This article only represents the author's own views.
Oh, for the good old days. That’s what restaurant operator Jiumaojiu International Holdings Ltd. (9922.HK) must be thinking lately, recalling its earlier rise to stardom that began with a 56% jump in its shares in their 2020 Hong Kong trading debut. The company looked like king of the trendy Chinese restaurant scene at that time, charming diners with its signature “sauerkraut fish” served at its Tai Er chain, known for long waits outside at peak eating hours.
Fast forward five years, when the script has changed dramatically. Jiumaojiu’s current market capitalization of about HK$2.9 billion ($372 million) represents a gut-wrenching 95% plunge from its peak near HK$55 billion. And with its stock now down from a high of HK$38.40 to just the HK$2, sarcastic investors are derisively joking it’s worth just the “99 cents” that’s the meaning of its Chinese name.