Amer Sports(US:AS) HTSC·2026-02-26 02:45Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of $44.46 [1][9][10]. Core Insights - The company reported strong Q4 2025 performance with revenue of $2.1 billion, representing a year-over-year growth of 28% (26% at constant currency), driven by the technical apparel and outdoor performance segments [1][6]. - For 2026, the company expects revenue growth guidance of 16%-18% year-over-year, with adjusted EPS guidance of $1.10-$1.15 [6][9]. - The company is leveraging its multi-brand matrix and is expected to benefit from the global outdoor sports trend, with significant growth opportunities in various segments [6][9]. Financial Performance - Q4 2025 revenue breakdown: - Technical apparel segment: $1.0 billion, YoY +34% - Outdoor performance segment: $760 million, YoY +29% - Ball sports segment: $340 million, YoY +14% [6][7]. - Adjusted operating profit margin (OPM) for Q4 2025 was 12.5%, down 1.1 percentage points due to increased investments in Salomon [6][8]. - The company’s adjusted gross margin improved by 1.4 percentage points to 57.8% in Q4 2025, despite a 35% increase in SG&A expenses [8]. Regional Performance - All markets achieved double-digit growth in Q4 2025, with notable performance in the Greater China region, which saw a revenue increase of 42% [7]. - The Americas market is undergoing strategic optimization of traditional wholesale channels to enhance retail experience and profit margins [7]. Profitability and Valuation - The company’s net profit attributable to shareholders is projected to reach $648.87 million in 2026, with an EPS of $1.17 [5][9]. - The company’s PE ratio for 2026 is estimated at 38.0x, reflecting confidence in its multi-brand strategy and global expansion [9][11].