Hong Kong Stock Market Update: ZX INC experienced a sharp decline in the afternoon, plunging by as much as 36% and exhibiting a daily volatility of over 50%.
ZX INC's stock price has been on a continuous rise recently, with a cumulative increase of over 170% in the past two weeks. The stock surged nearly 10% in the morning session, but sharply declined in the afternoon, plummeting by 36% during the trading hours. As of the time of writing, it has dropped by 13.41% to HKD 35.5, with a trading volume of HKD 73.8922 million. On the news front, Hang Seng Index Company recently announced the results of its quarterly review, including ZX INC in the Hang Seng Composite Index Small Cap and as a Stock Connect target, effective from March 4th. Anxin International released a research report stating that inclusion in the index and Stock Connect could enhance the company's visibility and liquidity, with a target price of HKD 34.5. Anxin International's report pointed out that due to the delayed launch of some new games in 2023, revenue and performance growth have slowed down. However, they anticipate an improvement in performance in 2024 with the incremental revenue from upcoming new games like "City of Dragon's Mark" and "Douluo Continent: Shrek Academy," along with increased overseas and casual gaming channel revenue. It is worth noting that on February 2nd, ZX INC's stock price experienced a significant plunge, dropping by 77% at one point, almost wiping out all previous gains.
Zhitong App has learned that ZX INC (09890) has recently seen a continuous rise in its stock price, with a cumulative increase of over 1.7 times in the past two weeks. The stock surged nearly 10% in the morning session, but sharply declined in the afternoon, plummeting by 36% during the trading day. As of the time of writing, it has fallen by 13.41%, closing at HKD 35.5 with a trading volume of HKD 73.8922 million.
On the news front, Hang Seng Indexes Company recently announced the results of its quarterly review, including ZX INC in the Hang Seng Composite Index small-cap stocks, and it will also become a target of the Stock Connect program, effective on March 4. Anxin International released a research report stating that inclusion in the index and the Stock Connect program can enhance the company's visibility and liquidity, with a target price of HKD 34.5.
The Anxin International report pointed out that in 2023, due to the company delaying the launch of some new games, revenue and performance growth have slowed down. The bank expects performance improvement in 2024 with the incremental revenue from new games such as "City of Dragon's Trace" and "Douluo Continent: Shrek Academy" set to launch, along with increased revenue from overseas and casual gaming channels. It is worth noting that on February 2, ZX INC's stock price experienced a significant drop, with the company's shares falling by 77% at one point, almost wiping out all previous gains.