikawa, and Crayon Shin-chan are key contributors to the company's revenue and profit growth.
Stock Performance: The current share price reflects a PE ratio of 21x for FY2026, with CICC maintaining an Outperform rating and a target price of $1.32, suggesting a potential 40% upside.
Upcoming Results Announcement: DAMAI ENT is set to announce its 1HFY2026 results on the evening of 13 November 2025.
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G Sachs Updates Ratings and Price Targets for Chinese Gaming and Entertainment Stocks (Table)
Gaming Stocks Overview: Tencent and NetEase are rated as "Buy," with target prices adjusted to HKD752 and USD170, respectively, while other companies like XD Inc. and Perfect World hold a "Neutral" rating.
Entertainment & Media Stocks Overview: Kuaishou and Tencent Music are also rated as "Buy," with target prices set at HKD87 and HKD23, while Bilibili is projected to rise to USD34.2.
Short Selling Activity: Significant short selling is noted for Kuaishou and Tencent Music, with ratios of 12.966% and 10.637%, indicating investor caution.
Market Data Notes: Stock quotes for HK and A Shares are delayed by at least 15 minutes, while US stocks are real-time except for OTC quotes, which are also delayed.
HSI Falls 147 Points at Midday as TRIP.COM-S Plummets Nearly 20%; NEW WORLD DEV Rises 12%
Market Performance: The HSI fell 0.5% to 26,852, with the HSCEI down 0.7% and HSTECH dropping 1.8%, while total half-day turnover reached $163.897 billion.
TRIP.COM-S Decline: TRIP.COM-S shares plummeted 19.6% to $457.6 amid an antitrust investigation, with significant short selling activity reported.
Baidu's Potential Listing Upgrade: BIDU-SW saw a slight increase of 0.3% as rumors circulated about its potential upgrade to a primary listing in Hong Kong.
Positive Outlook for Hong Kong Property: BofA Securities predicts a 5-10% rise in Hong Kong residential property prices this year, with an additional 5% increase expected next year, positively impacting local homebuilders.
BABA-W's Qianwen Surpasses 100M MAUs; Significant Product Update Expected Tomorrow: Report
BABA-W Stock Performance: BABA-W (09988.HK) saw a 5.3% increase, closing at HKD168.3 with a turnover of HKD21.106 billion, while short selling reached $1.95 billion with a ratio of 9.235%.
Qianwen App Growth: The Qianwen app, launched two months ago, surpassed 100 million monthly active users, particularly gaining traction among students and white-collar workers, with a significant product update expected soon.
ALI HEALTH Surge: ALI HEALTH (00241.HK) experienced a notable 15.9% rise, closing at HKD7.58 and achieving a turnover of HKD3.117 billion, with short selling at $702.77 million and a ratio of 22.547%.
DAMAI ENT Performance: DAMAI ENT (01060.HK) increased by 2.1% by midday, with short selling at $19.97 million and a ratio of 18.752%.
Citi Releases Ratings and Target Prices for Chinese Internet Companies (Table)
Stock Ratings and Price Targets: Various companies including Alibaba, Baidu, and JD.com received "Buy" ratings with specific price targets, while others like Meituan and Tencent were rated "Neutral" or faced declines in stock prices.
Short Selling Data: Significant short selling activity was noted for several stocks, with Meituan and Kuaishou showing high short selling ratios of 20.96% and 19.47%, respectively.
Market Movements: The stock prices of companies like Meituan and Tencent experienced declines, while others like Yixin and IGG saw slight increases.
Analyst Insights: Daiwa maintained a "Buy" rating on Meituan, indicating expectations of widening losses for its Keeta service in the upcoming year.
Galaxy Securities Suggests POP MART as a Top Pick in Trendy Toy Market, Anticipates Continued National Subsidies from CN Next Year to Stimulate Consumption
Implementation Plan for Consumer Goods: Six Chinese ministries have launched a plan to enhance the alignment of supply and demand in consumer goods, aiming to boost consumption amid pressures from insufficient purchasing power.
Government Subsidies: The Chinese government is allocating significant funds for trade-ins of old consumer goods, with RMB150 billion in 2024 and RMB300 billion in 2025, to stimulate short-term demand through national subsidies.
Retail Sales Growth: In October 2025, total retail sales of consumer goods increased by 2.9% year-on-year, although the growth rate showed a slight decline compared to the previous month, indicating ongoing challenges in the consumer market.
Stock Recommendations: China Galaxy Securities has recommended various stocks across sectors, including GUMING and DAMAI ENT in social services, ANTA SPORTS and XTEP INT'L in apparel, and TCL ELECTRONICS in technology, reflecting a focus on the new consumer track.
G Sachs Lowers DAMAI ENT (01060.HK) Price Target to $1.17, Maintains Buy Rating
Stock Performance: DAMAI ENT's stock price fell by 1.163% following its earnings release, with concerns over a slowdown in its domestic ticketing business and increased investments in international markets.
Market Analysis: Goldman Sachs noted that despite the stock volatility, DAMAI ENT's 1HFY26 results were solid, attributing future growth to the expansion of its licensing resources, particularly in retail and consumer markets.
Geopolitical Impact: Citi predicts that escalating Sino-Japanese tensions will have a limited impact on DAMAI ENT, maintaining a Buy rating while reducing the target price from HKD1.3 to HKD1.17.
Short Selling Activity: The company experienced significant short selling activity, with a ratio of 15.824% and a total short selling amount of $29.66 million.
G Sachs Updates Ratings and Price Targets for Chinese Gaming and Entertainment Stocks (Table)
Gaming Stocks Overview: Tencent and NetEase are rated as "Buy," with target prices adjusted to HKD752 and USD170, respectively, while other companies like XD Inc. and Perfect World hold a "Neutral" rating.
Entertainment & Media Stocks Overview: Kuaishou and Tencent Music are also rated as "Buy," with target prices set at HKD87 and HKD23, while Bilibili is projected to rise to USD34.2.
Short Selling Activity: Significant short selling is noted for Kuaishou and Tencent Music, with ratios of 12.966% and 10.637%, indicating investor caution.
Market Data Notes: Stock quotes for HK and A Shares are delayed by at least 15 minutes, while US stocks are real-time except for OTC quotes, which are also delayed.
HSI Falls 147 Points at Midday as TRIP.COM-S Plummets Nearly 20%; NEW WORLD DEV Rises 12%
Market Performance: The HSI fell 0.5% to 26,852, with the HSCEI down 0.7% and HSTECH dropping 1.8%, while total half-day turnover reached $163.897 billion.
TRIP.COM-S Decline: TRIP.COM-S shares plummeted 19.6% to $457.6 amid an antitrust investigation, with significant short selling activity reported.
Baidu's Potential Listing Upgrade: BIDU-SW saw a slight increase of 0.3% as rumors circulated about its potential upgrade to a primary listing in Hong Kong.
Positive Outlook for Hong Kong Property: BofA Securities predicts a 5-10% rise in Hong Kong residential property prices this year, with an additional 5% increase expected next year, positively impacting local homebuilders.
BABA-W's Qianwen Surpasses 100M MAUs; Significant Product Update Expected Tomorrow: Report
BABA-W Stock Performance: BABA-W (09988.HK) saw a 5.3% increase, closing at HKD168.3 with a turnover of HKD21.106 billion, while short selling reached $1.95 billion with a ratio of 9.235%.
Qianwen App Growth: The Qianwen app, launched two months ago, surpassed 100 million monthly active users, particularly gaining traction among students and white-collar workers, with a significant product update expected soon.
ALI HEALTH Surge: ALI HEALTH (00241.HK) experienced a notable 15.9% rise, closing at HKD7.58 and achieving a turnover of HKD3.117 billion, with short selling at $702.77 million and a ratio of 22.547%.
DAMAI ENT Performance: DAMAI ENT (01060.HK) increased by 2.1% by midday, with short selling at $19.97 million and a ratio of 18.752%.
Citi Releases Ratings and Target Prices for Chinese Internet Companies (Table)
Stock Ratings and Price Targets: Various companies including Alibaba, Baidu, and JD.com received "Buy" ratings with specific price targets, while others like Meituan and Tencent were rated "Neutral" or faced declines in stock prices.
Short Selling Data: Significant short selling activity was noted for several stocks, with Meituan and Kuaishou showing high short selling ratios of 20.96% and 19.47%, respectively.
Market Movements: The stock prices of companies like Meituan and Tencent experienced declines, while others like Yixin and IGG saw slight increases.
Analyst Insights: Daiwa maintained a "Buy" rating on Meituan, indicating expectations of widening losses for its Keeta service in the upcoming year.
Galaxy Securities Suggests POP MART as a Top Pick in Trendy Toy Market, Anticipates Continued National Subsidies from CN Next Year to Stimulate Consumption
Implementation Plan for Consumer Goods: Six Chinese ministries have launched a plan to enhance the alignment of supply and demand in consumer goods, aiming to boost consumption amid pressures from insufficient purchasing power.
Government Subsidies: The Chinese government is allocating significant funds for trade-ins of old consumer goods, with RMB150 billion in 2024 and RMB300 billion in 2025, to stimulate short-term demand through national subsidies.
Retail Sales Growth: In October 2025, total retail sales of consumer goods increased by 2.9% year-on-year, although the growth rate showed a slight decline compared to the previous month, indicating ongoing challenges in the consumer market.
Stock Recommendations: China Galaxy Securities has recommended various stocks across sectors, including GUMING and DAMAI ENT in social services, ANTA SPORTS and XTEP INT'L in apparel, and TCL ELECTRONICS in technology, reflecting a focus on the new consumer track.
G Sachs Lowers DAMAI ENT (01060.HK) Price Target to $1.17, Maintains Buy Rating
Stock Performance: DAMAI ENT's stock price fell by 1.163% following its earnings release, with concerns over a slowdown in its domestic ticketing business and increased investments in international markets.
Market Analysis: Goldman Sachs noted that despite the stock volatility, DAMAI ENT's 1HFY26 results were solid, attributing future growth to the expansion of its licensing resources, particularly in retail and consumer markets.
Geopolitical Impact: Citi predicts that escalating Sino-Japanese tensions will have a limited impact on DAMAI ENT, maintaining a Buy rating while reducing the target price from HKD1.3 to HKD1.17.
Short Selling Activity: The company experienced significant short selling activity, with a ratio of 15.824% and a total short selling amount of $29.66 million.
