Morgan Stanley Reaffirms LI NING Overweight Rating with HK$22.5 Target Price

Stock News09-18 11:52

Morgan Stanley has released a research report maintaining its "Overweight" rating on LI NING (02331), with a target price of HK$22.5. While the company's retail sales recorded a high single-digit or more decline in July, trends improved in August, with offline channel declines narrowing, while online sales were supported by live-streaming events.

Overall retail sales in August remained relatively stable year-on-year. The company noted that it is still too early to comment on September trends, but it anticipates that the Mid-Autumn Festival holiday will support September performance. The report mentioned that due to industry competition and a higher proportion of outlet store sales, LI NING's offline retail discounts deepened between July and August. However, this was not driven by inventory clearance, as the company had previously reduced its second-half orders.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment