HK Stock Market Move | CHOW TAI FOOK (01929) is now up over 3%, Bank of America believes the company is not directly affected by tariffs, and same-store sales may further improve in the future.

CHOW TAI FOOK (01929) rose more than 6% in early trading, rising 3.17% to 9.45 Hong Kong dollars with a trading volume of 1.18 billion Hong Kong dollars at the time of writing. On the news front, CHOW TAI FOOK's managing director, Adrian Cheng, announced that the company has raised prices once this year, with the increase ranging from 10% to 20%. He also mentioned that in the short term, the trend of Hong Kong people buying gold products in the mainland has not yet spread, mainly due to factors such as tax-free purchases of high-end jewelry in Hong Kong and a more concentrated source of supply. However, in the long term, gold products at ordinary price levels may benefit from the trend of mainland Chinese consumers buying gold, such as some collaborative IP products sold exclusively in the mainland. Bank of America Securities released a report, stating that the period of CHOW TAI FOOK's most serious decline in same-store sales has passed. The bank pointed out that CHOW TAI FOOK focuses on the domestic market and is not directly affected by global tariffs. With same-store sales bottoming out, the decline in CHOW TAI FOOK's same-store sales has narrowed and may further improve in the coming quarters; the valuation requirements are not high, with a 6% dividend yield providing support for the stock price decline, and a successful transition can provide a basis for revaluation.