JPMorgan has released a research report downgrading HASHKEY HLDGS (03887) from "Overweight" to "Neutral" and reducing its target price by 44% from HK$9 to HK$5. The report indicated that HashKey's performance in the second half of 2025 was mixed, with revenue coming in 6% below the bank's expectations, primarily due to a decline in gross profit margin. Although trading volume and market share exceeded expectations, the bank has lowered its revenue forecasts for 2026 and 2027 by 19% and 21%, respectively. This adjustment partly reflects the weakening cryptocurrency asset prices and market sentiment since the beginning of the year. The report further anticipates that HashKey's operating trends in the first half of 2026 will remain challenging, with gross profit margins likely to stay at relatively low levels. Despite HashKey's strong market leadership and expansion plans in Hong Kong, the bank expects the stock to face pressure due to increased uncertainty in revenue prospects and a decline in investor appetite for high-beta, loss-making companies in a risk-off environment.