Yamato: Downgrades China Resources Beer (00291.HK) target price to 36 Hong Kong dollars while reiterating a "buy" rating.

Smart Finance APP learned that Daiwa released a research report stating that they hosted the management of China Resources Beer (00291.HK) at a Daiwa investment conference in Hong Kong last Friday (the 14th), where they emphasized catering to new channels such as instant retail and developing new flavors (such as juice beer, tea-flavored beer) to meet the rapidly changing preferences of young Chinese consumers. Due to the potential slowdown in average selling price and profit margin expansion, Daiwa lowered China Resources Beer's core earnings per share forecast for 2025-2027 by 4%; reiterated a "buy" rating and lowered the target price from 38 Hong Kong dollars to 36 Hong Kong dollars, based on a target P/E ratio of 18 times next year. Daiwa believes that China Resources Beer, with strong execution capabilities and flexible strategies, can adapt to the rapid changes in consumer preferences in China, and will continue to prefer China Resources Beer over its main competitors.