---
title: "The end of involution and the return of profits! The logic of repair for Hong Kong stock internet is established"
type: "News"
locale: "zh-HK"
url: "https://longbridge.com/zh-HK/news/280563458.md"
description: "The Hong Kong stock internet sector has undergone a valuation repair, with Meituan's stock price soaring over 15%, while POP MART plummeted by 22%. Market sentiment has shifted towards \"certain profitability,\" with funds being repriced, reflecting a trend of profit recovery. Meituan's performance marks a shift in market focus from profit bleeding to improvements in the competitive landscape, benefiting Alibaba, JD.com, and others. Overall, market confidence in the internet sector is recovering, and the logic of repair is expected to continue to spread"
datetime: "2026-03-26T04:07:16.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/280563458.md)
  - [en](https://longbridge.com/en/news/280563458.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/280563458.md)
---

> 支持的語言: [简体中文](https://longbridge.com/zh-CN/news/280563458.md) | [English](https://longbridge.com/en/news/280563458.md)


# The end of involution and the return of profits! The logic of repair for Hong Kong stock internet is established

The market's slick operators have started chasing highs and cutting losses again, but if we take a moment to calm down, Meituan's surge is not an isolated event; rather, it is the precursor to the valuation recovery of the Hong Kong stock internet sector, and a vote of confidence in "certain profitability." This emotional resonance has quietly transmitted to various sub-sectors within the industry, with companies like Beike and JD Health also showing synchronized movements.

Behind this is the collective sentiment of the entire sector rising, and the confidence stems from three silent yet profound "cracks" that are being re-priced by capital, which is by no means a temporary market hype.

1.  Crack One: The confrontation between "narrative retreat" and "profit return"

The current "valuation killing" process in the A-share market is essentially a "logical falsification." When the stories of commercial space travel and AI applications cannot be translated into solid financial report numbers in the short term, the retreat of sentiment becomes inevitable.

In contrast, the Hong Kong stock internet sector is at the other end of the narrative cycle, with the profit recovery of leading internet companies and even sub-sector targets being supported by both policy and fundamental factors.

Meituan's significant rise is highly symbolic; it marks a shift in market focus from last year's brutal "takeout war" that led to profit bleeding expectations to a more stable competitive landscape and the certainty of recovery brought about by improved user experience (UE). Alibaba and JD.com also benefit from this. Moreover, this recovery logic is expected to ripple out like waves.

We see Beike's steady progress in the digital transformation of real estate and home decoration business; SenseTime's semi-annual EBITDA turning positive; JD Health and Alibaba Health's business model leap under AI guidance; and Kingsoft Cloud benefiting from the surge in AI computing demand.

When the market realizes that the most brutal phase has passed, the profit elasticity of these assets will quickly return to investors' valuation models, making it one of the most attractive underlying logics for Hong Kong stock internet at present. Profit recovery provides a safety net, but the space for valuation recovery still requires capital support, which is the core of Crack Two.

1.  Crack Two: The game between "overseas noise" and "domestic pricing"

Recently, geopolitical tensions overseas have increased, but their impact on the domestic internet sector has become increasingly blunt. The business fundamentals of these companies are rooted in the vast domestic demand market, with growth engines including consumption recovery, AI commercialization, and local living—having very low correlation with external geopolitical disturbances.

This has created a peculiar "safe haven" effect: when global capital is turbulent due to risk aversion, these assets stand out in terms of their fundamental independence, highlighting their allocation value.

More importantly, the "valley" effect of low valuations in Hong Kong stocks appears striking in comparison. On one side are the high valuations of global tech stocks, especially the "Big Seven" in the U.S., while on the other side, the valuations of Hong Kong internet companies have returned to historical lows, such as Tencent's PE returning to 16 times, close to last year's low; Alibaba Cloud's external commercialization revenue has surpassed 100 billion yuan and is accelerating growth, while its market value remains at the level of five years ago; Kuaishou has nearly a 10 times PE, essentially giving away video large models.

This significant disparity in cost-effectiveness is attracting genuine long-term "smart money."

Recent market rumors suggest that Middle Eastern sovereign wealth funds are increasing their presence in Hong Kong, although unconfirmed, the logic is entirely self-consistent: seeking assets with both growth prospects and valuation safety margins globally, leading tech stocks in Hong Kong are an unavoidable option.

The continuous influx of southbound funds is further evidence. This indicates that the valuation system of Hong Kong stocks is undergoing a silent "switch" — gradually shifting from an offshore market volatility model dominated by foreign capital sentiment to an "onshore" model driven by domestic industrial logic and local pricing power.

Three, crack three: "AI narrative bubble" and the verification of "AI landing"

AI is undoubtedly the largest industrial wave currently, but in the A-share market, it once became a code for concept speculation. This year, the logic of the "main rising wave" of the AI story is shifting from "what is there" to "what can it do, and how cheap it is," with its core moving from lofty imagination to solid commercialization and cost.

OpenClaw's latest breakthrough has rewritten the rules of competition. The internet sector in Hong Kong has undoubtedly interpreted this new narrative most vividly.

Xiaomi recently launched three models of the MiMo-V2 series, and its anonymous beta version exploded on the OpenRouter platform, primarily due to its extreme cost-effectiveness and very low invocation costs, indicating that this is no longer a parameter competition in laboratories, but a blatant charge towards commercialization.

More critically, Xiaomi has a complete landing chain: from terminal devices (accessing WPS, browsers, AI assistants) to smart cars (upgrading advanced intelligent driving) and smart manufacturing (humanoid robots working autonomously in factories). In simple terms, AI is fully taking over Xiaomi's "human-vehicle-home ecosystem," evolving from mere "text understanding" to the physical intelligent stage of "being able to see, hear, and operate (OpenClaw)."

This means AI is no longer just a chatbot in the cloud, but is gradually creating hardware premiums, enhancing manufacturing efficiency, optimizing user experience, and ultimately translating into revenue and profit. Xiaomi's valuation logic is also expected to be reshaped, transforming from traditional hardware to a "global physical AI leader" with self-developed AI, OS, and chip foundations 
At the same time, the giant Tencent has also ended its wait-and-see approach and has become unprecedentedly proactive, integrating OpenClaw with its left foot and developing its own WeChat Agent with its right foot.

Tencent's upcoming release of the Hongyuan 3.0 large model in April, the advancement of the WeChat AI assistant and Yuanbao App, as well as its commercialization attempts in office AI and open skill platforms, all indicate that it is fully committed to transforming its social and tool ecosystem into an entry point for the AI era.

It is worth noting that the AI beneficiaries in the Hong Kong stock internet sector are not limited to these giants. Content platforms like Bilibili and Kuaishou are also exploring how AI can empower content creation and advertising monetization; even gaming companies like Xindong are trying to integrate AI into the gaming experience. Although these companies are smaller than the giants, they also possess unique ecological niches and flexible space in the AI wave.

As various internet companies engage in fierce competition for the AI super entry point, the vitality of the entire sector will be greatly stimulated. All of this points to one conclusion: the value of AI for Hong Kong stock internet giants is rapidly transitioning from the realm of valuation imagination to the business growth curve.

Conclusion

In summary, the reversal of Hong Kong stocks in the internet sector is not a castle in the air; it is built on three solid foundations of "certainty": the certainty of profit recovery, the certainty of valuation low ground, and the certainty of industrial driving force.

For investors looking to capture this potential trend, direct stock investment faces two major challenges: first, the complex business operations of the leaders make tracking AI progress and competitive dynamics costly; second, the rapid rotation within the sector means that betting on any single leader may cause one to miss out on the stage performance of other targets.

At this time, choosing a comprehensive ETF may be more efficient than painstakingly selecting individual stocks, especially for ETFs with a scale of over 10 billion, which provide ample liquidity and offer a safer and more convenient participation channel for both long-term allocation and swing trading investors.

Therefore, it may be worth paying attention to products like the Hong Kong stock internet ETF (513770, off-exchange connection: 017126), which closely aligns with the Hong Kong Stock Connect Internet Index, covering core leaders such as Tencent, Alibaba, Meituan, and Xiaomi, while also including beneficiaries of AI medical applications like JD HEALTH, as well as AI monetization targets from content platforms like Bilibili, Kuaishou, and Xindong There are also AI infrastructure and cloud service companies such as SenseTime and Kingsoft Cloud.

In any case, the market's pendulum always swings between extreme pessimism and excessive optimism. Currently, the pessimistic narrative surrounding Hong Kong's internet sector, including regulation, competition, and growth ceilings, has been fully or even excessively reflected in stock prices. Meanwhile, new optimistic narratives, such as profit recovery, AI realization, and valuation reassessment, are gradually being validated in the real progress of the industry.

A crack is a place where light can enter. The current "silent crack" in the Hong Kong internet sector is characterized by lingering old biases on one side and the new dawn of the industry that has already risen on the other.

At this critical stage of switching valuation systems, identifying this crack and choosing the right tools to patiently wait for the bloom may be the calmest investment posture at present.

### 相關股票

- [JD HEALTH (06618.HK)](https://longbridge.com/zh-HK/quote/06618.HK.md)
- [Krne Csi China Internet (KWEB.US)](https://longbridge.com/zh-HK/quote/KWEB.US.md)
- [MEITUAN (03690.HK)](https://longbridge.com/zh-HK/quote/03690.HK.md)
- [Meituan (MPNGY.US)](https://longbridge.com/zh-HK/quote/MPNGY.US.md)
- [Alibaba (BABA.US)](https://longbridge.com/zh-HK/quote/BABA.US.md)
- [ALI HEALTH (00241.HK)](https://longbridge.com/zh-HK/quote/00241.HK.md)
- [BABA-W (09988.HK)](https://longbridge.com/zh-HK/quote/09988.HK.md)
- [POP MART (09992.HK)](https://longbridge.com/zh-HK/quote/09992.HK.md)
- [Hwabao CSI HK Equities Internet ETF (513770.CN)](https://longbridge.com/zh-HK/quote/513770.CN.md)
- [JD-SW (09618.HK)](https://longbridge.com/zh-HK/quote/09618.HK.md)
- [JD LOGISTICS (02618.HK)](https://longbridge.com/zh-HK/quote/02618.HK.md)
- [E Fund CSI HK Connect Internet ETF (513040.CN)](https://longbridge.com/zh-HK/quote/513040.CN.md)
- [JD.com (JD.US)](https://longbridge.com/zh-HK/quote/JD.US.md)

## 相關資訊與研究

- [Meituan posts another quarterly loss as food delivery wars bite](https://longbridge.com/zh-HK/news/280610976.md)
- [China to tighten controls on price wars, boost support for overseas expansion](https://longbridge.com/zh-HK/news/280611209.md)
- [Pop Mart shares sink despite revenue surge, as analysts say Labubu reliance worries investors](https://longbridge.com/zh-HK/news/280487493.md)
- [Pop Mart Revenue Tops 30 Billion Net Profit Surges 284%, Why Did Stock Price Plummet 15%?](https://longbridge.com/zh-HK/news/280420484.md)
- [Pop Mart; files HKEX next-day disclosure return; share repurchase price per share narrows to HKD 152.21](https://longbridge.com/zh-HK/news/280599230.md)