Positive Developments Boost Market Attention, Highlighting Valuation Value in Gaming Sector

Recently, China's A-share gaming sector has seen a series of rebounds. Wind data shows that on October 14, market concept sectors such as short drama games and online games led the gains. Over the past few trading days, media sectors related to gaming have become the primary direction for net capital inflows from main funds, with multiple individual stocks showing active performance. Industry insiders believe that since the beginning of the year, the pace of domestic game license approvals has gradually stabilized, continuously reinforcing expectations on the industry's supply side. This will drive various game companies to advance their new product reserves into testing and launch cycles, helping to realize sector performance step by step. After a period of adjustment, the gaming sector's valuation value is now prominent, with optimism for valuation repair opportunities supported by fundamentals. (China Securities Journal)