HK Stock Market Move | CHOW TAI FOOK (01929) rose more than 3%. The company responded to rumors stating that at the current stage, it has confirmed that the "fixed price" gold products will gradually increase in price starting in October.

CHOW TAI FOOK (01929) rose more than 3%, as of the time of publication, it has risen by 2.62% to HK$16.06, with a trading volume of HK$1.47 billion. On the news front, recently, in response to market rumors that CHOW TAI FOOK's "one-price" gold jewelry is about to increase in price, a spokesperson for CHOW TAI FOOK stated that currently confirmed "one-price" gold products will gradually increase in price starting in October, and the adjustment amount will be announced later. Huatai previously pointed out that in 1QFY26 (April-June 2025), the company's Mainland China directly operated stores' SSSG (same store sales growth rate) decreased to -3.3%, with Mainland China and Hong Kong and Macau markets recording positive growth (+2.2%). The bank believes that as the price of gold stabilizes, the demand for gold jewelry will gradually increase, and the high prosperity of the company's one-price gold sales, CHOW TAI FOOK's same-store growth rate in Mainland China is expected to return to positive, and the growth in Hong Kong and Macau will continue to be positive. Guosen pointed out that in recent years, as the price of gold continues to rise, and consumers are increasingly attracted to high-premium products such as diamond set jewelry, the understanding of gold's value-preserving properties continues to strengthen. However, the rapid rise in the price of gold has also suppressed the release of some traditional demand, and gold products with cost-plus pricing are facing margin pressure; at the same time, breakthroughs in design and craftsmanship have significantly enhanced the fashion attributes of gold, opening up the scene of self-enjoyment consumption, the one-price gold jewelry that combines "fashion+ value preservation" and strong product design achieves a perfect fusion, with the growth rate of one-price gold jewelry products from multiple companies exceeding 100% in 2024. At the same time, the gross profit margin of one-price products with premium reaches 30%-40%, ensuring the profitability of the enterprise.