In "Major Banks," China International Capital Corporation (CICC) lowered the target price for TOPSPORTS to 3.88 yuan and maintained the "outperform industry" rating

CICC published a report stating that TOPSPORTS (06110.HK) met the company's expectations for the third fiscal quarter ending in late November this year, with a cautious outlook ahead. The company announced its operational performance for the third fiscal quarter, with total sales in retail and wholesale businesses declining by high single digits year-on-year, and the gross sales area of directly operated stores decreasing by 1.3% compared to the end of August.

The firm indicated that considering weak demand and the main brands still in an adjustment period, it has lowered the company's earnings per share forecasts for the fiscal years 2026 and 2027 by 4% and 13% to RMB 0.2 and RMB 0.23, respectively. The current stock price corresponds to a forecasted price-to-earnings ratio of 14 and 12 times for the fiscal years 2026 and 2027, maintaining an "outperform the industry" rating. The target price has been correspondingly lowered by 7% to HKD 3.88, corresponding to forecasted price-to-earnings ratios of 17 and 15 times for the fiscal years 2026 and 2027