On July 9, Guming fell 7.86% in regular trading, trading at HK$19.92 per share, with turnover of HK$178 million. The stock has now broken below its prior buyback price of HK$20.38.
The decline is driven by persistent delta-hedging selling pressure following the completion of a HK$1.96 billion zero-coupon guaranteed convertible bond issuance on July 2. Large position movements have been observed recently, with Citibank transferring out 80.09 million shares on July 2 and Goldman Sachs transferring out 56.42 million shares on June 29, as CB holders establish hedging positions that create sustained downward pressure on the stock.
Additionally, market concerns over same-store sales growth deceleration amid high base effects and new store openings falling below expectations remain unresolved. Daiwa previously cut its earnings forecasts by 4-5% and lowered its target price to HK$32. Peer Mixue Group also declined 3.36% on the same day, reflecting broadly weak sector sentiment.
(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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