Changes in Hong Kong stocks | Meitu (01357) rose more than 7% in early trading and officially entered the MSCI China Index after the market today, and is optimistic about the company's long-term growth potential

The Zhitong Finance App learned that Meitu (01357) rose more than 7% in early trading. As of press release, it had risen 6.59% to HK$11.33, with a turnover of HK$1 billion.

According to the news, MSCI, a world-renowned index company, previously announced the index review results for August 2025. Among them, Meitu was included in the MSCI China Index, which will officially take effect after the market closes today (26th). In addition, Meitu's revenue for the first half of the year was RMB 1,821 million, up 12.34% year on year; profit attributable to shareholders was 397 million yuan, up 30.84% year on year. The increase in revenue is mainly due to rapid revenue growth in the subscription-based imaging and design product business.

According to a research report released by Morgan Stanley, Meitu aims to increase the total payment ratio to 8 to 10% from 2025 to 2028, which means subscription revenue is expected to double from 4.7% in 2024. The company is also rebuilding an overseas lifestyle product line to target the US and EU markets; the payment ratio for existing lifestyle products in the US market is about 50%. The bank is optimistic about Meitu's long-term growth potential. Based on management's clear development path, focused strategic positioning, ability to use generative AI, and prudent business scope, the bank reiterated the “increase” rating and raised the target price from HK$14.4 to HK$15.7, which is equivalent to predicting a dynamic price-earnings ratio of 1.6 times next year, to reflect management's increase in the 2025 net profit guideline by about 11%.