＜Research＞CLSA Chops WANT WANT CHINA (00151.HK) TP to $4.5, Rates Underperform

　　CLSA noted in a report that WANT WANT CHINA (00151.HK) +0.380 (+8.617%) Short selling $7.55M; Ratio 13.126% 's profit margins for FY24 ended March this year are higher than the market's estimates due to a lower cost of goods sold for 90% of its product, including raw materials and labour costs for milk powder and packaging.

　　The broker expected the company's gross margin to continue expanding in FY25 as lower milk powder costs will remain for 6-9 months in FY25 and sales are expected to grow modestly, supported by new channels and overseas markets.

　　Related NewsBofA Securities Cuts WANT WANT CHINA (00151.HK) TP to $4.8, Reiterates Rating Underperform

　　CLSA believed WANT WANT's 6-7% yield would support share price performance. Nevertheless, on a P/E valuation basis, the broker chopped its target price from $5.25 to $4.5 and maintained its Underperform rating.

　　(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2024-06-25 16:25.)

　　AAStocks Financial News