Daily Investment Strategy
Daily focus：Chow Tai Fook (1929)
Chow Tai Fook announced its interim results for fiscal year 2026, demonstrating resilience amidst a volatile macroeconomic environment. Revenue reached HK$38.986 billion, a slight decrease of 1.1% year-on-year, but gross profit margin remained at a record high of 30.5%, benefiting from rising gold prices and an optimized product mix. Thanks to rigorous cost control, operating profit increased by 0.7% year-on-year to HK$6.823 billion, with the operating profit margin widening to 17.5%, a five-year high. Profit attributable to shareholders remained flat at HK$2.534 billion, and an interim dividend of HK$0.22 per share was declared, representing a payout ratio of approximately 85.7%.
Black Friday shopping traffic hits record high
US stocks rebounded on strong consumer data, with the National Retail Federation (NRF) reporting record-high Black Friday shopping traffic, demonstrating strong consumer will to spend despite rising prices. Online sales on Black Friday reached $11.8 billion, a 9.1% year-on-year increase. Strong domestic demand data eased economic concerns, coupled with market expectations of further interest rate cuts at next week's Federal Reserve meeting, driving the index higher.
Hong Kong Stock Connect saw a net inflow of HK$4.1 billion on Tuesday, with Meituan (3690) experiencing the largest net inflow at HK$592 million, followed by Xiaomi Group (1810). On the other hand, Tencent Holdings (700) recorded the largest net outflow at HK$381 million, followed by SMIC (981).
Leung Kai Tong is a SFC licensed person accredited to KGI Group to carry on regulated activities (for details, please refer to https://apps.sfc.hk/publicregWeb/indi/ADU276/details). He and/or his associate do not have any financial interest in the recommended issuer or new listing applicant.
The materials contained herein are provided by KGI Asia Limited ("KGI") for information only. While such materials are based on or derived from sources believed to be reliable, KGI makes no representation or warranty (express or implied) as to their accuracy or reliability. Neither the information nor the opinions expressed herein constitute, or are to be construed as, an offer or invitation or solicitation of an offer to buy or sell any securities or investments. KGI and its officers, employees, agents and affiliates may have interests in the securities or investments covered herein and accept no liability whatsoever for any loss or consequence whatsoever (whether direct or indirect) resulting from any use of or reliance by you on such materials.
