Movement Alert|HAIDILAO Falls 3.03% in Regular Trading, CICC Cuts Target Price to HK$15

Market Focus13:44

On August 6, HAIDILAO fell 3.03% in regular trading, trading at HK$11.19/share, with turnover of HK$86.86 million.

On the news front, CICC issued a research report cutting HAIDILAO's target price by 25% to HK$15, while lowering net profit forecasts for 2026 and 2027 by 14% and 15% respectively to RMB 4.06 billion and RMB 4.37 billion. The corresponding forward P/E ratios stand at 18x and 16x for 2026 and 2027. CICC maintained its Outperform rating. Earlier, Jefferies also adjusted its target price to HK$13.40 from HK$15.50, keeping a Hold rating, while UBS cut its target to HK$17.16.

Fundamentally, HAIDILAO's branded restaurant revenue declined 7.1% year-over-year to RMB 37.54 billion in 2025, primarily due to lower table turnover rates and reduced self-operated restaurant count amid intensifying industry competition. While the company is actively pursuing multi-brand expansion through its Red Pomegranate initiative and franchise model, valuation remains under pressure from weakening core operations.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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