HK shares of Chinese hotel operator Huazhu eye best day in 10 months

H World

28/07/2021 05:02

** Hong Kong shares of Chinese franchised hotels operator
Huazhu Group Ltd  1179.HK  jump 26.8% to HK$32.65, on course for
their biggest daily percentage gain since listing on Sept. 20
    ** Stock is the biggest percentage gainer in the Hang Seng
Composite Index  .HSCI  and the second-biggest percentage gainer
on the Hong Kong bourse
    ** Stock closed down 27.5% on Tuesday, marking its worst day
ever and third straight session of decline
    ** Co said it was not aware of reasons for the recent fall
in its stock price in Hong Kong and in its American Depositary
Shares (https://bit.ly/3xbTDgF)
    ** Brokerage Daiwa says Huazhu shares have been under
pressure amid weak market sentiment and a new round of COVID-19
cases in China, which may hit the hotel occupancy rate 
    ** Daiwa maintains "buy" rating, saying the impact to
Huazhu's revenue is manageable 
    ** Says share price reaction seen as overdone and represents
a good entry point for long-term shareholders 
    ** The Hang Seng Commerce & Industry Index  .HSNC  gains
0.4% and the Hang Seng Composite Index  .HSCI  edges up 0.1%
    ** The Hang Seng China Enterprises Index  .HSCE  climbs
0.6%, and the benchmark index  .HSI  is up 0.1%
    ** By last close, the Hong Kong-listed stock had dropped
25.6% this year

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