Mainland-based investors were net buyers of Hong Kong stocks on June 1, with net purchases totaling HK$4.66 billion.
Through the Shanghai-Hong Kong Stock Connect, net buying amounted to HK$2.87 billion, while the Shenzhen-Hong Kong Stock Connect saw net purchases of HK$1.79 billion.
**AKESO (09926)**
AKESO was the top target for northbound inflows, receiving net purchases of HK$2.71 billion. This follows positive news regarding its drug candidate ivonescimab (AK112), which reportedly demonstrated superior Overall Survival (OS) data compared to a PD-1 inhibitor. Analysts at China Merchants Securities expressed optimism about AKESO's first-mover advantage with AK112 as a potential foundational next-generation immuno-oncology therapy and its international commercial potential. They noted the excellent OS benefit shown in the HARMONi-6 trial could have global implications and potentially lead to success in the competitive lung cancer treatment market.
**TENCENT (00700)**
TENCENT was the second-largest recipient of northbound capital, with net inflows of HK$1.02 billion. The company's Senior Executive Vice President and CEO of the Cloud and Smart Industries Group recently stated that Tencent is actively deploying AI in its core operations. In its gaming and advertising businesses, AI has reportedly helped boost user engagement, improve conversion rates, and contributed to over 20% of revenue growth in these segments.
**POP MART (09992)**
POP MART attracted net buying of HK$800 million. Notably, investor Duan Yongping increased his stake in the company through his H&H Fund on May 25. Duan and his concert parties now hold approximately 76.37 million shares, representing a 5.69% stake, making him the company's second-largest shareholder after founder Wang Ning. Duan has publicly expressed his bullish view on POP MART on several occasions.
**CNOOC (00883)**
CNOOC saw net inflows of HK$502 million. In related market commentary, the head of RBC's commodity research warned of a significant divergence between current oil price trends and supply realities. He noted that global inventories are being drawn down at a record pace, suggesting that the period from June to August could present a severe stress test for the crude oil market if the situation does not see a substantive breakthrough.
**Alibaba Group (09988)**
Alibaba Group received net purchases of HK$97.02 million. The company announced a partnership with UEFA, the Union of European Clubs (UCEC), in Budapest, Hungary. Alibaba will become the official exclusive partner for AI, cloud computing services, and e-commerce for the UEFA Champions League, UEFA Europa League, and UEFA Conference League (from the 2027/28 to 2032/33 seasons), as well as for UEFA EURO 2028.
Semiconductor stocks showed mixed performance among northbound investors. Semiconductor Manufacturing International Corporation (00981) received net buying of HK$96.04 million. In contrast, Hua Hong Semiconductor (01347) faced net selling of HK$200 million. This activity comes amid news of the National Integrated Circuit Industry Investment Fund (Big Fund) disclosing plans to reduce stakes in several semiconductor leaders, including SMIC. Market analysts view this as a routine market-driven exit. However, some industry institutions caution that after a sustained rally, trading activity in the A-share semiconductor sector has reached historically high levels, suggesting a risk of a technical pullback or increased short-term volatility.
In other notable flows, Yangtze Optical Fibre and Cable (06869) saw net inflows of HK$56.47 million, while Kingboard Laminates Holdings (01888) was the target of net selling amounting to HK$208 million.