Shares of Kuaishou-W (01024) climbed more than 5% during the morning session. At the time of writing, the stock was up 4.93% to HK$44.70, with a turnover of HK$15.16 billion.

Recently, Kuaishou's video generation large model, "Kling AI," secured nearly US$3 billion in financing, with its post-investment valuation expected to reach US$18 billion. This funding round set a record for the largest single-round financing for a global multimodal large model company, signaling the formal commencement of its independent commercial development. Morgan Stanley noted that if the valuation of Kling corresponding to this transaction is deducted from Kuaishou's US$23.5 billion market capitalization, the implied 2026 price-to-earnings ratio for Kuaishou's core business is approximately 3 times. Even applying a 30% holding company discount to Kuaishou's stake in Kling, the implied 2026 P/E for the core business is only 4.3 times. Morgan Stanley considers this valuation to be "very attractive".

CICC believes the Kling AI financing is profoundly significant and is expected to reconstruct value in three dimensions. The independent pricing of the AI asset opens up the valuation ceiling for the group. It alleviates capital expenditure pressure on the group and optimizes resource allocation. Introducing diverse strategic investors strengthens industry synergy, aiding Kling in forming a stronger ecosystem collaboration across technology, computing power, and entertainment content. Furthermore, Beijing Kling simultaneously implemented an employee equity incentive plan, which is expected to further align the interests of the core team with the company's long-term goals.