Goldman Sachs: Maintains "buy" rating on Wei Long Delicious Food (09985.HK) with a target price of HK$13.9.

According to the Wise News APP, Goldman Sachs has released a research report stating that the rating for Wei Long Delicious (09985.HK) is "buy", with a target price of 13.9 Hong Kong dollars in 12 months, based on a 19 times expected P/E ratio for 2027 and discounted back to 2026 with a cost of equity of 8.6%. Despite fierce competition in the snack industry, the industry expects the company to continue to grow, thanks to: 1) first-mover advantage, able to adapt to increasing competition with its nationwide coverage and resources; 2) smaller companies are more easily affected by cost increases and price pressures due to scale disadvantages; 3) combined with Wei Long's brand image and insight into konjac products and markets, the company has the potential to achieve multiple improvements in consumer penetration, channel expansion, SKU, and flavor.