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Kingsoft Cloud Weighs Dual Listing In Hong Kong As China's Geopolitical, Regulatory Risks Trigger Industry-Wide Selloff

Published 15/03/2022, 16:54
© Reuters.  Kingsoft Cloud Weighs Dual Listing In Hong Kong As China's Geopolitical, Regulatory Risks Trigger Industry-Wide Selloff
KC
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  • China's leading cloud service provider Kingsoft Cloud Holdings Ltd (NASDAQ: KC), weighed a dual listing of its shares on the Hong Kong Stock Exchange.
  • Analyst Rating: JPMorgan (NYSE:JPM) analyst Alex Yao downgraded Kingsoft to Underweight from Neutral with a price target of $3.50, down from $8 (17.7% upside).
  • Yao found the China internet sector is unattractive on a 6-12 month view as the global investors priced in China's geopolitical risks and incremental concerns about regulatory risks.
  • Speculative growth names like Kingsoft tend to have higher beta than the sector average, given their higher-risk, more aggressive growth assumption and uncertain prospects.
  • He saw the group to "generally suffer more than larger and more proven Internet names during the sell-off."
  • Price Action: KC shares traded higher by 23.50% at $3.17 on the last check Tuesday.
Latest Ratings for KC DateFirmActionFromTo
Jan 2022Goldman Sachs (NYSE:GS)DowngradesBuyNeutral
Sep 2021Nomura InstinetDowngradesBuyNeutral
Jan 2021JefferiesInitiates Coverage OnBuy
View More Analyst Ratings for KC

View the Latest Analyst Ratings

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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