HK Stock Market Move | SAMSONITE (01910) fell nearly 5% as institutions believe that the market may be overlooking the potential revaluation of the company's dual listing in the US.

SAMSONITE (01910) fell by nearly 5%, as of the time of writing, it fell by 4.76% to HK$17.81, with a turnover of HK$37.1124 million. UBS released a research report stating that they have received many inquiries from investors recently, asking about the fundamental reasons for the weakness in SAMSONITE's stock price (down 6%) since the announcement of the dual listing in the United States in mid-February. UBS learned from investor feedback that the weakness in the stock price may be attributed to concerns about the group's 15% discount from the issue price, as well as concerns about dilution of shares. Investors believe that these concerns have overshadowed the potential valuation reassessment that the group may receive after the U.S. listing. However, UBS pointed out that in the recent financial results released by global airlines, online travel agencies, hotels, and luxury goods companies, the bank sees relatively positive indications, and the performance of these companies may have indicative significance for the trend of the group's revenue. In the past seven quarters, SAMSONITE's revenue trend has been highly correlated with LVMH. In addition, UBS expects that the recent ruling by the U.S. Supreme Court on the legality of U.S. tariffs and subsequent tariff adjustments should effectively reduce the tariff rates facing the group by a low to mid single-digit percentage within the next five months; it is anticipated that the group's American wholesale customers may take advantage of this window to replenish inventory in the background of strong tourism demand, thus driving the recovery of the group's revenue in the U.S. market.