Vipshop(US:VIPS) GF SECURITIES·2024-05-28 07:02Investment Rating - The report maintains a "Buy" rating for the company, with a target price of $20.62 per ADS based on an 8X PE valuation for 2024 [3][8]. Core Insights - In Q1 2024, the company reported a net revenue of 27.6 billion RMB, a year-on-year increase of 0.4%, and a non-GAAP net profit of 2.6 billion RMB, up 24.8% year-on-year [1][2]. - The gross margin for Q1 2024 was 23.7%, an increase of 2.2 percentage points compared to Q1 2023, attributed to a higher proportion of apparel revenue and reduced subsidy efforts [1][2]. - The company's GMV for Q1 2024 reached 52.4 billion RMB, reflecting an 8.0% year-on-year growth, with apparel GMV achieving double-digit growth [1][2]. - Active customer count decreased by 1.4% year-on-year to 43.1 million, while order volume fell by 3.2% to approximately 180 million [1][2]. - The company is focusing on a cautious customer acquisition strategy, emphasizing quality over quantity, which has led to an increase in the average order value (AOV) due to a rise in SVIP membership [1][2]. Financial Summary - The company expects non-GAAP net profits for 2024, 2025, and 2026 to be 9.94 billion RMB, 10.28 billion RMB, and 10.79 billion RMB, respectively, with growth rates of 4.5%, 3.4%, and 5.0% [2][3]. - The report outlines a projected revenue growth of 1.3% for 2024, followed by 3.4% growth in both 2025 and 2026 [2][3]. - The non-GAAP EPS is forecasted to be 18.3 RMB for 2024, increasing to 19.9 RMB by 2026 [2][3].