Analysis of the Surge in Popularity of Baifu Holdings (01488.HK)

Baifu Holdings (01488.HK) recently made it to the list of hot stocks on the Hong Kong Stock Exchange’s surge list [0]. Its popularity mainly stems from the business expansion announcement released by the company on November 10, 2025 [0]. The announcement shows that Baifu Holdings’ subsidiary, in collaboration with multiple parties, established Shenzhen Shendianbao with a total subscribed capital contribution of 50 million yuan, focusing on investment in Chinese catering projects. This move is regarded by the market as a positive signal for the company to expand its business scope and enhance growth potential [0].

From the perspective of price performance, Baifu Holdings’ stock price rose by 15.47% within a month [0], with the current stock price at HK$0.620, which is between the 52-week high of HK$1.100 and low of HK$0.440 [0]. As of the analysis time, since the market was not open, the daily trading volume was shown as 0 [0]. The company’s current total market capitalization is HK$978.8 million and it belongs to the catering industry [0].

Although Baifu Holdings’ stock price rose short-term due to the business expansion news, attention needs to be paid to the company’s fundamental risks. Financial data shows that the company is currently in a loss-making state, with a price-to-book ratio of -3.23, a price-to-earnings ratio of -3.95, and negative shareholder equity [0]. At the same time, there have been recent share reductions by shareholders (such as Wing Yee International Group Limited) [0], and these factors may affect the long-term performance of the company’s stock price.

: The establishment of Shenzhen Shendianbao provides the company with a new channel for catering investment. If the investment projects are successful, it is expected to drive the company’s performance growth [0].

: 1) The company is currently in a loss-making state, with financial pressure; 2) Negative shareholder equity, which poses certain financial risks; 3) Recent share reductions, which may affect market confidence [0].

Baifu Holdings (01488.HK) became a hot stock in Hong Kong due to the establishment of Shenzhen Shendianbao to expand catering investment business, with a 15.47% increase in stock price within a month. However, the company’s fundamentals have risks such as losses, negative shareholder equity, and share reductions, so investors need to view it cautiously.