It was a disastrous Monday for the Chinese stock market, as the Shanghai Composite index slid by 8.5%, its biggest one-day fall since 2007. Xinhua, the official news agency of the country, called it “Black Monday”, with the Chinese stock market giving up all of the gains it had achieved in 2015. Shares of Chinese companies trading in the United States are feeling the after-effects of the slump. 500.com Ltd (NYSE:WBAI), Jumei International Holding Ltd (ADR) (NYSE:JMEI), and Alibaba Group Holding Ltd (NYSE:BABA) have all started trading on a much lower note.
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The shares of 500.com Ltd (NYSE:WBAI) are down by 19.64%, trading at $14.74 as of the reporting period. The online lottery service provider has given up its yearly gains, with a year-to-date decline of 19.14% in its share price now. The smart money had a positive outlook of 500.com Ltd (NYSE:WBAI) during the second quarter, though on a limited scale, as four hedge funds held positions worth $10.64 million in the company as of June 30. Those were big bumps upward from the aggregate holdings of $678,000 from two hedge funds at the end of the previous quarter. The shares of 500.com Ltd (NYSE:WBAI) rose by 129.94% during the second quarter, contributing towards the gains in net investments. Point72 Asset Management, led by Steve Cohen, was the largest shareholder of 500.com Ltd in our database, with holdings worth $5.17 million from 208,400 shares.
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Jumei International Holding Ltd (ADR) (NYSE:JMEI) is another victim of today’s Chinese market slump, with its shares trading 17.94% lower at $9.67 per share. The online retailer of beauty products has had a difficult year so far, witnessing a decline of 30.06% in its share price year-to-date. The hedge funds in our database maintained a positive sentiment for Jumei International Holding Ltd (ADR) (NYSE:JMEI) during the second quarter. The aggregate holdings in the company were up to $85.88 million against previous quarter holdings worth $74.05 million. The number of hedge funds with stakes in the beauty product retailer also rose sharply to 15 from just six hedge funds in the prior quarter. Rob Citrone’s Discovery Capital Management was among the major stakeholders of Jumei International Holding Ltd (ADR) (NYSE:JMEI), having ownership of 1.57 million shares valued at $35.87 million.
Alibaba Group Holding Ltd (NYSE:BABA) is among the least affected Chinese stocks trading on the US stock market. The shares of the e-commerce company are down by 2.87%, trading at $66.22 per share as of the reporting period. The e-commerce giant has had an undesirable run in 2015, with its share price declining by 37.37% year-to-date. The hedge funds in our database trimmed their positions in Alibaba Group Holding Ltd (NYSE:BABA) during the second quarter, with the aggregate equity positions dropping by nearly 18% to $4.77 billion. This is notable gievn the fact that the shares of the company were down by just 1.17% during the second quarter, indicating a large selloff from the hedge funds. Discovery Capital Management held the largest position in Alibaba Group Holding Ltd (NYSE:BABA) at the end of the June quarter, with 6.52 million shares with a market value of $536.73 million.
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