Northbound Capital Trends | Northbound capital net sold HKD 481 million, Xiaomi Pengcheng enters the extended range track, Northbound capital purchased over HKD 1.7 billion throughout the day
Complete. Here is the key summaryOn July 31, the net selling of northbound capital in Hong Kong stocks was HKD 481 million, with a net buying of HKD 559 million in the Shanghai Stock Connect and a net selling of HKD 1.04 billion in the Shenzhen Stock Connect. Xiaomi, Alibaba, and Tencent received the most net buying from northbound capital, with Xiaomi receiving over HKD 1.7 billion in net buying in a single day, following the release of its extended-range new car, Pengcheng. Nomura's report pointed out that Xiaomi is taking its first step into the extended-range track; BOC International is optimistic about Tencent's AI investment returns and cautious capital expenditure planning
According to Zhitong Finance APP, on July 31, in the Hong Kong stock market, northbound capital had a net sell of HKD 481 million. Among them, the Shanghai-Hong Kong Stock Connect had a net buy of HKD 559 million, while the Shenzhen-Hong Kong Stock Connect had a net sell of HKD 1.04 billion.
The stocks with the highest net buy from northbound capital were Xiaomi Corporation-W (01810), Alibaba-W (09988), and Tencent (00700). The stocks with the highest net sell were Yangtze Optical Fibre and Cable (06869), Semiconductor Manufacturing International Corporation (00981), and Hua Hong Semiconductor (01347).
Active stocks in the Shanghai-Hong Kong Stock Connect
Active stocks in the Shenzhen-Hong Kong Stock Connect
Xiaomi Corporation-W (01810) received a net buy of HKD 1.716 billion. Xiaomi held an automotive technology launch event, introducing the new technology platform Xiaomi Kunlun and the new car series SkyNomad, priced at RMB 259,900 and RMB 299,900 respectively. Nomura reported that the launch of SkyNomad marks the first step from pure battery electric vehicles (BEV) to extended-range electric vehicles (EREV).
Alibaba-W (09988) received a net buy of HKD 1.234 billion. On July 31, Changxin Technology's market value briefly surpassed HKD 4 trillion, closing with a market value of over HKD 3.6 trillion. It is reported that after Changxin Technology successfully went public and issued 10% new shares, Alibaba's shareholding ratio was diluted to about 4.48%, but it remains the largest industrial investor in Changxin Technology. Based on its investment of about HKD 7.6 billion, it has an unrealized gain of over HKD 150 billion.
Tencent (00700) received a net buy of HKD 794 million. Bank of China International released a research report stating that investors are increasingly focused on Tencent's earnings per share forecast and AI investment returns. The bank predicts that Tencent's capital cash expenditure will reach RMB 160 billion to 180 billion by 2026, but believes Tencent will maintain a cautious investment pace to preserve business resilience. The bank stated that it is still too early to discuss the scale of capital expenditure beyond 2027, and expects Tencent to adopt a more moderate growth capital expenditure plan after 2027 compared to this year ZhiPu (02513) received a net buy of HKD 575 million. ZhiPu announced that with the continuous expansion of infrastructure, the paid subscription service GLM Coding Plan for developers is now open for subscription. Previously, due to the explosive demand for AI Coding, user demand increased, leading to temporary restrictions on subscription quotas.
Zhaoyi Innovation (03986) received a net buy of HKD 408 million. Zhaoyi Innovation announced plans to repurchase A-shares, with a total repurchase amount of no less than HKD 1 billion and no more than HKD 2 billion. The repurchased shares will be fully used for cancellation and reduction of registered capital. In addition, the actual controller Zhu Yiming plans to increase his stake in the company by no less than HKD 1 billion, and Zhu Yiming also promised not to reduce his holdings within 12 months starting from July 29, 2026.
Kingboard Laminates (01888) received a net buy of HKD 115 million. The copper-clad laminate leader Kingboard Laminates released a positive profit alert, expecting a net profit of over HKD 2.8 billion in the first half of the year, a significant year-on-year increase of over 200%. The substantial growth in performance is mainly due to the continued tight supply-demand pattern in the industry. Currently, upstream raw materials such as copper-clad panels, electronic fiberglass yarn, electronic cloth, and copper foil are in short supply, leading to significant price increases for products, while sales of copper-clad laminates have also increased simultaneously.
Changfei Fiber Optic Cable (06869) experienced a net sell of HKD 216 million. Corning's second-quarter performance slightly exceeded expectations, but its stock price once plummeted by over 20%. Analysts pointed out that Corning's net profit margin has significantly surged, confirming that the fiber optics for AI data centers have shifted from scale-driven to high-value-added driven. However, the implied quarter-on-quarter growth rate for the third quarter is declining, and the company plans to significantly increase fiber optic and optical connection capacity, indicating that the global supply bottleneck is being actively broken.
In addition, SMIC (00981) and Hua Hong Semiconductor (01347) experienced net sells of HKD 147 million and HKD 115 million, respectively