Kingsoft Corporation (03888.HK) Popular Stock Analysis Report - December 3, 2025

Kingsoft Corporation (03888.HK) is a stock in the Communication Services/Electronic Games and Multimedia sector [0], closing at HK$28.10 as of December 3, 2025. It became a popular stock mainly driven by three factors:

1. Listed on the East Money App Hong Kong Stock Market Popularity List
   , attracting widespread investor attention [3].
2. Third-quarter results fell short of expectations
   , leading institutions like CICC, CLSA, and Morgan Stanley to downgrade target prices, citing poor performance in the game business [1][2].
3. Company conducted share repurchases
   : On November 20, it spent approximately HK$40 million to repurchase 1.4264 million shares, showing management’s confidence in the company’s prospects [2].

Looking at price and trading volume over the past 7 trading days:

• Price oscillated downward from HK$29.50 on November 25, dropping 3.27% on November 26, rebounding briefly by 1.25% on December 1 before continuing to fall, closing at HK$28.10 on December 3 with a 1.26% decline [0].
• Average daily trading volume was approximately 79,200 lots, lower than the average of 167,300 lots, indicating strong investor wait-and-see sentiment [0].
• Key price levels: Recent low of HK$27.96 (December 3), recent high of HK$30.36 (November 25).

Market sentiment is mixed:

• Negative factors: Poor game business performance and analyst target price downgrades pressure the stock price [1][2].
• Positive factors: Share repurchases reflect management’s recognition of company value, potentially attracting investors who see the current price as undervalued [2].
• Attention level: Being on the popularity list indicates high market attention [3].

1. Management confidence vs. market expectations
   : Despite underwhelming Q3 results and analyst downgrades, share repurchases reflect a conflict between management’s long-term value confidence and short-term market pessimism.
2. Price volatility risk under low volume
   : Below-average volume reduces market participation, making the stock prone to large fluctuations from small transactions.
3. Short-term impact of hot list effect
   : Being on the East Money App hot list may attract short-term traders, exacerbating volatility.

• Business risk
  : The game business is a core revenue source; sustained underperformance may further hurt the stock price [1][2].
• Analyst expectation downgrades
  : Multiple institutions downgrading target prices may trigger further selling [1][2].
• Low trading volume
  : Insufficient participation limits upward momentum, potentially continuing volatile trends [0].

• Share repurchase support
  : Management’s repurchases may provide short-term price support and attract value investors [2].
• Game business recovery potential
  : If the company revives its game business, the stock price could rebound.

This report comprehensively analyzes the reasons for Kingsoft Corporation (03888.HK) becoming a popular stock, its price trend, market sentiment, risks, and opportunities. Key points include: The company attracted attention due to East Money App hot list listing, underperforming Q3 results, and repurchases; mixed sentiment faces dual impacts of game business pressure and repurchase support; short-term focus on HK$27.96 support and HK$29.16 resistance levels. This report provides objective market background and risk identification, and does not constitute investment advice.