JIHONG CO

Xiamen Jihong Technology opened sharply higher in the morning session but pulled back, closing at HK$12.87, down 3.7% from the open of HK$13.37, with an intraday range of HK$12.70 to HK$13.37 and total turnover of approximately HK$15.77 million. The company recently completed a HK$114.7 million H-share placement and had forecast strong profit growth from cross-border e-commerce, with Q1 2026 revenue up 29.28% YoY to HK$2.05 billion, net profit up 29.49% YoY to HK$82.04 million, and operating profit surging 104.81% YoY to HK$155.47 million. However, the stock faces headwinds from a planned SZSE public censure over disclosure lapses, and its current price remains below the year's high, with a PE of 19.23x, PB of 1.88x, and a total market cap of about HK$5.89 billion.

Xiamen Jihong surged 7.65% to HKD 13.22 at noon, driven by a completed HKD 114.7 million H-share placement and a prior profit forecast on cross-border e-commerce gains. The stock rallied from a morning low of HKD 12.110 at 10:09 BJT to an intraday high of HKD 13.360 at 11:35 BJT, with turnover of 1.74 million shares. However, the price remains below its 20-day MA of HKD 15.565 and 60-day MA of HKD 15.333, with a YTD gain of only 0.46% and still 35.2% below the 52-week high of HKD 20.40. Q1 2026 operating revenue rose 29.28% YoY to HKD 2.046 billion, net profit grew 29.49% YoY to HKD 82.04 million, and operating income surged 104.81% YoY.

Xiamen Jihong slumped 12.4% to HK$12.33 on its Hong Kong debut after opening at HK$14.00, with the intraday low hitting HK$12.26, as a HK$114.7 million H-share placement and a previous SZSE public censure over disclosure lapses weighed on sentiment. Despite the IPO price weakness, recent earnings showed improvement: Q1 2026 net profit jumped 29.5% YoY to HK$82 million on revenue growth of 29.3%. The stock now trades at a PE of 18x based on a market cap of HK$5.5 billion, yet it is 39.8% below its 52-week high of HK$20.40 and well below both the 20-day MA (HK$15.64) and 60-day MA (HK$15.34), underscoring a bearish price position.

Jihong Group plunged 5.5% during the morning session, sliding from HK$15.58 to an intraday low of HK$14.65, pressured by the launch of a HK$114.7 million H-share placement under general mandate. Despite Q1 revenue surging 29.28% YoY to HK$2.05 billion and net profit climbing 29.49% YoY to HK$82.04 million, with operating profit more than doubling to HK$155.5 million, the stock traded below both its 20-day MA (HK$15.82) and 60-day MA (HK$15.36), sitting 28.19% off its 52-week high of HK$20.4. The dilution concern from the placement overshadowed the solid earnings beat. While the net profit margin improved to 4.01% from 3.64%, and the company previously guided for sharp profit growth in cross-border e-commerce, the near-term sentiment remains cautious.

Xiamen Jihong Technology surged in early morning trading, gaining 6.44% by mid-session, driven by a HK$114.7 million H-share placement announcement and a strong earnings forecast for cross-border e-commerce. Q1 2026 net profit rose 29.49% YoY to HK$82.04 million, while operating income doubled to HK$155.47 million. The stock's current price of HK$15.70 remains below its 20-day MA of HK$15.87 and 23.04% off its 52-week high of HK$20.40, though it has gained 19.3% year-to-date, reflecting improving fundamentals.