China & Hong Kong Stock Picks (July-August 2025)

As mentioned before, I like to listen to what (ex-Blackrock who warned about Enron etc) Ed Dowd has to say when he makes the rounds in the alt-finance podcast space (search YouTube or Rumble for their names to find their latest interviews). In one of his more recent interviews, Dowd mentioned his firm will be coming out with a report in the coming weeks about the Chinese economy which he says is in much worse shape than what people think.

Although Dowd would not get into specifics about the report’s findings before being released, he mentioned that Chinese corporate debt alone is around the $40 trillion level (albeit he did not have the exact figure at the top of his head).

Nevertheless and as mentioned Monday (China IPO market shows signs of recovery, bolstering VC/PE activity 🗃️; Tech talk reignites US investors’ interest in Chinese equities 🗃️; China healthcare firms raise US$10.6 billion YTD 🗃️; and Asean IPO comeback – robust pipeline, liquidity-fuelled SGX 🗃️ – some Chinese stocks are raising capital or listing on the SGX), the Chinese market has perked up.

However, Desmond Shum, the author of Red Roulette: An Insider’s Story of Wealth, Power, Corruption, and Vengeance in Today’s China and who’s billionaire (now ex-) wife Whitney Duan (Duan Weihong) “disappeared” for several years in a corruption crackdown, always has interesting insights about China with this tweet about Chinese stock market manipulation catching my attention:

This was the Tweet he had replied to:

And the thread from the Michael Pettis tweet link in Desmond’s tweet:

Desmond also recently posted this long tweet about Chinese industrial policy in response to another tweet:

That tweet naturally brought out all the pro-China shrills and bots…:

My Monday post also mentioned a recent Bamboo Works podcast (China’s state-driven stocks, and its corporate wars abroad 17:19 Minutes) which noted that the Chinese really have no other place to put their money right now plus there is some stock market speculation centred around government policy which can always go in all different directions…

However, I would be cautious speculating on Chinese government policy as the technical chart for New Oriental Education (NYSE: EDU) dramatically demonstrates:

With that said, stocks covered by a couple of equity research providers in this post from July and August:

[Note: On desktop browsers, an autogenerated table of contents will appear on the left side linked to each stock. I will add those links below after publishing/emailing this post…]

🇨🇳 China – Sany Heavy Equipment International Holdings, Zhongji Innolight, DPC Dash, Giant Biogene Holding, Baozun, Trip.com, Innovent Biologics, Li Auto, SenseTime, Sinotruk (Hong Kong), Akeso, Haidilao International Holding, Anta Sports, Intron Tech, Meituan, CR MixC Lifestyle, Ping An Insurance, China MeiDong Auto Holdings, Jinmao Property Services, BOE Varitronix, Luxshare Precision Industry, Green Tea Group, Henlius Biotech, Angelalign Technology, Ke Holdings, EHang Holdings, China Yongda Automobile Services Holding, ZhongAn Online P & C Insurance Co, Jiangsu Hengli Hydraulic, BaTeLab, Jiumaojiu International Holdings, Tongda Group Holdings Ltd, PDD Holdings, Greentown Service Group, Poly Property Services Co Ltd, RoboSense Technology, Binjiang Service, Li Ning, CSPC Pharmaceutical, Maxscend Microelectronics, Bilibili, TK Group, SANY Heavy Industry, Aac Technologies Holdings, Xunfei Healthcare Technology, Tuhu Car, Kuaishou Technology, iQIYI, Guoquan Food Shanghai Co Ltd, Sichuan Kelun-Biotech Biopharmaceutical, WuXi Biologics, Baidu, Kanzhun Limited, China Hongqiao, Haitian International, Pop Mart International Group Ltd, ZTO Express, Xiaomi, Hansoh Pharmaceutical Group Company, Onewo, Yancoal Australia, Xpeng Inc., Xtep, Zhejiang Leapmotor Technology Co Ltd, Tongcheng Travel, NetEase Cloud Music, Weibo, China Lilang, NetEase, JD.com, Geely Automobile Holdings, Dmall Inc, 361 Degrees International Limited, Beijing Geekplus Technology Co Ltd, Foxconn Interconnect Technology (FIT Hon Teng), Tencent, Tencent Music Entertainment Group, Kingdee International Software Group, Q Technology (Group) Company, Hua Hong Semiconductor, Hutchmed, Uni-President China Holdings Ltd, BeOne Medicines (BeiGene), Yum China, China Tower, Sino Biopharmaceutical Ltd, Luckin Coffee, New Oriental Education, WuXi AppTec, Zhejiang Dingli Machinery, Mixue Group, CGN Mining, Shengyi Technology, Alibaba, J&T Global Express Ltd & LK Technology Holdings

Hong Kong stocks (a number of which have attractive dividend yields now that US interest and CD rates are starting to head down):

[Note: Access to some DBS Insights Direct pieces might be restricted depending on your location or browser.]

🇭🇰 Hong Kong – KLN Logistics Group Limited, China Overseas Land & Investment Ltd, BOC Hong Kong Holdings Ltd, Sino Land Co Ltd, Regal Real Estate Investment Trust, Prudential PLC, China Overseas Grand Oceans Group Ltd, Nissin Foods Co Ltd, Hong Kong and China Gas Co Ltd, Wing Tai Properties Ltd, K. Wah International Holdings Ltd, Henderson Land Development Co Ltd, Hong Kong Exchanges and Clearing Ltd, Stella International Holdings Ltd, AIA Group Ltd, VSTECS Holdings, Kerry Properties Ltd, DFI Retail Group Holdings Ltd, Champion Real Estate Investment Trust, CITIC Telecom International Holdings Ltd, Prosperity Real Estate Investment Trust, CK Asset Holdings Ltd, Hysan Development Co Ltd, SF Real Estate Investment Trust, CK Infrastructure Holdings Ltd, Link Real Estate Investment Trust, Wharf Holdings Ltd, Langham Hospitality Investments Ltd, WH Group Ltd, Cathay Pacific Airways Ltd, Galaxy Entertainment Group Ltd, HK Electric Investments Ltd, Sunlight Real Estate Investment Trust, Luk Fook Holdings International Ltd, Swire Properties Ltd, Wharf Real Estate Investment Company Ltd, Sun Hung Kai Properties Ltd, Techtronic Industries, Fortune Real Estate Investment Trust, CLP Holdings Ltd, Hang Seng Bank Ltd, Budweiser Brewing Company APAC Ltd, Hang Lung Properties Ltd, Prada SpA, Hongkong Land Holdings Ltd, Sands China Ltd, Hutchison Port Holdings Trust, ASMPT Ltd & CSI Properties Ltd

CMB International Capital Corporation, a wholly owned subsidiary of China Merchants Bank (SHA: 600036 / HKG: 3968 / OTCMKTS: CIHKY / OTCMKTS: CIHHF), has a monthly list of 20+ high conviction stock ideas – namely Chinese stock picks (see our 2023 – May, June, July, August, September, October, November & December; 2024 – January-February, March, April, May, June, July-August, September, October, November & December; 2025 – January, February, March, April, May & June posts summarizing those) BUT these lists do not change too much from month to month. Stocks covered by the CMBI August 2025 list (including additions and deletions from July and August) and included in this post with updated stats and charts include:

Geely Automobile, Zhejiang Leapmotor Technology Co Ltd, Xpeng Inc., Zoomlion Heavy Industry, Sany Heavy Equipment International Holdings, Green Tea Group, CGN Mining, JNBY Design, Luckin Coffee, Proya Cosmetics, China Resources Beverage Holdings (CR Beverage), BeOne Medicines (BeiGene), 3SBio Inc, Innovent Biologics, AIA Group Ltd, PICC Property and Casualty Co Ltd, Tencent, Alibaba,, Trip.com, Greentown Service Group, Xiaomi, Aac Technologies Holdings, BYD Electronic International, Horizon Robotics, OmniVision Integrated Circuits Group (Will Semiconductor Co Ltd), BaTeLab, Naura Technology Group & Salesforce

And as always, this post is provided for informational purposes only (and to make your life easier…). It does not constitute investment advice and/or a recommendation…

🔬 Research analysis (including articles/blog posts from fund managers, etc.); 🎥 Video; 🎙️ Podcast; 🎬 Webinar; 📰 Newspaper/magazine article; 📯 Press release; 💻 Substack/blog/website article; ✅ Our own posts; 🗃️ Archived article; ⏰ Upcoming webinar or event; ⚠️ Disclosures or restricted access e.g. based on your location, investor status, etc.; 🇼 Wikipedia page; 🏷️ Tagged links to other posts about the stock.

China, Hong Kong & Macau Stock Index

Frontier & Emerging Market Stock Index

🇨🇳 China

Sany Heavy Equipment International Holdings

🔬 SANY International (631 HK) – 2Q25 profit in-line; Raise earnings forecast on new business growth & expense control (CMB International) 08-29 2025 ⚠️

🔬 SANY International (631 HK) – 2Q25E profit rose 16-35% largely in-line; Solid growth trajectory (CMB International) 08-12 2025 ⚠️

🌐 Sany Heavy Equipment International Holdings (HKG: 0631 / FRA: YXS / OTCMKTS: SNYYF) 🇰🇾 – Mining & Logistics Equipment. Mining equipment, logistics equipment, robotic, smart mine products & spare parts. 🇼 🏷️
Price/Book (Current): 1.66
Forward P/E: 7.09 / Forward Annual Dividend Yield: 4.11% (Yahoo! Finance)

Zhongji Innolight

🔬 Innolight (300308 CH) – Record revenue and earnings coupled with significant margin expansion; Maintain BUY (CMB International) 08-29 2025 ⚠️

🔬 Innolight (300308 CH) – 2Q earnings reinforce AI infrastructure spend momentum (CMB International) 07-17 2025 ⚠️

🇨🇳👼🏻 Zhongji Innolight Co Ltd (SHE: 300308) – CNC equipment for motor winding manufacturing. 🇼 🏷️
Price/Book (Current): 19.94
Forward P/E: 29.41 / Forward Annual Dividend Yield: 0.12% (Yahoo! Finance)

DPC Dash

🔬 DPC Dash (1405 HK) – Fundamentals intact regardless of city tiers (CMB International) 08-29 2025 ⚠️

🇨🇳 DPC Dash (HKG: 1405 / FRA: X12 / OTCMKTS: DPCDF) 🇻🇬 – Domino’s Pizza’s exclusive master franchisee in China, Hong Kong & Macau. 🏷️
Price/Book (Current): 4.20
Forward P/E: 41.84 / Forward Annual Dividend Yield: N/A (Yahoo! Finance)

Giant Biogene Holding

🔬 Giant Biogene (2367 HK) – Resilient revenue growth driven by multiple channels and dual brands (CMB International) 08-29 2025 ⚠️

🇨🇳 Giant Biogene Holding (HKG: 2367) 🇰🇾 – Bioactive ingredient-based professional skin treatment product industry in China. 🏷️
Price/Book (Current): 6.37
Trailing P/E: 25.72 (no forward P/E) / Forward Annual Dividend Yield: 1.05% (Yahoo! Finance)

Baozun

🔬 Baozun (BZUN US) – Profitability improvement on track (CMB International) 08-29 2025 ⚠️

🌐 Baozun (NASDAQ: BZUN) – Brand eCommerce service industry & digital commerce enabler in China. Serves 400+ brands from various industries & sectors around the world. 🏷️
Price/Book (Current): 0.48
Forward P/E: 28.74 / Forward Annual Dividend Yield: N/A (Yahoo! Finance)

Trip.com

🔬 Trip.com (TCOM US) – 2Q results beat; resilient revenue and earnings growth to sustain (CMB International) 08-29 2025 ⚠️

🌐 Trip.com (NASDAQ: TCOM) – One-stop travel platform. Operates Ctrip, Qunar, Trip.com & Skyscanner. 🇼 🏷️
Price/Book (Current): 2.45
Forward P/E: 18.62 / Forward Annual Dividend Yield: 0.38% (Yahoo! Finance)