Are Hong Kong A+H stocks the password to wealth? The increase rate reached as high as 77% in the past 5 days, with Shandong Molong rising over 80%.

Recently, the profit-making effect of A+H shares in Hong Kong has been significant. According to Futubull data, there are a total of 152 A+H shares in the Hong Kong stock market. In the past five days, 117 stocks have risen, with a rise rate of 77%, among which Shandong Molong Petroleum Machinery recorded an increase of over 80%, and ANDRE JUICE also surged nearly 70%.

Core driver factor analysis.

1. The discount rate of H shares/A shares is at a historical high, with valuations at a low point attracting mainland funds.

According to analysis data from China International Capital Corporation in April 2025,the average discount rate of H shares to A shares is about 42%, this discount rate is at a relatively high historical level, reflecting that H shares are significantly undervalued compared to A shares.

The low valuation of H shares (for example, the dynamic PE of the Hang Seng Index is about 10 times, lower than the 14 times of the Csi 300 Index) attracts northbound funds to layout Hong Kong stocks through the Stock Connect.In the first quarter of 2025, the cumulative net inflow of southbound funds exceeded 80 billion Hong Kong dollars.

2. Policy Support & H shares are more resilient.

As the USA CPI and PCE inflation data continue to decline, market expectations for a rate cut by the Federal Reserve have increased, resulting in marginal improvements in global liquidity, which is bullish for the valuation recovery of Hong Kong stocks. At the same time, domestic GDP growth is stable, and policy signals are being released (such as the central bank announcing interest rate cuts and reserve requirement ratio reductions), boosting market confidence.

Despite the tariff policies causing the market to remain volatile, undervalued H Stocks have shown greater resilience in risk-averse sentiment. For example, after the tariff exemption on Consumer Electronics, the related sector in Hong Kong stocks rebounded significantly stronger than A Shares.

3. The pace of A-share companies listing in Hong Kong is accelerating! The market sentiment for A+H is good.

Recently, Jiangsu Hengrui Pharmaceuticals and Contemporary Amperex Technology announced that they have officially passed the listing hearing at the Hong Kong Stock Exchange. At the same time, Chongqing Sokon Industry Group Stock, Shenzhen Zhaowei Machinery & Electronics, and Dongpeng Beverage have announced their plans to list in Hong Kong. Creating an international capital operation platform and strengthening global layout is a common goal for many A-share companies going public in Hong Kong.

Industry insiders indicate that in recent years, A-share companies' interest in the "A+H" listing has been growing. With the Hong Kong Stock Exchange and the Hong Kong Securities Regulatory Commission providing fast tracks for high market cap A-share listed companies, and the continuous advancement of internationalization strategies by A-share companies, the "A+H" listing model is increasingly favored, injecting strong momentum into the development of the Hong Kong market.

Specifically,

– Shandong Molong Petroleum Machinery took off the hat and returned to the Hong Kong Stock Connect, with increased liquidity driving the rise in stock prices.

$SHANDONG MOLONG (00568.HK)$ Due to operational improvements, the A-share has removed the Special Treat risk warning and resumed normal stock trading, with the fluctuation limit relaxed from 5% to 10%, boosting market sentiment. Additionally, because of taking off the hat, the H Stocks have been re-included in the Stock Connect, allowing mainland investors to buy through Hong Kong Stock Connect, significantly increasing liquidity.

Previously, Shandong Molong Petroleum Machinery had a significant discount when listed in Hong Kong compared to A-shares, leading to an influx of funds into H-shares for arbitrage, resulting in a 188% spike in a single day. However, on the evening of May 8, just three days after 'taking off the hat', Shandong Molong announced that its second-largest shareholder, Zhihua Holding and its concert parties, through centralized bidding, had cumulatively reduced their holdings of the company's H-share stock by 0.107 billion shares from May 7 to 8, accounting for 13.39% of the company's total equity. This led to Shandong Molong experiencing three consecutive days of decline, with its stock price retracting over 40%, highlighting the risks for investors.

– Consumer recovery coupled with bullish performance! ANDRE JUICE surged nearly 70% on the 5th.

Recently, Hong Kong beverage stocks have drawn frequent market attention, with Auntie from Shanghai rising over 40% on its listing day. However, the more explosive performance was seen with, $ANDRE JUICE (02218.HK)$ a nearly 70% surge over five trading days.

ANDRE JUICE is located in Yantai City, Shandong Province, known as the hometown of Apple in China. The company is one of the world's major concentrated juice processing enterprises and is the first dual-listed company 'A+H' in the domestic juice beverage industry. Its main products are concentrated apple juice and concentrated pear juice, positioned upstream in the beverage manufacturing industry chain.

The notable surge in the company's stock price can be attributed to the reasons found in the recent announcement of its Q1 2025 performance. According to the announcement, ANDRE JUICE's revenue for the first quarter of 2025 was 0.43 billion yuan, an increase of 58.98% year-on-year; the net income attributable to the parent company was 86.0682 million yuan, an increase of 61.31% year-on-year.

Kaiyuan Securities stated that the overall trend of the food and beverage sector in 2025 is relatively stable. Before the Spring Festival, due to the impact of a high base in the same period, the market generally held a pessimistic outlook for the sector. However, benefiting from the rigid public demand, food and beverage consumption achieved stability under low expectations, leading to a rebound in stock prices post-Spring Festival. After entering March, the sector's stock prices entered a stable phase without further deterioration. Since April, affected by Sino-American tariff impacts, domestic demand boosting expectations have strengthened, leading the market to pay more attention to stocks with growth potential, fast earnings growth, and solid fundamentals.

In addition, the bullish impact of interest rate cuts and reserve requirement ratio reductions on financial stocks. $HOLLY FUTURES (03678.HK)$ Next year, the linear control steering system will have mass production capabilities. $ZHEJIANG SHIBAO (01057.HK)$ All recorded an increase of over 20% in the past 5 days.

Conclusion

The recent rise in Hong Kong stocks A+H is the result of valuation repair, policy support, and a resonance of fund inflows. Institutions generally believe that Hong Kong stocks still have allocation value, but it is necessary to select symbols carefully and pay attention to profit certainty. Investors can refer to the trends of southbound capital and changes in AH premiums, and dynamically adjust their strategy based on their own risk preferences.

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