HK Stock Market Move | NEWBORNTOWN (09911) rose nearly 7% during the trading day. Institutions believe that strong macro factors and growth potential are likely to bring about a revaluation of its value.

NEWBORNTOWN (09911) rose nearly 7% in intraday trading, rising 3.94% at the time of publication to HK$10.56, with a turnover of HK$87.11 million. CICC had previously released a research report stating that NEWBORNTOWN has launched dozens of applications and casual gaming products in the social and gaming fields, serving over 1 billion users in over 100 countries and regions worldwide. They have a strong presence in the Middle East, North Africa, and actively expanding into Southeast Asia, Europe, America, and Japan and Korea, aiming to become a leading global social entertainment company. The bank stated that the market believes TikTok will eventually establish a monopoly advantage globally and dominate the market, but they believe there are still opportunities in vertical sectors, and platforms that find their own niche may have more growth potential and flexibility. NEWBORNTOWN, with its innovative capabilities, is worth paying attention to. West Niu Securities stated that NEWBORNTOWN has achieved a stable growth in revenue and net profit attributable to shareholders. Products like Sugo, TopTop, Blued, and boutique games are likely to continue to grow, bringing substantial returns to shareholders. The group's ample cash reserves enable it to acquire promising enterprises like Blue City Brothers. Moreover, with the valuation of Chinese companies being restored and expectations of peak risk-free rates, the group's valuation is expected to be reevaluated. The institution believes that these macro factors, combined with the company's strong growth prospects, will raise its valuation.