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Kuaishou Technology Class B (HK:1024)
:1024
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Kuaishou Technology Class B (1024) AI Stock Analysis

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HK:1024

Kuaishou Technology Class B

(1024)

Rating:79Outperform
Price Target:
HK$82.00
▲(7.26% Upside)
Kuaishou Technology's overall stock score reflects its strong financial performance and positive earnings call insights, which are the most significant factors. The technical analysis supports a positive trend, while the valuation is reasonable. The absence of corporate events does not impact the score.
Positive Factors
AI Integration
Kuaishou is making solid progress on the AI front, including the launch of OneRec, an AI recommendation model that improved user time spent and retention rates.
Financial Performance
Kuaishou reported total revenue up by 13% YoY to RMB35.0bn and adjusted net profit grew by 20% YoY to RMB5.6bn, driven by solid e-commerce business and better-than-expected AI monetization.
Shareholder Returns
The company declared a special dividend of HK$0.46 per share and will continue to give back to shareholders through dividend and share repurchases.
Negative Factors
AI Investment Impact
Stepping up AI investment will impact the adjusted net margin by 1-2ppt, although it is expected to remain stable at 14%.
Live Streaming
Live streaming revenue declined by 2% YoY, though the decline rate narrowed compared to the previous quarter.

Kuaishou Technology Class B (1024) vs. iShares MSCI Hong Kong ETF (EWH)

Kuaishou Technology Class B Business Overview & Revenue Model

Company DescriptionKuaishou Technology, an investment holding company, provides live streaming, online marketing, and other services mainly in the People's Republic of China. It offers Kuaishou Flagship, a short video and content based social networking platform; Kuaishou Express; Kuaishou Concept; Yitian Camera, an app to create photographs, videos, and vlogs; Kmovie, a shooting, editing, and production tool; AcFun, a video sharing website; and Kuaikandian, an information content aggregator. The company also develops and sells in-house mobile games, as well as games developed by third party game developers; provides online knowledge-sharing through its platform; and offers live streaming e-commerce content services. In addition, it develops software, hardware, and network technology; and offers programming and advertising, internet information, and multimedia information technology services, as well as provides technology development, promotion, and other services. Kuaishou Technology was founded in 2011 and is headquartered in Beijing, China.
How the Company Makes MoneyKuaishou Technology generates revenue primarily through three main streams: live streaming, online marketing services, and other services, which include e-commerce and gaming. The live streaming segment, which accounts for a significant portion of its income, involves users purchasing virtual items to gift to content creators during live streams. Online marketing services provide advertising opportunities for businesses to reach Kuaishou's vast user base through targeted ads and promotional content. Additionally, the company has been expanding its e-commerce capabilities by facilitating transactions between users and merchants on its platform, leveraging its large user engagement to drive sales. Strategic partnerships with brands and content creators further enhance its revenue-generating capabilities, while investments in artificial intelligence and data analytics optimize user experience and advertising effectiveness.

Kuaishou Technology Class B Earnings Call Summary

Earnings Call Date:Aug 21, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 25, 2025
Earnings Call Sentiment Positive
The earnings call highlighted strong revenue growth, record-breaking user engagement, and successful AI strategy execution. However, increased R&D and administrative expenses slightly dampened the overall financial outlook. The company's decision to declare a special dividend and the positive impact of AI investments on long-term growth add to the optimistic outlook.
Q2-2025 Updates
Positive Updates
Record-Breaking Daily Active Users
Average DAUs on the Kuaishou App reached a record high of 409 million in Q2, showing steady year-over-year growth.
Revenue Growth
Total revenue rose by 13.1% year-over-year to RMB 35 billion, driven by growth in online marketing services, live streaming, and e-commerce.
Improved Profitability
Adjusted net profit totaled RMB 5.6 billion with a 16% adjusted margin, marking a new high in quarterly profitability.
Special Dividend Declared
The Board declared a special dividend of HKD 0.46 per share, amounting to HKD 2 billion in total.
AI Strategy Success
Kling AI revenue surpassed RMB 250 million in Q2, showing significant progress in AI-driven innovation and commercialization.
E-commerce Growth
E-commerce GMV rose by 17.6% year-over-year to RMB 358.9 billion, driven by increased monthly average paying users and enhanced user experience.
Negative Updates
Increased R&D Expenses
Research and development expenses rose by 21.2% year-over-year, mainly due to increased investments in AI.
Higher Administrative Expenses
Administrative expenses increased by 13.3% year-over-year, mainly due to higher employee benefit expenses.
Company Guidance
During the second quarter of 2025, Kuaishou Technology reported a notable increase in key metrics, reflecting strong financial and operational performance. The company's average daily active users (DAUs) on the Kuaishou App reached a record high of 409 million, marking a year-over-year growth. Total revenue for the quarter rose by 13.1% year-over-year to RMB 35 billion, while the adjusted net profit totaled RMB 5.6 billion, achieving a 16% adjusted margin, the highest quarterly profitability to date. The company declared a special dividend of HKD 0.46 per share, amounting to approximately HKD 2 billion, signaling confidence in long-term growth prospects. Additionally, revenue from their AI segment Kling AI surpassed RMB 250 million, contributing to the overall growth. The company continued to invest in AI and reported growth in online marketing services revenue, which reached RMB 19.8 billion, driven by advancements in AI-generated content and marketing solutions. E-commerce gross merchandise volume (GMV) also experienced substantial growth, rising by 17.6% year-over-year to RMB 358.9 billion.

Kuaishou Technology Class B Financial Statement Overview

Summary
Kuaishou Technology exhibited strong financial performance with notable revenue growth, improved profitability, and robust cash flow generation. The healthy balance sheet and effective cash management underscore the company's stability and growth potential, despite a rise in liabilities.
Income Statement
85
Very Positive
Kuaishou Technology has demonstrated strong revenue growth with a 11.8% increase from 2023 to 2024. The company achieved a solid gross profit margin of 54.6% and a net profit margin of 12.1% in 2024. Additionally, the EBIT margin improved significantly to 12.0%, reflecting enhanced operational efficiency. These metrics indicate robust growth and profitability, positioning the company favorably within its industry.
Balance Sheet
78
Positive
The company's balance sheet shows a healthy equity ratio of 44.3% and a manageable debt-to-equity ratio of 0.35 in 2024, indicating a strong financial structure. With a return on equity of 24.7%, Kuaishou is effectively generating returns on shareholders' investments. However, the increase in total liabilities suggests a potential risk that needs monitoring.
Cash Flow
83
Very Positive
Kuaishou's cash flow statement highlights a substantial growth in free cash flow from 2023 to 2024. The operating cash flow to net income ratio of 1.94 reflects strong cash generation capabilities. Additionally, the free cash flow to net income ratio is 1.94, indicating efficient cash management and solid financial health.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue126.90B113.47B94.18B81.08B58.78B
Gross Profit69.29B57.39B42.13B34.03B23.81B
EBITDA17.74B14.59B-5.41B-71.65B-112.11B
Net Income15.34B6.40B-13.69B-78.08B-116.64B
Balance Sheet
Total Assets139.87B106.30B89.31B92.52B52.15B
Cash, Cash Equivalents and Short-Term Investments51.50B48.86B35.41B45.28B26.81B
Total Debt29.53B15.72B12.93B13.61B5.71B
Total Liabilities77.85B57.22B49.47B47.42B212.20B
Stockholders Equity62.00B49.06B39.83B45.09B-160.05B
Cash Flow
Free Cash Flow21.72B15.88B-2.42B-13.28B-3.62B
Operating Cash Flow29.79B20.78B2.20B-5.52B2.29B
Investing Cash Flow-36.68B-19.86B-17.55B-18.36B-4.87B
Financing Cash Flow6.71B-1.36B-4.48B36.50B19.29B

Kuaishou Technology Class B Technical Analysis

Technical Analysis Sentiment
Positive
Last Price76.45
Price Trends
50DMA
70.27
Positive
100DMA
61.44
Positive
200DMA
55.55
Positive
Market Momentum
MACD
1.51
Positive
RSI
55.26
Neutral
STOCH
71.93
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1024, the sentiment is Positive. The current price of 76.45 is above the 20-day moving average (MA) of 76.11, above the 50-day MA of 70.27, and above the 200-day MA of 55.55, indicating a bullish trend. The MACD of 1.51 indicates Positive momentum. The RSI at 55.26 is Neutral, neither overbought nor oversold. The STOCH value of 71.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1024.

Kuaishou Technology Class B Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
HK$342.53B18.8025.22%10.72%17.05%
60
Neutral
$44.05B4.50-12.81%4.08%1.86%-43.08%
$711.28B24.8921.04%0.75%
€3.09B15.386.22%
79
Outperform
HK$245.73B8.2710.28%-1.69%42.04%
78
Outperform
HK$285.11B28.1413.99%10.25%84.17%
71
Outperform
HK$21.98B8.1910.70%7.35%0.99%14.41%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1024
Kuaishou Technology Class B
76.45
36.15
89.70%
TCTZF
Tencent Holdings
77.10
29.02
60.36%
DE:8AHA
Autohome Inc Class A
5.85
0.70
13.59%
HK:9888
Baidu, Inc. Class A
86.60
3.65
4.40%
HK:9898
Weibo Corp Class A
87.50
33.88
63.19%
HK:1698
Tencent Music Entertainment Group Class A
100.20
59.37
145.41%

Kuaishou Technology Class B Corporate Events

Kuaishou Technology Schedules Board Meeting to Review Interim Results
Aug 4, 2025

Kuaishou Technology has announced a board meeting scheduled for August 21, 2025, to discuss and approve the unaudited consolidated interim results for the first half of the year. This meeting is significant as it will provide insights into the company’s financial performance, potentially impacting its market position and stakeholder interests.

The most recent analyst rating on (HK:1024) stock is a Buy with a HK$75.00 price target. To see the full list of analyst forecasts on Kuaishou Technology Class B stock, see the HK:1024 Stock Forecast page.

Kuaishou Technology Grants Over 7 Million RSUs to Employees
Jul 21, 2025

Kuaishou Technology has announced the grant of 7,721,137 Restricted Share Units (RSUs) to eligible employees under its 2023 Share Incentive Scheme. This initiative aims to align the interests of employees with the company’s growth and profitability, with no performance targets attached to the RSUs. The vesting period ranges from 0 to 48 months, and the company has mechanisms to recover or withhold RSUs under certain conditions. This grant is part of Kuaishou’s strategy to retain talent and encourage long-term contributions to the company’s success.

The most recent analyst rating on (HK:1024) stock is a Buy with a HK$75.00 price target. To see the full list of analyst forecasts on Kuaishou Technology Class B stock, see the HK:1024 Stock Forecast page.

Kuaishou Technology Successfully Passes All Resolutions at AGM
Jun 19, 2025

Kuaishou Technology announced that all ordinary resolutions at its Annual General Meeting on June 19, 2025, were passed by poll. The resolutions included receiving the audited financial statements, re-electing directors, authorizing the board to fix directors’ remuneration, and granting mandates for share repurchase and issuance. This outcome reflects strong shareholder support and may enhance the company’s governance and operational flexibility.

The most recent analyst rating on (HK:1024) stock is a Buy with a HK$65.00 price target. To see the full list of analyst forecasts on Kuaishou Technology Class B stock, see the HK:1024 Stock Forecast page.

Kuaishou Technology Reports Strong Q1 2025 Revenue Growth
May 27, 2025

Kuaishou Technology announced its unaudited consolidated results for the first quarter of 2025, showing a 10.9% increase in revenues compared to the same period in 2024, reaching RMB 32,608 million. Despite a slight decrease in profit for the period, the company saw growth in adjusted net profit and EBITDA, indicating strong operational performance. The domestic market remains the primary revenue driver, while the overseas segment showed significant growth. The company also reported an increase in average daily and monthly active users, as well as growth in total e-commerce GMV, highlighting its expanding user base and e-commerce activities.

The most recent analyst rating on (HK:1024) stock is a Buy with a HK$65.00 price target. To see the full list of analyst forecasts on Kuaishou Technology Class B stock, see the HK:1024 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 21, 2025