In "The Big Banks," Citigroup lowered the target price for CHINA FEIHE to 4.1 yuan, as last year's performance was below expectations

Citi published a research report indicating that CHINA FEIHE (06186.HK) had sales and net profit of RMB 18.1 billion and RMB 1.9 billion, respectively, last year, which fell short of the company's guidance and the bank's expectations.

In the face of declining newborn numbers and intensified competition in the industry, the company's goal is to achieve stable sales and profit performance this year. The bank believes that this goal will require effort, as the company's market share growth stagnated last year. The company plans to capture market share through the launch of new products and channel partnerships, and the bank considers the performance of new products to be a key observation point.

The bank has lowered the target price for Feihe from HKD 4.9 to HKD 4.1, maintaining a "outperform" rating, as the target price still has upside potential compared to the current stock price, and it expects a dividend payout ratio of 70% this year, with a dividend yield of 5%