CICC: Lower China Tourism Group Duty Free Corporation (01880) to 95 Hong Kong dollars, maintaining "outperform" rating.

Zhongjin released a research report stating that it maintains China Tourism Group Duty Free Corporation (01880) profit forecast for the next two years at 54.83 billion yuan, and 63.1 billion yuan unchanged; considering the downward movement of industry valuation center, it lowers China Duty Free (601888.SH) target price to 95 yuan, and reduces H-share target price to 95 Hong Kong dollars; It maintains a "outperform industry" rating on both its Hong Kong and A shares. China Tourism Group Duty Free Corporation announced its 2025 performance, with revenue decreasing by 4.92% year-on-year to 53.694 billion yuan, and net profit attributable to the parent decreasing by 15.96% year-on-year to 3.586 billion yuan. It also believes that the performance in the last quarter of last year meets market expectations. Looking ahead to 2026, the bank is optimistic that outbound tourists, island residents' duty-free, digital products, and internal growth are expected to bring growth in duty-free sales. It recommends paying attention to the rebound from the low base on a year-on-year basis.