[ET Net News Agency, 4 August 2020] Goldman Sachs upped its target price for Techtronic
Industries (TTI)(00669) to HK$79.4 from HK$52.5 and maintained its "neutral" rating.
Coupled with the US federal government having stepped in with a stimulus package to help
with lost income, the research house said the "DIY phenomenon" has led to US household
consumer power tool demand dropping less than feared; consumers are spending more time at
home on repair & maintenance work amid the lockdown.
TTI kept its factory capacity at >90% effective (mainly located in China) and its sales
team has also been functioning well, according to the company, thus Goldman believes TTI
is likely to outperform industry trends.
Goldman raised its 2020-22 EPS/revenue forecasts on TTI by 10% as it assumed
better-than-expected market share gain. (KL)