The analyst rating for MIDEA GROUP was maintained at "Buy" due to several factors. Despite a year-over-year decline of about 24% in air conditioner sales in mainland China for 4Q25, the company is expected to perform slightly better than industry expectations because its sales have outperformed the industry average, aided by merger and acquisition projects. Looking ahead to 2026, while domestic demand for home appliances may be impacted by the withdrawal of subsidies and high base effects, the Group is predicted to maintain mid-single-digit growth. Additionally, estimated shareholder returns for 2026/2027 are projected to rise to 6.7% and 7%, respectively. Consequently, the broker raised its target prices for MIDEA GROUP's shares, reinforcing the positive outlook.
