Citi published a research report stating that, according to TOPSPORTS (06110.HK) -0.450 (-23.560%) Short selling $3.18M; Ratio 16.139% 's announcement and information from Nike's official website, Nike will terminate most of its online distribution business with Chinese retailers from January 2027 and shift to an online direct-to-consumer (DTC) model. The bank expects the change in Nike's distribution strategy to result in a loss of its future market share in China, generating positive impacts on Chinese domestic brands and other competing international brands, while negatively affecting Nike's retail distributors in China such as TOPSPORTS.

Citi noted that among Chinese domestic brands, LI NING (02331.HK) -0.110 (-0.741%) Short selling $101.11M; Ratio 16.415% and ANTA SPORTS (02020.HK) -0.650 (-0.847%) Short selling $93.51M; Ratio 23.143% are both expected to gain market share from Nike. Given that LI NING's product pricing is closer to Nike compared with other Chinese brands, LI NING is expected to become the biggest beneficiary from the industry's changing landscape. Among Chinese sporting goods stocks, the bank's top pick is ANTA SPORTS, followed by LI NING, and then TOPSPORTS. (ad/u)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-21 16:25.)