Nike's Sales Outlook: Citi's report indicates that Nike's management anticipates a low single-digit decline in 3FQ sales, which could negatively impact its ODM suppliers like Shenzhou International.
Shenzhou International's Market Potential: Despite Nike's cautious outlook, Citi is optimistic about Shenzhou International's potential to grow its market share in new product areas such as running, golf, and basketball jerseys.
Future Sales Projections: Citi forecasts that Shenzhou International's sales orders from Nike will remain flat in 2026, with potential for high single-digit sales growth due to strong visibility from top customers.
Investment Opportunity: If Shenzhou International's stock price declines due to Nike's outlook, it may present a buying opportunity, with Citi rating the stock as a Buy and setting a target price of HKD94.
Wall Street analysts forecast 02313 stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for 02313 is USD with a low forecast of USD and a high forecast of USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Analyst Rating
Wall Street analysts forecast 02313 stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for 02313 is USD with a low forecast of USD and a high forecast of USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
0 Hold
0 Sell
Current: 63.150
Low
Averages
High
Current: 63.150
Low
Averages
High
Morgan Stanley
Morgan Stanley
upgrade
$72
Al Analysis
2025-12-22
Reason
Morgan Stanley
Morgan Stanley
Price Target
$72
Al Analysis
2025-12-22
upgrade
Reason
The analyst rating for SHENZHOU INTL was upgraded to Overweight by Morgan Stanley due to several reasons. Despite the negative impact of Nike's 2FQ26 results on SHENZHOU INTL's performance, the broker identified positive signals that the market may have overlooked. Morgan Stanley pointed out that while SHENZHOU INTL is often viewed as a representative of the sportswear sector in mainland China, over 75% of its sales come from markets outside of China, which are expected to benefit from resilience in those regions. Additionally, the recent decline in SHENZHOU INTL's share price presents a good opportunity for investors to add to their positions. The target price set by Morgan Stanley for SHENZHOU INTL is $72.
Citi
Buy
maintain
$95 -> $94
2025-12-05
Reason
Citi
Price Target
$95 -> $94
2025-12-05
maintain
Buy
Reason
Citi maintained a Buy rating for SHENZHOU INTL despite lowering its earnings forecasts for 2025-27 by 2% and reducing the target price from HKD95 to HKD94. The analyst believes that the recent decline in the stock price reflects management's conservative outlook on sales, which presents a buying opportunity. Additionally, the expected dividend yield for FY26 is 4.8%, and the expected compound annual growth rate (CAGR) of its earnings per share (EPS) over the next three years is 12%.
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Daiwa
Buy
upgrade
$80 -> $84
2025-11-14
Reason
Daiwa
Price Target
$80 -> $84
2025-11-14
upgrade
Buy
Reason
The analyst rating from Daiwa on SHENZHOU INTL (02313.HK) is based on increased confidence in the company's order performance for sports apparel next year. The report highlights that changes in the product mix are expected to drive an increase in the average selling price and gross profit margin (GPM). Despite a period of weak order performance due to cautious downstream clients following the implementation of ASEAN reciprocal tariffs, Daiwa has noted a significant recovery in orders as of November. The anticipation of multiple sports events scheduled for the next year is expected to sustain this recovery trend, leading Daiwa to reiterate a Buy rating and raise the target price from HKD80 to HKD84.
HSBC Global Research
HSBC Global Research
maintain
$88.2
2025-10-03
Reason
HSBC Global Research
HSBC Global Research
Price Target
$88.2
2025-10-03
maintain
Reason
The analyst rating for SHENZHOU INTL (02313.HK) is a "Buy" from HSBC Global Research, based on several positive factors. The key reasons for this rating include:
1. Improved Earnings Outlook: The negative factors affecting SHENZHOU INTL's earnings over the past two years are believed to have bottomed out.
2. Positive Guidance from Major Clients: Nike's better-than-expected quarterly results guidance suggests a potential positive growth trend in revenues from SHENZHOU INTL's major clients, Nike and Adidas.
3. Shift in Revenue Structure: There is an anticipated rise in profit margins due to a shift in revenue from casual apparel clients to sportswear clients, which is expected to drive sales growth.
4. Productivity Improvements: Sales growth is also expected to be supported by productivity improvements.
5. Increased Earnings Predictability: Higher visibility of US tariffs is expected to enhance earnings predictability.
These factors contribute to HSBC's target price of HKD 88.2 for SHENZHOU INTL.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
