- China's technology stocks are attractive despite near-term uncertainty from a regulatory crackdown, said Howard Wang, head of Greater China equities at JPMorgan Asset Management.
- Wang said over the longer term, Chinese tech companies have the potential to grow.
- Shares of tech giant Alibaba in Hong Kong fell around 7.48% this year as of Monday's close. E-commerce companies JD.com and Meituan have dropped around 16% and 10.8%, respectively.
JPMorgan Asset Management is bullish on Chinese technology stocks even though regulators are cracking down on internet giants in the mainland.
Howard Wang, head of Greater China equities at JPMorgan Asset Management, said the regulatory clampdown poses uncertainties in the near term. But in the longer term, Chinese tech companies still have the potential to grow, he said.
"If we look at these fundamentals, and you stretch over a longer period of time, I think we're actually in a pretty good buying spot," Wang told CNBC's "Street Signs Asia" on Tuesday.
Wang said price declines in Chinese tech shares — due to the regulatory risks or investors rotating out of growth stocks — appear overdone. That has resulted in "pretty decent value" in some Chinese tech stocks, he added.
Without naming specific stocks, Wang said he likes large tech companies given their beaten down valuation and potential for earnings to grow.
Shares of tech giant Alibaba in Hong Kong fell around 7.48% this year as of Monday's close. E-commerce companies JD.com and Meituan have dropped around 16% and 10.8%, respectively.
Wang said Chinese tech firms could still face a bumpy road in the next few months as the regulatory clampdown continues. But the crackdown has so far been "rational," he added.
"From our standpoint as investors, it's kinda really just hunkering down, looking at the fundamentals, making sure your companies aren't doing anything that will be construed as unfair market practice — at least not currently," said Wang.
"I think when we take that into context ... it actually looks like a decent environment to be investing in these stocks. Tough over the next few weeks, but overall these are the kinds of investments that you'd want to make in China," he added.