Phancy Group Defends Business Outlook as AI Fears Hit Share Price

An update from Beijing Fourth Paradigm Technology Co. Ltd. Class H ( (HK:6682) ) is now available.

Phancy Group moved to reassure investors after a sharp decline in its share price, saying recent market speculation that large language models could disrupt traditional software models has been misinterpreted in relation to its business. The board emphasized that the rapid development of large language models is actually driving demand for computing power, which is the core of its operations, and that it currently sees no undisclosed inside information affecting the company.

The company reported that 83.9% of its revenue for the nine months to 30 September 2025 came from computing power-related services, while software services contributed 16.1%. It highlighted a 36.8% year-on-year revenue increase for January to September 2025 and its first quarterly profitability in the third quarter, attributing this performance to strong growth in the AI sector and advising shareholders and potential investors to act cautiously when trading its securities.

The most recent analyst rating on (HK:6682) stock is a Hold with a HK$47.00 price target. To see the full list of analyst forecasts on Beijing Fourth Paradigm Technology Co. Ltd. Class H stock, see the HK:6682 Stock Forecast page.

More about Beijing Fourth Paradigm Technology Co. Ltd. Class H

Phancy Group Co., Ltd., formerly known as Beijing Fourth Paradigm Technology Co., Ltd., is a China-based joint stock company listed in Hong Kong. The group focuses on computing power services anchored in artificial intelligence, serving enterprise clients across multiple industries to support intelligent upgrades and digital transformation through AI technologies.

Average Trading Volume: 5,839,329

Technical Sentiment Signal: Sell

Current Market Cap: HK$23.11B

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