Valuation of Hong Kong Stock Market - The report analyzes the valuation of major indices in the Hong Kong stock market, including the Hang Seng Composite Index (HSCI) and the Hang Seng Index (HSI) [7][8][12][14]. - The Hang Seng Technology Index (HSTECH) is also evaluated, reflecting the performance of technology stocks in the market [16][18]. Industry Valuation Levels - The report examines the Price-to-Earnings (PE) ratio across various industries, indicating that no industry is undervalued (PE percentile below 20%) [22]. - Industries with PE ratios below the 50th percentile include Consumer Discretionary, Consumer Staples, Healthcare, Information Technology, and Utilities [22]. - The report highlights that sectors such as Energy, Materials, Industrials, Financials, and Telecommunications have PE ratios above the 50th percentile, indicating relatively high valuations [22]. - For Price-to-Book (PB) ratios, no industry is undervalued (PB percentile below 20%) [26]. - Industries with PB ratios below the 50th percentile include Consumer Staples, Information Technology, Utilities, and Real Estate [26]. - Similar to PE ratios, sectors like Energy, Materials, Industrials, Consumer Discretionary, Healthcare, Financials, and Telecommunications have PB ratios above the 50th percentile [26]. AH Share Premium/Discount Levels - The report includes an analysis of the premium or discount levels of AH shares, which reflects the price differences between Hong Kong and mainland China-listed shares [30].