Movement Alert|Kuaishou-W Rises 3.65% in Regular Trading, Kling AI Spin-off Expectations and Q1 Earnings Continue to Drive Upside

Market Focus06-01

On June 1, Kuaishou-W rose 3.65% in regular trading, reaching HK$47.38 per share, with trading volume of HK$673 million.

The movement was primarily driven by continued market enthusiasm following Kuaishou's Q1 earnings released on May 27 and emerging expectations of a Kling AI spin-off listing. The Q1 report showed Kling AI revenue exceeded RMB 650 million, surging over 300% year-over-year, with March annualized revenue run rate approaching US$5 billion — a fourfold increase from US$1 billion a year earlier, far exceeding market expectations.

Adding further catalyst, reports have surfaced that Kuaishou is planning to spin off Kling AI for an independent listing at an estimated valuation of US$20 billion, with a pre-IPO fundraising round of approximately US$2 billion under discussion. The board confirmed it is evaluating a proposed restructuring of Kling AI-related assets, though the plan remains at a preliminary stage. Multiple major banks, including Daiwa, have raised their target prices, with Daiwa lifting its 12-month target from HK$63 to HK$72 while reiterating a Buy rating.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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