01368 Should I Buy

The analyst rating for Xtep International is based on the company's resilient fundamentals despite macroeconomic uncertainties. Although retail sales growth was low and operating margins are expected to be pressured due to the transition to a direct-to-consumer model, the market has largely priced in these short-term challenges. The broker believes that strategic investments in the DTC model will enhance operational efficiency and lead to a recovery in earnings by 2027, justifying the Overweight rating despite a lowered price target.