On August 20, ND PAPER fell sharply by 12% in regular trading, trading at HKD 6.945/share, with turnover of HKD 399 million.

The decline was triggered by a classic buy-the-rumor-sell-the-news dynamic following the release of a positive profit alert. The company announced expected full-year profit of RMB 39 billion to 41 billion for the fiscal year ended June 30, representing a 77.1% to 86.2% year-over-year increase from RMB 22.02 billion. Profit attributable to equity holders is expected at RMB 34 billion to 36 billion, up 92.4% to 103.7% YoY. The company also confirmed full redemption of its USD 400 million 14% perpetual securities on August 11.

However, multiple brokerages had previously forecast FY2026 net profit at approximately RMB 35 billion, meaning the results largely matched market consensus. Having already rallied over 60% from its 52-week low of HKD 4.74, the stock faced significant profit-taking pressure once the positive guidance materialized. Broader risk-off sentiment across Asia-Pacific markets also contributed to selling pressure.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)