[Brokerage Focus] FIRST SHANGHAI gives KINGSOFT (03888) a Hold rating, indicating that the current valuation has not fully reflected the monetization potential of the AI office ecosystem.
Jinwu Financial News | FIRST SHANGHAI released a research report indicating that KINGSOFT (03888) achieved a revenue of 2.793 billion yuan in Q4 2024, a year-on-year increase of 20.88%; among which, the revenue from office software and services reached 1.501 billion yuan, a year-on-year increase of 16.76%, with growth primarily coming from value-added services for WPS individual users and the WPS365 cloud collaboration business, partially offset by a decrease in revenue from WPS software business. The revenue from the gaming business was 1.291 billion yuan, a year-on-year increase of 26%, but a quarter-on-quarter decrease of 24%, mainly due to seasonal adjustments and a decrease in commercialized content. The net income attributable to shareholders reached 0.46 billion yuan.
Hong Kong stocks movement | Kingsoft Cloud (03896) rises over 4% as AI drives high growth in public cloud revenue. The company directly benefits from Xiaomi and KINGSOFT Group increasing their AI investments.
Kingsoft Cloud (03896) rose over 4%, as of the time of writing, it increased by 4.04%, trading at HKD 7.47, with a transaction volume of 0.24 billion HKD.
Hong Kong Stock Market Morning Report | AI and other key areas receive renewed attention, DeepSeek becomes the fastest growing AI tool in the Global market.
① The Ministry of Industry and Information Technology will focus on key areas such as AI and critical software, nurturing a batch of platforms for the transformation of innovative achievements. ② DeepSeek's monthly visits exceed ChatGPT. ③ Huawei: Global sales revenue in 2024 is 862.1 billion yuan, with a Net income of 62.6 billion yuan. ④ Li Auto's internal sales target for this year: 0.7 million units for the entire year, with 0.05 million units for pure electric.
Public Companies Are Kingsoft Cloud Holdings Limited's (NASDAQ:KC) Biggest Owners and Were Hit After Market Cap Dropped US$412m
The pattern of "weak performance of the technology stocks" in the Hong Kong stock market is intensifying. What direction will the market take next?
① Currently, the profit growth of Hong Kong stocks mainly relies on the optimization of profit margins in the Technology Sector rather than revenue expansion. Does this imply that the foundation for sustained market growth in the future is relatively weak? ② For the "Adjustment of Technology Positions + Dividend Hedging" strategy proposed by CICC, how should investors balance the conflict between short-term volatility defense and long-term strategy adherence?
Statutory Profit Doesn't Reflect How Good Kingsoft's (HKG:3888) Earnings Are
