---
title: "Understanding the Market | Techtronic Industries rose nearly 3%, with clear advantages in the company's global factory layout; institutions expect the impact of trade friction on its revenue to be relatively small"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/239245489.md"
description: "Techtronic Industries' stock price rose nearly 3%, up 2.4% to HKD 85.5 at the time of publication, with a trading volume of HKD 130 million. Guotai Junan International pointed out that Techtronic Industries' stock price has a significant discount compared to its historical price-to-earnings ratio, and the company is well-prepared to cope with trade frictions. Most of its U.S. business is produced in the U.S. and Vietnam, with expected minimal tariff impact. The company's global factory layout advantages are evident, and sales in North America are expected to be revised upward"
datetime: "2025-05-08T03:16:04.000Z"
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  - [zh-CN](https://longbridge.com/zh-CN/news/239245489.md)
  - [en](https://longbridge.com/en/news/239245489.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/239245489.md)
---

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# Understanding the Market | Techtronic Industries rose nearly 3%, with clear advantages in the company's global factory layout; institutions expect the impact of trade friction on its revenue to be relatively small

According to Zhitong Finance APP, Techtronic Industries (00669) rose nearly 3%, and as of the time of writing, it was up 2.4%, trading at HKD 85.5, with a transaction volume of HKD 130 million.

Guotai Junan International released a research report pointing out that Techtronic Industries' current stock price has a significant discount compared to its 5-year historical average price-to-earnings ratio (20 times), as the market believes that trade friction will impact the company's business. The firm believes that the company has made sufficient preparations in its supply chain to mitigate and alleviate this risk. Additionally, Techtronic Industries revealed in its recent earnings call that most of its U.S. business is actually produced in factories in the U.S. and Vietnam, and it has considered various different production contingency plans. Given that the U.S. and China are planning trade negotiations in Switzerland to ease tariff situations, and the U.S. has provided a 90-day temporary tariff rate, the firm expects the overall impact of tariffs on the company's U.S. business to be minimal.

The firm stated that, given that the company's CEO Steve Richman indicated that the company's global factory layout is more advantageous than any competitor, it can be estimated that the total cost increase for the company's power tools will be lower than that of its main competitors, allowing the company to gain market share. Therefore, the firm raised its sales forecast for the company's North American business to USD 11.62 billion (+7.9%)/USD 12.42 billion (+9.5%)/USD 13.37 billion, accounting for most of the profit upgrade

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