Core Viewpoint - Goldman Sachs has downgraded the GMV forecast for Dongfang Zhenxuan (01797) for the fiscal years 2026 to 2027 by 1% to 3%, while increasing revenue forecasts by up to 10% due to the rising contribution of self-operated brand products [1] Group 1 - The adjusted net profit margin forecast for fiscal years 2026 to 2027 has been raised by 0.2 and 1 percentage points [1] - The target price for Dongfang Zhenxuan has been increased from 8 HKD to 9 HKD [1] - Despite the adjustments, Goldman Sachs maintains a "Sell" rating on Dongfang Zhenxuan due to weak fundamentals and high valuations [1] Group 2 - For the half-year ending May this year, Dongfang Zhenxuan reported mixed performance, with GMV declining by 55% year-on-year to 3.9 billion RMB, which is 15% lower than Goldman Sachs' expectations [1] - The company managed to exceed earnings expectations by controlling operating expenses, resulting in a net profit growth of 30% to 135 million RMB for the fiscal year 2025, excluding the one-time impact from the sale of "Yuhui Tong" [1]