Changes in Hong Kong stocks | Chizicheng Technology (09911) rose nearly 7% intraday, institutions say macro factors and strong growth potential are expected to bring about a revaluation

The Zhitong Finance App learned that Chizicheng Technology (09911) rose nearly 7% in the intraday period. As of press release, it had risen 3.94% to HK$10.56, with a turnover of HK$87.0711 million.

CICC previously released a research report stating that Chizicheng Technology has launched dozens of applications and casual game products in the social and gaming fields, serving more than 1 billion users in more than 100 countries and regions around the world, deeply exploiting the Middle East and North Africa market, and is actively expanding into Southeast Asia, Europe, America, Japan and South Korea, and is committed to becoming a leading global social entertainment company. The bank said that the market believes that TikTok will eventually form a monopoly advantage on a global scale and occupy a dominant position in the market, but the bank believes that the vertical circuit still has opportunities, and that Chizicheng, which has the ability to innovate atomically, is worth paying attention to after vertical platforms have found their own ecological position or is more flexible.

Xiniu Securities, on the other hand, said that Chizicheng Technology has achieved quite steady growth in terms of revenue and profit attributable to shareholders. Products and boutique games such as Sugo, TopTop, and Blued are expected to continue to grow, bringing considerable returns to shareholders. The Group's abundant cash reserves also enabled it to acquire promising companies such as the Blue City Brothers. At the same time, given that the valuations of Chinese companies have been repaired, the expectation that risk-free interest rates will peak will also help the Group's valuation to be re-evaluated. The agency believes that these macro factors, combined with the company's strong growth prospects, will improve its valuation.