Star products & sponsorships-led turnaround

M N 13 Mar 2024 CMB International Global Markets | Equity Research | Initiation 361 Degrees (1361 HK) Star products & sponsorships-led turnaround BUY Target Price HK$6.23 We initiate BUY on 361 Degrees with TP of HK$6.23 based on 10x FY24E P/E. We forecast 16%/20% sales/ NP CAGRs in FY22-25E vs 7%/20% during Up/Downside 43.5% FY19-22, driven by major improvements in: 1) star products and endorsement Current Price HK$4.34 quality, 2) offline store images and e-commerce strategy, and 3) kids business. China C ...