02331 Overview

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.

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.

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.

ANTA SPORTS Acquisition: ANTA SPORTS announced its acquisition of Puma, raising investor questions about its impact on the company's business in China.

Citi Research Insights: Citi Research predicts that the acquisition could lead to rapid revenue growth for Puma in China and suggests potential integration of retail and distribution operations.

Market Recommendations: The broker maintains a "Buy" recommendation for ANTA SPORTS and sets a target price of $107, alongside other companies in the sportswear sector.

Short Selling Data: As of February 10, 2026, ANTA SPORTS has a short selling ratio of 14.717%, while other companies like TOPSPORTS and LI NING also show significant short selling activity.

ANTA SPORTS Acquisition: ANTA SPORTS announced the acquisition of a 29% stake in Puma for EUR1.5 billion, making it Puma's largest shareholder upon completion.

Market Reaction: Citi reports that the market has largely priced in the negatives related to the acquisition, maintaining a Buy rating on ANTA SPORTS with a target price of HKD107.

Short Selling Data: ANTA SPORTS has a short selling amount of $63.93M with a ratio of 10.045%, indicating significant market activity.

Industry Comparisons: Citi's stock picks favor ANTA SPORTS over competitors like TOPSPORTS and LI NING, all of which are rated Buy.

Li Ning's Financial Activities: Li Ning's subsidiaries have made several structured deposit subscriptions totaling RMB1.93 billion, with varying terms and expected annual return rates ranging from 0.6% to 3%.

Short Selling Information: The company is experiencing significant short selling activity, with a total of $79.79 million shorted and a short selling ratio of 24.382%.