1758.HK down 21.60% at HKSE close 02 Jan 2026: what to watch
1758.HK stock led Hong Kong market losers on 02 Jan 2026 after a 21.60% drop to HK$0.098 at the HKSE close. Volume surged to 1,148,000 shares versus an average of 106,721, signalling heavy selling pressure. The move leaves Bojun Education Company Limited (1758.HK) trading near its one‑day low of HK$0.098 and well below its 50‑day average of HK$0.12762, raising near‑term liquidity and valuation questions for investors in Hong Kong, HKD terms.
Market reaction and price action
Bojun Education Company Limited (1758.HK) closed at HK$0.098, down HK$0.027 or 21.60% on 02 Jan 2026 on the HKSE. The stock opened at HK$0.112, hit an intraday high of HK$0.112 and a low of HK$0.098. Trading volume was 1,148,000 shares, 10.75 times its average daily volume of 106,721, indicating concentrated selling and heightened short‑term volatility.
Earnings, financials and valuation
Bojun’s latest reported EPS is HKD -0.16 and trailing PE is negative at -0.77, reflecting losses. Key ratios show price/book of 1.34 and price/sales of 0.25, while book value per share is HK$0.88589. Current ratio is weak at 0.30 versus the Consumer Defensive sector average near 2.82, highlighting short‑term liquidity pressure despite a modest market cap of HK$111,989,169.
Sector context and operational metrics
Bojun operates in Education & Training Services within the Consumer Defensive grouping. Sector peers typically show higher margins and stronger liquidity; Bojun’s net profit margin is -34.13% and return on equity is negative at -104.68% (TTM), underscoring operating loss and capital structure stress compared with sector norms.
Technicals and trading signals
Technicals show RSI 45.05 and ADX 40.32, implying a strong trend but not oversold momentum. Price sits below the 50‑day average HK$0.12762 and 200‑day average HK$0.14571. Bollinger upper/middle/lower bands are HK$0.14/HK$0.12/HK$0.11. Money flow (MFI) is high at 89.35, pointing to short‑term overbought exhaustion pre‑selloff, while relative volume (relVolume) is 1.48, confirming elevated activity.
Meyka grade and valuation view
Meyka AI rates 1758.HK with a score out of 100: 64.90 (Grade B, HOLD). This grade factors in S&P 500 benchmark comparison, sector performance, financial growth, key metrics, and analyst consensus. The company shows attractive price/sales but weak liquidity and negative profitability; enterprise value to sales is elevated at 5.08, signalling valuation disconnects investors should monitor.
Risks and near‑term catalysts
Primary risks: continued negative EPS (TTM EPS -0.16), stretched receivables with days sales outstanding 192.55, and current ratio 0.30. Catalysts that could stabilise the stock include improvement in cash conversion (operating cash flow per share HK$0.27506), clearer guidance on enrolment trends, or disposal/asset moves that reduce net debt. Regulatory or sector shifts in China education policy remain a structural risk.
Final Thoughts
Key takeaway: 1758.HK stock finished the HKSE session on 02 Jan 2026 at HK$0.098, down 21.60% on unusually high volume, reflecting immediate investor concern about profitability and liquidity. Fundamentals show negative EPS (HKD -0.16), low current ratio (0.30) and long receivable cycles (DSO 192.55 days), while valuation metrics are mixed: price/book 1.34 and price/sales 0.25. Meyka AI’s model view balances these factors: Meyka AI’s forecast model projects a 12‑month level near HK$0.13878, implying an upside of 41.62% from the current HK$0.098, but a short‑term monthly forecast of HK$0.09 points to downside pressure. Investors should weigh the 41.62% implied upside against operational risks, tight liquidity and sector volatility in Hong Kong, HKD terms. This analysis comes from Meyka AI’s AI‑powered market analysis platform and is informational only; forecasts are model‑based projections and not guarantees.
FAQs
The decline followed heavy selling with volume at 1,148,000 shares, poor short‑term liquidity (current ratio 0.30), negative EPS (HKD -0.16) and technical weakness below the 50‑day average, prompting rapid repositioning by traders.
Meyka AI rates 1758.HK 64.90 out of 100 (Grade B, HOLD). The grade factors benchmark and sector comparisons, financial growth and metrics; it signals caution but not a clear sell, and is not financial advice.
Meyka AI’s forecast model projects a 12‑month level of HK$0.13878 (≈41.62% upside vs HK$0.098) and a monthly projection of HK$0.09, highlighting short‑term risk with possible medium‑term recovery; forecasts are projections, not guarantees.
Key risks include continued negative profitability, stretched receivables (DSO 192.55 days), low liquidity (current ratio 0.30), and sensitivity to China education policy or enrolment trends.
Disclaimer:
Stock markets involve risks. This content is for informational purposes only. Past performance does not guarantee future results. Meyka AI PTY LTD provides market analysis and data insights, not financial advice. Always conduct your own research and consider consulting a licensed financial advisor.
