20220504-马银证券_香港_-每日港股简评_2页_161kb

Summary of Market and Sector News

Core Content Overview

The Hong Kong stock market showed a directionless trend yesterday, while the mainland China stock market remained closed due to the May Labour Day Holiday. Several key stocks and sectors were impacted by recent news and events, including the resumption of the pandemic, policy changes, and company-specific updates.

Main Market Developments

• Alibaba-SW (9988 HK): Shares initially dropped due to a report suggesting the arrest of someone with the same surname as the company's founder. However, the price recovered after the report was clarified to not involve the founder.
• BiliBili-SW (9626 HK): The stock price fell following a downward revision of its 1Q22 guidance, attributed to the resurgence of the pandemic and increased lockdowns since mid-March.
• Hang Seng Index: The index rose slightly by 12 points to 21,101 points, with a daily turnover of HKD106.7 billion.

Sector Analysis: China Property

• Sales Decline: The China property sector saw a 67% YoY sales decline in April, compared to -44% and -54% in February and March, respectively. This was primarily due to ongoing lockdowns caused by the spread of the pandemic.
• Government Policy: The Politburo meeting reaffirmed the "home for living" policy, indicating the government will not allow significant property price increases. Instead, local governments are expected to implement "one city, one policy" adjustments to manage demand.
• Market Outlook: Sales are expected to remain weak in May due to lockdowns, but a milder YoY decline is anticipated from June onwards, driven by potential market recovery and a lower base effect.

Company-Specific News

BiliBili-SW (9626 HK)

• Revenue Guidance Cut: Revised 1Q22 net revenue guidance to RMB5b-5.1b, down from RMB5.3b-5.5b.
• User Growth: Monthly active users increased by 31% YoY to 293 million, and daily active users by 32% YoY to 79 million.
• Market Impact: Lockdowns are expected to delay content production, reduce ad spending, and postpone offline events. However, user growth is expected to remain stable.

COSCO Ship Ports (CSP)

• Revenue Growth: 1Q22 revenue increased by 24% YoY due to consolidation with Tianjin Container Terminal (TCT), now holding a 51% stake.
• Comparable Growth: On a comparable basis, revenue rose 7% YoY and earnings increased 2.6% YoY to USD74.9 million.
• Contract Rate Hike: Management expressed optimism about contract rate hikes, regardless of port congestion, as a significant portion of contracts are set to be renewed in Q2-Q3 2022.
• Equity Growth: Equity throughput grew by 6.1% YoY, though the full-year target remains at c.4% YoY growth for 2022.

Pou Sheng (3813 HK)

• Profit Warning: Expected 1Q22 revenue and net profit to decline by 25% and over 70% YoY to RMB5.5 billion and RMB108 million, respectively.
• Reasons for Decline: Pandemic-related lockdowns in key regions like Shanghai, and logistics disruptions, significantly impacted sales and profitability.
• Revenue Trends: 2M22 revenue declined 16.3% YoY, partly due to a high comparison base in 2M21 (+44.2% YoY), and March revenue was down 43% YoY due to the Omicron variant's spread.

Beigene (6160 HK)

• New Indication Approval: Received approval for Blincyto (blinatumomab) for the treatment of R/R pre-B-cell ALL in adults and children.
• Pediatric Indication: The market filing for the pediatric indication was submitted in March 2021, and priority review was granted in June 2021.
• Biosimilar Approval: The bevacizumab biosimilar under co-development with Biothera (688177 CH) received approval for three additional indications, including rGBM and several types of cancer.

Key Takeaways

• The Hong Kong market was mixed, with Alibaba-SW recovering after a false report and BiliBili-SW declining due to revised guidance.
• The China property sector faces continued weak sales due to lockdowns, but a recovery is expected from June onwards.
• COSCO Ship Ports showed strong revenue growth due to consolidation and positive outlook on contract renewals.
• Pou Sheng issued a profit warning due to pandemic-related challenges, while Beigene received regulatory approvals for new drug indications, enhancing its growth potential.

Disclaimer

This report is for general information purposes only and is not intended as investment research or a recommendation. No representation is made regarding the accuracy or completeness of the information provided. MIB Securities (HK) Ltd and its affiliates do not verify the data and take no responsibility for any loss resulting from reliance on this content. Always consult a financial advisor before making investment decisions.