On April 14, mainland investors recorded a net sell-off of HK$2.02 billion in the Hong Kong stock market. The Shanghai-Hong Kong Stock Connect saw net sales of HK$599 million, while the Shenzhen-Hong Kong Stock Connect recorded net sales of HK$1.42 billion.
The stocks with the highest net purchases by mainland investors were POP MART (09992), CNOOC (00883), and SMIC (00981). The most heavily net-sold stocks were the Tracker Fund (02800), China Mobile (00941), and Alibaba-W (09988).
POP MART received net inflows of HK$411 million. Notably, prominent investor Duan Yongping recently expressed strong approval for the company's business model and competitive advantages, even initiating a "insurance company" strategy by selling put options. Duan stated that POP MART's latest earnings report piqued his curiosity, leading him to spend several days analyzing the company, remarking he hadn't felt such excitement in a long time. Additionally, Goldman Sachs reported that the company's newly launched IP series in March saw robust demand through domestic online channels, selling out completely.
CNOOC attracted net buying of HK$257 million. This follows a warning from JPMorgan that the impact of disruptions in the Strait of Hormuz is entering a critical phase, with the last pre-disruption oil tankers expected to arrive around April 20, potentially depleting global buffer stocks. Nations have already utilized 250 million barrels of reserves since March, with OECD commercial inventories potentially reaching operational minimums by early May. Spot Brent crude prices surged to a record high of $144, with a more than $35 premium over futures prices, indicating severe physical supply tightness.
SMIC saw net purchases of HK$67.03 million. Western Securities noted in a report that as China's leading foundry, SMIC benefits from advanced domestic process technology and orderly capacity expansion, positioning it well to capitalize on both supply chain repatriation and localization trends. Morgan Stanley recently suggested the market is significantly underestimating the impact of AI, forecasting persistent gaps in computing power and electricity demand.
UNISOUND (09678) received net inflows of HK$25.76 million. The company recently announced its 2025 results, reporting revenue of approximately RMB 1.211 billion, a 29% year-on-year increase. Revenue from its large model-related business reached RMB 610 million, representing explosive growth of over tenfold, signaling the company has successfully established a complete cycle from advanced technology to commercial application at scale.
Tencent (00700) faced net selling of HK$371 million. Morgan Stanley projected that Tencent's Q1 2026 revenue and non-IFRS operating profit would grow by 9.8% and 7.1% year-on-year, respectively. Normalizing game growth is slowing from a high base, offsetting faster growth in advertising and FinTech & Business Services, while AI investments are beginning to pressure margins.
China Mobile (00941) was net sold to the tune of HK$581 million. DBS lowered its profit forecasts for China Mobile for 2026-2028 by 10%, 11.5%, and 13.4% respectively, and reduced its target price from HK$110 to HK$98, while maintaining a "Buy" rating. The bank acknowledged near-term industry headwinds but cited the company's successful expansion into high-margin digital growth engines and its commitment to capital returns, including a substantial dividend yield of around 7%, and defensive cash flow characteristics.
The Tracker Fund (02800) experienced substantial net selling of HK$3.16 billion. Soochow Securities suggested that with stalled US-Iran negotiations and a fragile truce, the Hong Kong market's recovery path remains bumpy, though excessive pessimism is unwarranted. GF Securities noted that short-selling volume currently accounts for about 12% of total turnover, levels similar to the 2021-2022 bear market and near historical highs. While high short interest doesn't necessarily predict a market decline or rebound, the core driver for Hong Kong stocks remains fundamental changes. However, a market recovery could potentially trigger a short squeeze, amplifying any upward movement.
Furthermore, Deep Technology (01384) attracted net buying of HK$31.92 million, while Alibaba-W (09988) was net sold for HK$427 million.