JPMorgan has rated MENGNIU DAIRY as Overweight due to expectations of a rebound in the company's sales and adjusted earnings in 2026, with projected increases of 2% and 17% year-over-year, respectively. This positive outlook is supported by an anticipated improvement in the competitive environment, despite moderate overall demand and competition from other beverages. Additionally, MENGNIU DAIRY's efforts to optimize its product mix and expand new channels are seen as strategies to regain market share. The firm also notes that strong sales during the Chinese New Year could serve as a short-term catalyst for the company's performance. However, they have cut the target price from HKD22 to HKD20.
