Laopu Gold's Profitability Remains Solid -- Market Talk

Dow Jones03-11

0807 GMT - Laopu Gold's profitability remains solid, according to Citi analysts in a research note. Its positive profit alert is above Citi's estimates and market expectations, the analysts say. They believe the market has been "overconcerned" about the gross profit margin dilution from promotions and gold cost hikes. The company has managed the situation well, they note. "Going forward, Laopu intends to uphold gross profit margin above 40% and reinforce premium brand positioning through its 2-3 times of price adjustment per year," the analysts say. Laopu is Citi's top pick in the China jewelry space. Citi has a buy rating and raises target price to HK$1,162 from HK$1,119. Shares last traded at HK$651.00. (tracy.qu@wsj.com)

(END) Dow Jones Newswires

March 11, 2026 04:07 ET (08:07 GMT)

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The company has managed the situation well, they note. \"Going forward, Laopu intends to uphold gross profit margin above 40% and reinforce premium brand positioning through its 2-3 times of price adjustment per year,\" the analysts say. Laopu is Citi's top pick in the China jewelry space. Citi has a buy rating and raises target price to HK$1,162 from HK$1,119. Shares last traded at HK$651.00. 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Its positive profit alert is above Citi's estimates and market expectations, the analysts say. They believe the market has been \"overconcerned\" about the gross profit margin dilution from promotions and gold cost hikes. The company has managed the situation well, they note. \"Going forward, Laopu intends to uphold gross profit margin above 40% and reinforce premium brand positioning through its 2-3 times of price adjustment per year,\" the analysts say. Laopu is Citi's top pick in the China jewelry space. Citi has a buy rating and raises target price to HK$1,162 from HK$1,119. Shares last traded at HK$651.00. 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