---
title: "HENGAN INT'L  Slides Over 3%; Citi Cuts TP to HKD22.8"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/296432335.md"
description: "Hengan International shares fell over 3% to HKD23.34 as Citi cut its target price from HKD24.3 to HKD22.8, maintaining a 'Neutral' rating. The downgrade reflects lower peer valuations, with target P/E ratios reduced for both tissue and hygiene businesses. Although Hengan's first-half net profit beat expectations by falling only 9% YoY, management warned of narrowing gross margins due to rising raw material costs and flat revenue targets for the second half."
datetime: "2026-08-20T04:06:43.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/296432335.md)
  - [en](https://longbridge.com/en/news/296432335.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/296432335.md)
generator: "portal-rs"
---

# HENGAN INT'L  Slides Over 3%; Citi Cuts TP to HKD22.8

HENGAN INT'L (01044.HK) -0.780 (-3.234%) Short selling $51.77M; Ratio 42.709% opened 0.91% lower today and bottomed at HKD23.08. It is now trading at HKD23.34, down 3.23%, with trading volume of 3.7985 million shares, involving HKD88.5455 million.

Citi said in a research report that HENGAN INT'L's 1H net profit fell 9% YoY, beating the broker's expectations, while revenue was in line with forecasts. Management indicated that due to a higher base in 2H, it targets flat revenue YoY, but expects gross margin to narrow by 2 to 3 ppts YoY due to rising raw material costs.

The broker lowered the target P/E for HENGAN INT'L's tissue paper business from 18x to 15x, and cut the target P/E for its hygiene products business from 12x to 10x, reflecting lower peer valuations. The corresponding TP was reduced from HKD24.3 to HKD22.8, while the "Neutral" rating was maintained. (sl/a)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-08-19 16:25.)

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**