HK Stock Market Move | CHABAIDAO (02555) rose more than 15% during trading hours. The company's gross profit margin is higher than the industry average. After entering the market, the liquidity and valuation level have increased.

CHABAIDAO (02555) rose more than 15% intraday, up 10.94% as of the time of this report, at HKD 9.43, with a trading volume of HKD 21.6391 million. Northeast pointed out that CHABAIDAO has outstanding online sales strategies, with a high proportion of takeaway orders. In terms of geographical distribution, it is relatively balanced, but its low-tier market share is significantly lower than other brands, indicating that there is still a large market penetration space. CHABAIDAO's product structure is relatively balanced, with a high proportion of high gross profit milk tea products compared to its peers, resulting in a 4% higher gross profit margin than the industry average, and the highest net profit margin among the top four players. In addition, CHABAIDAO's supply chain focuses on rapid expansion to cover the entire country. It is reported that after listing on the Hong Kong Stock Exchange in April, CHABAIDAO was included in various Hang Seng Indexes in August, including the Hang Seng Composite Index, the Hang Seng Composite MidCap Index, the Hang Seng MidCap Index (Investable), the Hang Seng Consumer Index, and the Hang Seng Hong Kong Stock Connect Index. Public information shows that CHABAIDAO was included in the list of stocks eligible for trading under the Stock Connect schemes between Hong Kong and Shenzhen, as well as between Hong Kong and Shanghai, effective from September 10th. It is widely believed that inclusion in the Stock Connect schemes will attract more mainland Chinese investors to CHABAIDAO, potentially increasing liquidity and valuation levels.