YUE YUEN IND (00551) stock is soaring 5.09% in intraday trading, continuing its upward trajectory from the previous day's 4% gain. The stock reached HK$15.77, with a trading volume of HK$50.66 million, as investors react positively to the company's recent performance report and analyst insights.
Despite reporting a decline in overall revenue and net profit for the first three quarters of 2025, YUE YUEN IND showed promising signs in its Q3 results. Huaxi Securities noted that while Q3 revenue and net profit decreased by 5% and 27% year-on-year respectively, the company's footwear unit price increased by 3.38% to US$21.43. This price growth, driven by product mix optimization, has caught investors' attention amidst challenging market conditions.
Investors appear optimistic about YUE YUEN IND's strategic positioning to navigate tariff pressures. With 29% of exports going to the U.S. and significant production capabilities in Indonesia (53%) and Vietnam (32%), the company is well-placed to offset tariff impacts. Moreover, Huaxi Securities highlighted that YUE YUEN IND's overseas capacity expansion could lead to increased market share, even as tariffs potentially dampen end-consumer demand. This forward-looking strategy seems to be a key factor driving today's stock price surge.
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