Group 1 - The stock price of Dongfang Zhenxuan (01797.HK) experienced significant volatility, initially rising over 23% before closing down 20.89% due to rumors regarding CEO Zhou Chenggang's involvement in related party transactions and high commission rates [1] - Dongfang Zhenxuan's actual average commission rate is reported to be below 20%, contrary to claims of it being over 30%, and the company has initiated legal actions against the spread of misinformation [1] - Despite a projected revenue decline of nearly 30% year-on-year for Q4 of FY2025, the company has shown signs of improving profitability, with a non-GAAP operating profit of approximately 79 million RMB and a profit margin increase of about 3% [1] Group 2 - The company has seen a significant stock price increase of 502% from a low of 8.92 HKD on December 31, 2024, to 53.7 HKD, attributed to a recovery in operations and alignment with new consumer trends [2] - Although the stock price surged, short-selling activity increased, peaking at 5.82 million shares on August 7, before dropping to 1.37 million shares, indicating a potential profit-taking by short-term investors [4] - Dongfang Zhenxuan's revenue from its core business segments has declined by 9.3% year-on-year, and the company is facing challenges in transitioning from a host-driven to a product-driven model, particularly due to the departure of key hosts [4]
东方甄选股价大涨后大跌，“产品驱动”面临挑战