HKD Stock Forecast: AMTD Digital tumbles as floor falls out from under it to start the week
- NYSE:HKD fell by 42.72% during Monday’s trading session.
- Magic Empire Global Limited could be the next AMTD DIgital.
- This could be the end for HKD’s reign as one of the world’s most valuable companies.
NYSE:HKD could be a classic case of a stock flying too close to the sun, as the Hong Kong-based fintech company lost nearly half of its value to start the week. On Monday, shares of HKD tumbled by 42.72% and closed the trading session at $405.00. After a hot start to the day, stocks pulled back and the S&P 500 and NASDAQ both slipped into losing territory. A stark warning and lowered guidance from NVIDIA (NASDAQ:NVDA) took the steam out of another market rally. Overall the Dow Jones eked out a 29 basis point gain, the S&P 500 dipped by 0.12%, and the NASDAQ inched lower by 0.10% during the session.
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Could we have a new mega mover based out of Hong Kong on the markets? Weeks after AMTD Digital surged to its historic levels, Magic Empire Global Limited (NASDAQ:MEGL) gained 20% on Monday and 134% over the past week. While its gains are not quite at the level of HKD’s, it still has a market capitalization of $2.3 billion after debuting at its IPO on August 4th.
HKD stock price
It was a historic and magical run for those who invested early in AMTD Digital, but Monday’s sell off is likely the beginning of this stock falling way back down to Earth. There is nothing fundamental about the company that shows the company is worth $75 billion, let alone over $500 billion at its peak. As we know with meme stocks, anything is possible, but it seems like the party might be over for HKD investors.
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Author
Stocks Reporter
FXStreet
