Group 1 - Citi has downgraded the net profit forecasts for Luk Fook Holdings (00590) for the fiscal years 2026 to 2028 by 13%, 9%, and 7% respectively, and reduced the target price from HKD 35.2 to HKD 32.8 while maintaining a "Buy" rating due to low valuation [1] - The report indicates that Chow Tai Fook (01929) is expected to have a similar profit margin outlook but is at a disadvantage compared to Luk Fook due to lower exposure to the strong sales in the Hong Kong market [1] - Citi's investment preference ranking is Old Pawn Gold (06181) > Luk Fook > Chow Tai Fook [1] Group 2 - Although sales in the mainland China market for Luk Fook are slowing, same-store sales growth for self-operated and authorized stores is expected to remain flat in the first two months [1] - Driven by strong investment demand for gold in Hong Kong, Macau, and overseas markets, same-store sales growth for the group is expected to accelerate in the first two months of this year [1] - While investment gold sales may dilute gross margins, this impact could be offset by a faster increase in gold prices, leading to increased hedging losses in the second half of the year and potentially slowing the upward trend in gold prices, negatively affecting future gross margins [1]
花旗：降六福集团(00590)目标价至32.8港元 毛利率展望或转弱