In today’s briefing:
- Huitongda IPO – First Day Trading
Huitongda IPO – First Day Trading
- Huitongda (9878 HK) had a subdued stock market debut with shares opening marginally above the IPO price.
- Its subdued first-day performance suggests that investors are no longer misled by artificially low valuation multiples of “1P” EC players.
- Based on EV/ (GMV + Retail Revenue), there’s a 38% downside to Huitongda’s valuation. However, it may be best to wait for signs of weakness before arranging a short position.
Before it’s here, it’s on Smartkarma
