Kuaishou-W (01024) Surges Nearly 12% in Morning Session as Kling AI Upgrades Boost Commercialization Prospects

Stock News01-05

Kuaishou-W (01024) saw its shares surge over 12% during the morning trading session. At the time of writing, the stock was up 10.19%, trading at HK$73, with a turnover of HK$3.03 billion.

The rally is driven by news of a "series of upgrades" for its Kling AI model by year-end, featuring a unified multimodal O1+, version 2.6 with synchronized audio-video output, and Digital Human 2.0.

Huafu Securities released a research report stating that the iterative upgrades to Kling AI's functionality further enhance its commercial potential.

Using the Kling 2.6 model as an example, generating a 5-second video with the Kuaishou 1.6 model's "Standard Mode" costs 20 inspiration points, while the High-Quality Mode costs 35 points. In contrast, the Kling 2.6 model only supports a high-quality mode, priced at 50 inspiration points.

This price increase further opens up the commercialization space for the platform.

Guolian Minsheng Securities added that Kuaishou's core business maintains steady growth in line with expectations, and the launch of the new Kling version is expected to boost quarterly revenue sequentially in Q4. While short-term volatility from black swan events is possible, the current valuation offers compelling value, suggesting investors monitor opportunities after such events resolve.

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