Why Meitu share price is tumbling this week

Published 02/09/2025, 10:46
© Reuters.

Investing.com -- Meitu’s share price fell 14% on Monday, contrasting with the Hang Seng Index’s 2% gain, as Google’s Nano Banana AI model gained viral attention on social media platforms.

The sharp decline came amid market worries that advanced AI systems could potentially replace specialized software applications. This marks another instance this year where Meitu’s stock has decreased following major AI model updates, including previous releases like GPT-4o and Google Veo3.

Morgan Stanley offered perspective on the situation, noting that in the current AI landscape, applications derive their value from providing "last mile" enhancements that general AI models cannot fully deliver.

The financial institution pointed out that Meitu delivers quality "last mile" solutions through its highly specialized proprietary data and scenario-oriented products.

Morgan Stanley also highlighted that Meitu has already integrated Google Nano Banana into its international product offerings and maintains a neutral stance toward all AI models globally.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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