Baifu Holdings (01488.HK) Becomes a Hot Hong Kong Stock: Sector Drive and Risk Analysis

Baifu Holdings (01488.HK) entered the East Money App’s Hong Kong Stock Surge List on December 22, 2025. The core reasons include:

1. Sector Linkage Effect
   : On that day, the Hong Kong stock new consumer sector strengthened collectively, benefiting the catering sub-sector. Mixue Ice Cream & Tea (02097.HK) rose by 10.1% and Pop Mart (09992.HK) rose by 4.6%, driving attention to Baifu Holdings in the same sector [5].
2. Previous Business Layout
   : On November 10, the company announced the establishment of a joint venture company Shenzhen Shendianbao with an investment of 19.95 million RMB to invest in mainland catering projects. This layout was re-examined by investors amid the sector’s upward trend [1][4].

Financial data shows that the company’s fundamentals remain weak: it lost 242 million RMB in full-year 2024 [3], and the loss narrowed to 32.86 million RMB in H1 2025 [1]; the profit margin was -52.67%, and the return on assets was -2.37% [2].

1. Speculation-Driven Feature
   : This rise lacks direct positive catalysts at the company level, mainly driven by sector sentiment, belonging to a short-term speculative rise with no fundamental support for valuation.
2. High Sector Influence Weight
   : The overall trend of the new consumer sector will be an important external factor for Baifu Holdings’ subsequent stock price fluctuations.

• Risk Points
  : Weak fundamentals (sustained losses, negative profit margin and return on assets); lack of valuation support; possible correction pressure after speculative rise.
• Opportunity Window
  : If the company’s catering investment projects make progress or the new consumer sector continues to strengthen, the stock price may get phased support.

Baifu Holdings (01488.HK) became a hot Hong Kong stock this time mainly due to the combined effect of sector drive and previous layout, but the company’s fundamentals still face great pressure. Investors need to pay attention to:

1. The overall trend of the new consumer sector [5];
2. The progress of the company’s catering investment projects;
3. Historical trading range (HK$0.8-HK$1.2) [1][2].