CICC Increases LI NING (02331.HK) Price Target to $27.5 Due to Strong Performance, Maintains Outperform Rating
Company Performance: LI NING reported a 3% YoY revenue growth to RMB29.6 billion for 2025, but net profit attributable to the parent company decreased by 3% YoY to RMB2.9 billion, attributed to effective cost control.
Dividend Declaration: The company declared a final dividend per share (DPS) of RMB23.36 cents, resulting in a full-year dividend yield of 50%.
Brokerage Forecasts: CLSA raised its earnings per share (EPS) forecasts for 2026 and 2027 by 9% and 10% respectively, reflecting the company's strong operational performance.
Rating and Target Price: CICC maintained an "Outperform" rating for LI NING and increased its target price by 13% to $27.5, citing continuous operational improvements and increased valuation.
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Daiwa Maintains LI NING as Preferred Choice, Increases Target Price to HKD27
Strong Stock Performance: LI NING's stock experienced its largest single-day increase in years following better-than-expected 2H25 results, indicating a positive short-term revenue growth outlook.
Analyst Ratings: Daiwa has reiterated a Buy rating for LI NING, raising the target price from HKD24 to HKD27, while Nomura maintains a Neutral stance despite slightly better 2025 results.
Market Sentiment: LI NING's net cash represents about 40% of its market value, reflecting concerns over execution risk, but current trends suggest an attractive risk-reward scenario.
Top Pick: Daiwa identifies LI NING as its top choice among Chinese sports brands, emphasizing that the recovery is still in its early stages with significant upside potential yet to be realized.
CICC Increases LI NING (02331.HK) Price Target to $27.5 Due to Strong Performance, Maintains Outperform Rating
Company Performance: LI NING reported a 3% YoY revenue growth to RMB29.6 billion for 2025, but net profit attributable to the parent company decreased by 3% YoY to RMB2.9 billion, attributed to effective cost control.
Dividend Declaration: The company declared a final dividend per share (DPS) of RMB23.36 cents, resulting in a full-year dividend yield of 50%.
Brokerage Forecasts: CLSA raised its earnings per share (EPS) forecasts for 2026 and 2027 by 9% and 10% respectively, reflecting the company's strong operational performance.
Rating and Target Price: CICC maintained an "Outperform" rating for LI NING and increased its target price by 13% to $27.5, citing continuous operational improvements and increased valuation.
Nomura Raises LI NING (02331.HK) Price Target to $23.4, Maintains Neutral Rating
Revenue Growth Expectation: LI NING anticipates a high single-digit percentage growth in revenue for 2026, exceeding Nomura's forecast, which is viewed as a positive surprise.
Net Profit Margin Concerns: Nomura predicts a slight year-over-year decline in LI NING's FY2026 net profit margin due to increased sales and marketing expenses linked to its sponsorship of the Chinese Olympic Committee.
Target Price Adjustment: Following the positive revenue outlook, Nomura has raised its target price for LI NING from $20.4 to $23.4, maintaining a Neutral rating.
Short Selling Data: As of March 20, 2026, LI NING has a short selling amount of $264.30 million, with a ratio of 21.670%.
<UOB Kay Hian's Consumer Ratings and Target Prices (Table)>
Stock Performance Overview: Various Hong Kong stocks showed mixed performance, with notable gains for ANTA SPORTS (+2.365%) and HAIDILAO (+5.822%), while LI NING (-1.875%) and SANDS CHINA LTD (-1.271%) experienced declines.
Short Selling Data: Short selling activity varied across stocks, with LI NING having the highest ratio at 23.224%, while TSINGTAO BREW reported the lowest at 1.075%.
Investment Ratings: Most stocks listed received a "Buy" rating, except for LI NING, which is rated as "Hold," indicating a generally positive outlook for the majority of the stocks.
Market Insights: Citi's estimate for Macau's February gross gaming revenue (GGR) is projected at MOP20 billion, reflecting a 1% year-over-year increase, suggesting a stable gaming market.
UOB Kay Hian Identifies ANTA SPORTS, CHINA RES BEER, HAIDILAO, and YUM CHINA as Top Picks Amid Improved Consumption Trends During CNY Holiday
Improvement in Consumption: This year's Chinese New Year holiday data indicates a recovery in the domestic consumption market, particularly in tourism, culture, and catering sectors, compared to last year.
Broker Optimism: UOB Kay Hian expresses optimism about structural consumption growth in China, highlighting potential policy support and overseas growth opportunities, especially in catering and experiential consumption.
Top Stock Picks: UOB Kay Hian's top stock recommendations include ANTA SPORTS, CHINA RES BEER, HAIDILAO, and YUM CHINA, all rated as Buy, with an Overweight rating for the domestic consumption sector.
Target Price Adjustments: The broker has adjusted target prices for several stocks based on CNY holiday consumption and travel data, increasing targets for HAIDILAO, LI NING, KWEICHOW MOUTAI, and WULIANGYE.
Jefferies Upgrades Outlook for CN Sportswear Sector, Anticipates Over 5% Increase in Year-to-Date Retail Sales
Optimistic Outlook for Chinese Sportswear: Jefferies has a positive forecast for the Chinese sportswear industry, anticipating over 5% year-on-year growth in retail sales despite challenges like warm winter weather and increased discount rates.
Factors Influencing Sales: The expected sales growth is attributed to government subsidies, changes in holiday dates, and the rising popularity of outdoor sports during the Chinese New Year holiday.
Stock Ratings for ANTA and LI NING: Jefferies assigned a target price of HKD95 with a Hold rating for ANTA SPORTS and a target price of HKD48 with a Buy rating for LI NING.
Market Activity: As of February 25, 2026, ANTA SPORTS experienced a short selling of $181.38M, while LI NING had a short selling of $83.30M, indicating active trading in these stocks.
Daiwa Maintains LI NING as Preferred Choice, Increases Target Price to HKD27
Strong Stock Performance: LI NING's stock experienced its largest single-day increase in years following better-than-expected 2H25 results, indicating a positive short-term revenue growth outlook.
Analyst Ratings: Daiwa has reiterated a Buy rating for LI NING, raising the target price from HKD24 to HKD27, while Nomura maintains a Neutral stance despite slightly better 2025 results.
Market Sentiment: LI NING's net cash represents about 40% of its market value, reflecting concerns over execution risk, but current trends suggest an attractive risk-reward scenario.
Top Pick: Daiwa identifies LI NING as its top choice among Chinese sports brands, emphasizing that the recovery is still in its early stages with significant upside potential yet to be realized.
CICC Increases LI NING (02331.HK) Price Target to $27.5 Due to Strong Performance, Maintains Outperform Rating
Company Performance: LI NING reported a 3% YoY revenue growth to RMB29.6 billion for 2025, but net profit attributable to the parent company decreased by 3% YoY to RMB2.9 billion, attributed to effective cost control.
Dividend Declaration: The company declared a final dividend per share (DPS) of RMB23.36 cents, resulting in a full-year dividend yield of 50%.
Brokerage Forecasts: CLSA raised its earnings per share (EPS) forecasts for 2026 and 2027 by 9% and 10% respectively, reflecting the company's strong operational performance.
Rating and Target Price: CICC maintained an "Outperform" rating for LI NING and increased its target price by 13% to $27.5, citing continuous operational improvements and increased valuation.
Nomura Raises LI NING (02331.HK) Price Target to $23.4, Maintains Neutral Rating
Revenue Growth Expectation: LI NING anticipates a high single-digit percentage growth in revenue for 2026, exceeding Nomura's forecast, which is viewed as a positive surprise.
Net Profit Margin Concerns: Nomura predicts a slight year-over-year decline in LI NING's FY2026 net profit margin due to increased sales and marketing expenses linked to its sponsorship of the Chinese Olympic Committee.
Target Price Adjustment: Following the positive revenue outlook, Nomura has raised its target price for LI NING from $20.4 to $23.4, maintaining a Neutral rating.
Short Selling Data: As of March 20, 2026, LI NING has a short selling amount of $264.30 million, with a ratio of 21.670%.
<UOB Kay Hian's Consumer Ratings and Target Prices (Table)>
Stock Performance Overview: Various Hong Kong stocks showed mixed performance, with notable gains for ANTA SPORTS (+2.365%) and HAIDILAO (+5.822%), while LI NING (-1.875%) and SANDS CHINA LTD (-1.271%) experienced declines.
Short Selling Data: Short selling activity varied across stocks, with LI NING having the highest ratio at 23.224%, while TSINGTAO BREW reported the lowest at 1.075%.
Investment Ratings: Most stocks listed received a "Buy" rating, except for LI NING, which is rated as "Hold," indicating a generally positive outlook for the majority of the stocks.
Market Insights: Citi's estimate for Macau's February gross gaming revenue (GGR) is projected at MOP20 billion, reflecting a 1% year-over-year increase, suggesting a stable gaming market.
UOB Kay Hian Identifies ANTA SPORTS, CHINA RES BEER, HAIDILAO, and YUM CHINA as Top Picks Amid Improved Consumption Trends During CNY Holiday
Improvement in Consumption: This year's Chinese New Year holiday data indicates a recovery in the domestic consumption market, particularly in tourism, culture, and catering sectors, compared to last year.
Broker Optimism: UOB Kay Hian expresses optimism about structural consumption growth in China, highlighting potential policy support and overseas growth opportunities, especially in catering and experiential consumption.
Top Stock Picks: UOB Kay Hian's top stock recommendations include ANTA SPORTS, CHINA RES BEER, HAIDILAO, and YUM CHINA, all rated as Buy, with an Overweight rating for the domestic consumption sector.
Target Price Adjustments: The broker has adjusted target prices for several stocks based on CNY holiday consumption and travel data, increasing targets for HAIDILAO, LI NING, KWEICHOW MOUTAI, and WULIANGYE.
Jefferies Upgrades Outlook for CN Sportswear Sector, Anticipates Over 5% Increase in Year-to-Date Retail Sales
Optimistic Outlook for Chinese Sportswear: Jefferies has a positive forecast for the Chinese sportswear industry, anticipating over 5% year-on-year growth in retail sales despite challenges like warm winter weather and increased discount rates.
Factors Influencing Sales: The expected sales growth is attributed to government subsidies, changes in holiday dates, and the rising popularity of outdoor sports during the Chinese New Year holiday.
Stock Ratings for ANTA and LI NING: Jefferies assigned a target price of HKD95 with a Hold rating for ANTA SPORTS and a target price of HKD48 with a Buy rating for LI NING.
Market Activity: As of February 25, 2026, ANTA SPORTS experienced a short selling of $181.38M, while LI NING had a short selling of $83.30M, indicating active trading in these stocks.
