Jefferies maintains a 'Buy' rating for China Mengniu Dairy due to its alignment with profit expectations and guidance for mid-single-digit revenue growth. The company is focusing on improving operating profit margins through cost control and efficiency, with strong growth anticipated in its liquid milk and ice cream segments. However, earnings forecasts for 2026 and 2027 have been lowered by 22% to 24%, leading to a reduction in the target price from HKD24.3 to HKD22.6.
