Southbound investors recorded a net purchase of HK$3.824 billion in Hong Kong markets on July 15. The Shanghai-Hong Kong Stock Connect channel saw net inflows of HK$1.59 billion, while Shenzhen-Hong Kong Stock Connect registered HK$2.234 billion in net buying. Meituan-W (03690), CSPC Pharmaceutical Group (01093), and Kuaishou-W (01024) emerged as the top buys, contrasting with Tencent (00700), Xiaomi Group-W (01810), and SMIC (00981) which faced substantial selling pressure.
Meituan secured HK$646 million in net purchases amid industry developments. Catering associations in Zunyi recently urged food delivery platforms to cease "involution-style" subsidies and unfair competition practices. The company also reported achieving over 150 million daily instant retail orders on July 12. Analysts at Bank of Communications International highlight Meituan's operational superiority in merchant and rider management as key to maintaining its dominant market position.
CSPC Pharmaceutical attracted HK$177 million in net inflows following regulatory milestones. Clinical trial approvals were granted for nine Class 1 innovative drugs in China during 2025, with five simultaneously clearing U.S. IND applications. UBS raised its target price to HK$10, citing undervalued licensing prospects and effective cost controls that remain unrecognized in the current share price.
Kuaishou received HK$149 million in net purchases after launching its Kling AI 2.0 video generation model in April 2025. The technology showcases world-leading capabilities according to CITIC Securities, which noted first-quarter revenues exceeding RMB150 million. This advancement strengthens Kuaishou's generative AI ecosystem and unlocks fresh growth avenues.
AI-related stocks exhibited divergent trajectories. Kingsoft Cloud (03896) gained HK$15.36 million in net purchases following U.S. approval of Nvidia's H20 chip exports to China. Industry analysts observe that while H20 underperforms H100 chips, clustered deployment can deliver comparable computing power for domestic AI model training. Conversely, Alibaba-W (09988) and SMIC saw net outflows of HK$2.66 million and HK$181 million respectively.
Tencent experienced substantial net selling of HK$830 million. CICC analysts acknowledge the resilience of its gaming segment and stable advertising revenue drivers but caution that rising depreciation costs from earlier AI investments could pressure margins. The brokerage forecasts 14% YoY growth in adjusted operating profit and 11% in net profit for Q2 2025.
Additional notable flows included HK$82.49 million net purchases for Hong Kong China Travel (00308) and HK$53.24 million for Healthway Living (02587). Xiaomi Group and Guotai Junan International (01788) recorded net outflows of HK$525 million and HK$51.5 million respectively. Star Power Legend (06683) attracted HK$58.55 million after Jay Chou's official Douyin debut, reinforcing the company's unique celebrity IP-driven retail model.