[ET Net News Agency, 16 May 2018] Daiwa Research lowered its target price for Man Wah
Holdings (01999) to HK$6.8 from HK$7.8, and retained its "hold" rating.
The research house said Man Wah's FY2018 results were largely in line with Daiwa's
estimates. But it sees continued headwinds for Man Wah's export business' margins and
believes the rapid growth period of its China business has peaked.
Despite Man Wah's leading market position and solid cash generation, Daiwa believes the
consensus earnings estimates remain too optimistic.
While the company guides for a >300 net store addition in FY2018, Daiwa expects a lower
incremental contribution from its new stores due to (1) openings mostly being in
lower-tier cities, (2) an increasing mix of Fleming or bedding stores, which has roughly
half the average sales per store versus CHEERS sofa stores, and (3) the lack of planned
price hikes. (KL)
|
|
|
|
|
|
|
|
|
|
Super Quote | Detail Quote | Interactive Chart | Transaction | Related News | Related Securities | Company Information | Dividend Records | Short Sell
01999 MAN WAH HLDGS
Nominal 
5.370 +0.040 (+0.750%) Others
16/05/2018 11:21
[I-bank focus]Daiwa cuts Man Wah Holdings (01999) to HK$6.8
| Remark: | Real time quote last updated: 24/04/2024 17:59 |
| Real-time basic market prices of Hong Kong securities are provided by HKEx; a Designated Website authorized by the HKEx Group to provide the Service |