HK Stock Market Move | JD-SW(09618) rose over 3% in the morning, and the policy related to the 25-year-old-for-new scheme can alleviate market concerns about the company's revenue growth.

JD-SW (09618) rose more than 3% in the morning session, rising 3.57% to 133.6 Hong Kong dollars by the time of publication, with a turnover of 4.07 billion Hong Kong dollars. UBS released a research report stating that since China introduced the subsidy policy for exchanging old appliances with new ones at the end of August last year, consumer sentiment has gradually stabilized in the fourth quarter. As JD-SW's GMV in the home appliance and 3C electronics sectors accounts for as high as 60%, its performance should be better than the industry and the retail sector in China. UBS pointed out that by 2025, the extension of subsidies for exchanging old appliances to CKH HOLDINGS categories should alleviate market concerns about JD's revenue growth this year. There is still room for improvement in consumer and category penetration rates. The bank reiterated JD as the preferred stock in the mainland China e-commerce sector, considering low market expectations, not high valuation, and the upward potential brought by macroeconomic stimulus measures, believing that the risk-return of JD is attractive, with a target price of 64 US dollars for the stock, and a "buy" rating.