HK-listed Tencent falls as broker trims TP; Meituan, Koolearn plunge

East Buy Holding

30/07/2021 07:21

** Shares of Tencent Holdings Ltd  0700.HK  fall 5.5% to
HK$465, the worst since July 27, and on course to snap two
consecutive sessions of gains
    ** Stock is the most actively traded by turnover in early
afternoon trade; the ninth-biggest percentage decliner in the
Hang Seng Index  .HSI  
    ** Brokerage CCB International maintains "outperform" rating
on stock but cuts TP to HK$600 from HK$735, saying it trims
Tencent's earnings forecast to reflect slower sales growth,
higher operating expenses     
    ** Says recent Chinese government policies on antitrust,
internet security and education have had a limited impact on
Tencent's fundamentals
    ** "We attribute the sharp correction in the share price to
policy uncertainty and related concerns about the long-term
profitability at the leading Chinese internet platforms," CCB
wrote in a research note 
    ** Technology stocks have been under pressure amid market
jitters over Chinese regulatory crackdowns on high-growth
sectors, including online platforms and private tutoring
 urn:newsml:reuters.com:*:nL1N2P30EN
    ** Food delivery giant Meituan  3690.HK  drops 9.7%; the
biggest percentage decliner in the Hang Seng Index  .HSI 
    ** Alibaba's Hong Kong shares  9988.HK  fall 5%, Koolearn
Technology  1797.HK  dives 12% - the biggest percentage decliner
in the Hang Seng Tech Index  .HSTECH  
    ** The Hang Seng Tech Index  .HSTECH  drops 4.1% and the
benchmark index  .HSI  falls 2%

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))