Haitong International: Lowering the target price of Old Shop Gold (06181) by 21% to HK$435 to maintain the “superior to the market” rating

The Zhitong Finance App learned that Haitong International released a research report stating that it will lower the target price of old gold (06181) by 21% to HK$435, maintaining the “superior to the market” rating. The company's sales performance in the first quarter of this year was impressive. Demand for terminals has slowed since the second quarter. The bank expects year-on-year growth or phased pressure under high base in the fourth quarter of this year. The company's revenue for the first half of the year was RMB 19.808 billion, and net profit to mother was RMB 4.267 billion, up 60.3% and 88.2%, respectively.

The bank estimates that the company's revenue from 2026 to 2028 will be RMB 32.255 billion, RMB 30.263 billion and RMB 32.896 billion, with year-on-year changes of 18.1%, a decrease of 6.2% and an increase of 8.7%, respectively; adjusted net profit was RMB 6.823 billion, RMB 6.443 billion and RMB 7.127 billion, respectively, up 34.1%, down 5.6% and 10.6% year-on-year.

The bank gave the company a price-earnings ratio of 10 times in 2026, which was 14 times, considering the high base, weak consumption environment, and operating uncertainty caused by fluctuations in gold prices.