Movement Alert|Nobikan Falls 5.33% in Regular Trading, Post-Stock Connect Inclusion Selloff Continues With Over 80% Drawdown From Peak

Market Focus06-23

On June 23, Nobikan fell 5.33% in regular trading, trading at 14.29 HKD/share, with turnover of approximately 28.55 million HKD. The stock continues its steep decline from the all-time high of 83.2 HKD set on April 20 when it was officially included in the Stock Connect program.

The ongoing selloff reflects a classic buy-the-rumor-sell-the-news pattern. Prior to Stock Connect inclusion, the stock had surged approximately 700% from its IPO price, driven by speculative anticipation of the catalyst. Once inclusion materialized, massive accumulated profits triggered concentrated selling, resulting in a cumulative maximum drawdown exceeding 80% from peak. The stock's actual free float of only approximately 30 million shares amplifies price swings in both directions, causing frequent oscillation between gains and losses. A prior 1-for-10 stock split further lowered the trading threshold and increased volatility.

On fundamentals, the company reported revenue of 498 million RMB for 2025, up 23.7% year-over-year, but net profit growth decelerated sharply to just 2.1%, suggesting the valuation premium built during the rally lacked earnings support.

(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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