Investment Rating - The report maintains a positive outlook on Prada Group, indicating a potential for steady profit growth and resilience in its brand portfolio [5][12]. Core Insights - Prada Group reported a revenue of €4.07 billion for the first nine months of FY25, reflecting a 9% year-on-year increase at constant exchange rates, marking the 19th consecutive quarter of positive growth [1][8]. - The acquisition of Versace for an enterprise value of €1.25 billion is expected to open new growth avenues for the group [1][4]. Revenue Performance - For the first nine months of FY25, Prada brand revenue declined by 2% year-on-year, with a 1% decline in 3Q25, showing significant improvement driven by the recovery in core leather goods and ready-to-wear categories [2][9]. - Miu Miu brand revenue surged by 41% year-on-year in 9M25 and 29% in 3Q25, maintaining strong growth despite a high comparison base from the previous year [2][9]. Regional Performance - Asia-Pacific revenue increased by 10% year-on-year, with notable recovery in mainland China, while the Americas saw a 15% increase, accelerating to 20% in 3Q25 [3][10]. - Europe experienced a 6% growth, supported by stable local demand, while the Middle East recorded a 21% increase [3][10]. Strategic Initiatives - The group is focused on optimizing its retail network, enhancing customer experience, and maintaining a strong product lineup, including high-end offerings [4][11]. - The acquisition of Versace is part of a broader multi-brand strategy aimed at expanding scale and profitability over the long term [4][11]. Future Outlook - Management expresses a cautious yet optimistic view, anticipating steady profit growth supported by a premium product mix and retail efficiency gains [5][12]. - The dual-brand strategy of Prada and Miu Miu, along with the integration potential of Versace, is expected to drive growth exceeding industry averages [5][12].

Investment Rating - The report maintains an "Outperform" rating for the company, with a target price of 62.9 Hong Kong Dollars, reflecting a -24% potential downside from the current price [8][9]. Core Insights - The company is expected to see net profit attributable to shareholders grow from 0.89 billion Euros in 2025 to 1.05 billion Euros in 2027, with year-on-year growth rates of 6.5%, 8.7%, and 7.6% respectively [8][9]. - In Q3 2025, the company reported revenue of 1.33 billion Euros, a 9% increase year-on-year, with Miu Miu showing a 29% growth despite a high base from the previous year [9][10]. - The North American market is leading growth with a 20% increase, driven primarily by Prada, while the Greater China market showed slightly better-than-expected holiday performance [9][10]. Financial Summary - Projected total revenue for the company is expected to increase from 5.43 billion Euros in 2024 to 6.72 billion Euros in 2027, reflecting a compound annual growth rate of approximately 7.8% [2][5]. - Gross profit is forecasted to rise from 4.34 billion Euros in 2024 to 5.39 billion Euros in 2027, maintaining a gross margin of around 80% [2][5]. - The company's net profit is projected to grow from 0.84 billion Euros in 2025 to 1.05 billion Euros in 2027, with a net profit margin of approximately 15.5% [2][5]. Brand Performance - Miu Miu's revenue growth is attributed to high-quality growth and significant same-store sales contributions, with plans for further store expansion [10]. - Prada's leather goods are showing improved performance, and the brand is focusing on enhancing creativity and marketing for iconic products [10]. Regional Performance - Revenue growth by region in Q3 2025 was as follows: Asia Pacific +10%, Europe +2%, North America +20%, Japan -1%, and Middle East +10% [9][10]. - The North American market's growth is notable given the high base from the previous year, indicating strong brand performance despite challenging conditions [9][10].

Investment Rating - The investment rating for the company is "Buy" and is maintained [8]. Core Insights - The company reported a 10% year-on-year growth in retail sales for its main brand and children's clothing in Q3 2025, with e-commerce sales increasing by approximately 20% [2][6]. - The company has accelerated the expansion of its super stores, with 93 super stores established by September 30, 2025, nearly doubling from Q2, which is expected to positively impact retail growth [9]. - The company anticipates strong performance in the 2026 ordering session, with a high certainty of revenue growth for 2025 and 2026. The product matrix is improving, and the exploration of new business formats like super stores is expected to contribute to a second growth driver [9]. Summary by Sections Retail Performance - The company achieved a robust 10% year-on-year growth in offline retail for Q3 2025, with expectations of stable discounts and inventory levels [9]. Store Expansion - The rapid expansion of super stores is a key focus, with the number of stores significantly increasing, which is expected to enhance customer spending and complement traditional store formats [9]. Financial Projections - The company is projected to achieve net profits of 1.26 billion, 1.37 billion, and 1.50 billion yuan for 2025, 2026, and 2027 respectively, with corresponding P/E ratios of 9, 8, and 8 times [9][11].

Investment Rating - The report maintains a "Strong Buy" investment rating for the company, indicating a strong expectation for stock price appreciation exceeding the benchmark index by over 20% [2][3]. Core Insights - The demand for MPO (Multi-fiber Push On) products is experiencing high growth driven by AI computing infrastructure, with a trend towards higher fiber counts and density in products. The company is actively developing products with fiber counts exceeding 1000 cores for high-end applications [1]. - The company is positioned well within the Lixun system, with significant growth potential in data communication, AI servers, and automotive cable sectors, particularly following the successful acquisition of Leoni cable business [2]. - The company has a robust global production capacity, with facilities in key regions including the Yangtze River Delta, Pearl River Delta, and overseas locations in Vietnam and Mexico, supporting future expansion and customer acquisition [7]. Financial Summary - The company forecasts total revenue of HKD 10.172 billion, HKD 12.937 billion, and HKD 16.604 billion for the years 2025, 2026, and 2027 respectively, with corresponding net profits of HKD 714 million, HKD 1.208 billion, and HKD 1.701 billion [8][20]. - The report projects a significant increase in profitability, with net profit growth rates of 58%, 69%, and 41% for the years 2025, 2026, and 2027 respectively [21]. - The company’s PE ratios are expected to decrease from 43.3 in 2025 to 18.2 by 2027, indicating improving valuation metrics as earnings grow [21].

Investment Rating - The report maintains a "Buy" rating for Li Ning (2331.HK) with a target price of HKD 21.6, representing a potential upside of 18.7% from the current price of HKD 18.2 [4][21]. Core Insights - Li Ning's management has decided to keep the full-year performance guidance unchanged despite challenges in terminal demand, aiming for revenue to remain flat year-on-year and a high single-digit net profit margin [10][11]. - The company is focusing on enhancing brand strength, with recent sponsorship of the Chinese Olympic Committee and participation in high-profile events to boost brand visibility [10][11]. - The report indicates a downward trend in overall sales, particularly in direct stores and distributor channels, while e-commerce sales have shown growth [10][11]. Financial Performance Summary - For 2025, the estimated revenue is projected at RMB 28,685 million, reflecting no growth compared to 2024, with a core net profit forecast of RMB 2,524 million, a decrease of 24.6% year-on-year [12][17]. - The gross margin is expected to be around 48.5% for 2025, slightly down from 49.4% in 2024 [12][14]. - The report highlights a significant increase in inventory turnover days, indicating potential inventory management challenges [10][12]. Market Expectations - The report notes that the market's expectations for Li Ning's performance are mixed, with a range of estimates for revenue and profit growth varying significantly among analysts [7][22]. - The company is navigating a competitive landscape with increased promotional activities, particularly during the "Double Eleven" shopping festival [10][11]. Strategic Focus - Li Ning is committed to a three-year strategy centered on brand revitalization and product innovation, which is expected to lay a foundation for future performance improvements [10][11]. - The company plans to balance sales revenue, channel inventory, and discount levels to maintain healthy inventory and manageable discount rates [10][11].

Investment Rating - The report maintains an "Outperform" rating for the company [5]. Core Insights - The company, Guoquan, is a leading brand in the home dining food product sector in China, with over 10,150 stores as of 2024, and a revenue forecast of 6.47 billion yuan for the same year, with 84% of revenue coming from franchisees [1][4]. - The home dining market in China has grown significantly, with a CAGR of approximately 14.7% from 2018 to 2022, and the segment for food products has seen even faster growth at 25.5% [1][34]. - Guoquan's business model includes a deep integration of the supply chain and a focus on optimizing its commercial model, which is expected to enhance profitability [2][55]. Summary by Sections Company Overview - Guoquan is positioned as a leading brand in home dining food products, offering a variety of ready-to-eat and ready-to-cook ingredients across eight categories [12][14]. - The company has established a nationwide franchise network, achieving a store count of 10,150 by the end of 2024 [1][26]. Industry Analysis - The home dining market in China has expanded from 32.48 trillion yuan in 2018 to 56.16 trillion yuan in 2022, with projections to reach 71.09 trillion yuan by 2027 [34]. - The competitive landscape is highly fragmented, with Guoquan holding a market share of approximately 3.0%, leading the industry [39]. Core Advantages - Guoquan employs a "single product, single factory" model, operating seven factories to cover various product categories, which enhances its supply chain efficiency [2][55]. - The company has established a robust network of over 300 suppliers, ensuring a comprehensive supply chain and optimizing production costs [55][56]. Future Outlook - The company aims to expand its store count to 20,000, primarily targeting lower-tier cities, with a projected revenue growth of 13.3% to 95.9 billion yuan by 2027 [2][3]. - Profitability is expected to improve, with net profit margins projected to rise as operational efficiencies are realized [3][27].

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The external environment remains challenging, but the company is expected to benefit from sports resources that will support its long-term development [5] - The company has shown resilience in its e-commerce channel, maintaining high single-digit growth despite external pressures [7] - The company is actively expanding its offline store presence, with a net increase of 33 stores in Q3 2025, totaling 6,132 stores [7] - The signing of player Yang Hanshen, who was selected in the first round of the NBA draft, is anticipated to enhance the company's brand and product sales in the basketball category [7] - The company is projected to achieve net profits of RMB 2.645 billion, RMB 2.843 billion, and RMB 3.101 billion for the years 2025 to 2027, respectively [7] Financial Summary - Revenue projections for the company are as follows: RMB 28,676 million in 2024, RMB 29,027 million in 2025, RMB 30,766 million in 2026, and RMB 32,845 million in 2027, with growth rates of 3.9%, 1.2%, 6.0%, and 6.8% respectively [8] - The company's net profit for 2025 is estimated at RMB 2,645 million, reflecting a year-on-year decline of 12.21% [6][8] - The company's return on equity (ROE) is projected to decline from 11.54% in 2024 to 9.00% in 2027 [8]

Investment Rating - The report initiates coverage on Beike with a "Buy" rating and a target price of HKD 65.64, based on a 26x adjusted PE for 2026 [2][10]. Core Insights - Beike is positioned as a leading O2O real estate transaction platform in China, benefiting from supportive policies that are expected to facilitate a moderate market recovery. The company is anticipated to improve its profitability through enhanced operational efficiency and AI integration in its services [6][19]. - The real estate market is stabilizing, with signs of recovery in sales, particularly in second-hand housing, although challenges remain in new housing sales and inventory management [7][10]. - Beike's brokerage business is expected to gain market share, driven by its extensive network and the integration of third-party stores, which will enhance its revenue contribution [8][10]. Summary by Sections Business Overview - Beike has restructured into four main business lines: brokerage, home decoration, rental services, and data-driven residential development, aiming for a synergistic growth model [23]. - The company operates over 60,000 stores and employs nearly 568,000 agents, significantly outpacing competitors in terms of scale and market coverage [24][29]. Financial Projections - Revenue is projected to grow from RMB 93.46 billion in 2024 to RMB 125.93 billion by 2027, with a compound annual growth rate (CAGR) of approximately 11% [5][10]. - Adjusted net profit is expected to improve significantly, reaching RMB 9.82 billion by 2027, supported by operational leverage and a turnaround in the home decoration segment [10][21]. Market Dynamics - The real estate sector is gradually stabilizing, with government policies aimed at supporting the market. The demand for second-hand homes is expected to increase, while new home sales face ongoing pressure [7][10]. - Beike's home decoration business is projected to achieve a revenue of RMB 204 billion by 2027, with a net profit margin of around 10% [21][22]. Competitive Advantages - Beike's competitive edge lies in its channel advantages and the ACN network, which enhances transaction efficiency and transparency [19]. - The company is leveraging AI tools to improve customer experience and operational efficiency across its service offerings [20][21].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 136.00 [7]. Core Insights - The company is expected to face significant pressure on revenue growth and profits in Q3 2025 due to intense competition in the food delivery sector, particularly from irrational subsidies [1][2]. - Despite short-term challenges, the report remains optimistic about the company's long-term efficiency advantages and brand strength, anticipating a return to rational operations in Q4 2025 [1][5]. - The company is also making progress in its overseas food delivery business, with plans to expand into the Brazilian market [4]. Revenue and Profit Forecast - For Q3 2025, the company is projected to generate revenue of RMB 978 billion, representing a year-over-year growth of 4.5%, but with an expected operating loss of RMB 18.5 billion and an adjusted net loss of RMB 15.9 billion [1][5]. - The report forecasts revenues of RMB 3,768 billion, RMB 4,448 billion, and RMB 5,102 billion for the years 2025, 2026, and 2027 respectively, with adjusted net profits of RMB -79 billion, RMB 354 billion, and RMB 544 billion [5][10]. Business Segments Performance - The instant delivery segment is expected to see a year-over-year order volume increase of 17.0% in Q3 2025, driven by increased platform subsidies, although user experience (UE) is projected to decline significantly [2]. - The dine-in segment is anticipated to grow by 5% year-over-year in Q3 2025, but faces pressure from offline dining consumption and increased competition from delivery services [3]. - New business revenue is expected to reach RMB 284 billion in Q3 2025, with a year-over-year growth of 17.5%, although it will incur an operating loss of RMB 2.4 billion [4]. Valuation Metrics - The report provides a sum-of-the-parts (SOTP) valuation, assigning PE multiples of 7x for the food delivery business and 18x for the dine-in business for 2026, with a target price of HKD 136.00 per share [5][14]. - The company’s estimated PE ratios for 2025, 2026, and 2027 are projected to be 13.00, 15.85, and 10.31 respectively [10][24].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price set at HKD 16.33, indicating a potential upside of 10%-20% over the next six months [5][13]. Core Insights - The company reported a revenue increase of 3.7% year-on-year to USD 400 million in Q3 2025, driven by demand in the sports category and new customer acquisitions [1]. - The company aims to expand its total production capacity by 20 million pairs starting in 2025, focusing on enhancing production efficiency in Indonesia and Bangladesh [2]. - The three-year plan (2023-2025) is on track to achieve a 10% operating profit margin and a low double-digit compound annual growth rate in after-tax profits [3]. - The company plans to maintain a dividend payout ratio of approximately 70% in 2025 and 2026, returning up to USD 60 million annually to shareholders through share buybacks and special dividends [1]. Summary by Sections Financial Performance - For the first three quarters of 2025, the company achieved a revenue increase of 1.7% year-on-year to USD 1.18 billion, with manufacturing revenue up 1.6% to USD 1.15 billion [1]. - The average selling price (ASP) decreased by 3.1% to USD 27.7 due to a lower average price in the sports category [1]. Production Capacity Expansion - The company is set to enhance its production capacity by 20 million pairs, with new facilities expected to be operational by the second half of 2026 [2]. - The production efficiency in Indonesia and the Philippines is anticipated to improve gradually starting in the second half of 2025 [2]. Strategic Goals - The company is focused on diversifying its product mix and expanding its customer base, particularly in the luxury and high-end fashion categories [3]. - The acquisition of a small handbag and accessories factory in Vietnam aims to elevate the quality and efficiency of its manufacturing capabilities in this segment [3]. Profit Forecast Adjustments - The revenue forecasts for 2025-2027 have been adjusted to USD 1.58 billion, USD 1.66 billion, and USD 1.76 billion respectively, with net profits projected at USD 160 million, USD 170 million, and USD 190 million [4].