Guolian International: Initiated coverage on Lao Feng Xiang Gold (06181.HK) with a "buy" rating and a target price of 857 Hong Kong dollars.

Zhitong Finance APP learned that Guoyin International released a research report stating that the success of Lao Pu Gold (06181.HK) is largely attributed to its adherence to ancient production techniques over the past decade, the creation of brand value, and focus on positioning in the high-end market. However, compared to international luxury brands such as Bulgari and Cartier, Lao Pu still needs more time to shape and develop the cultural heritage of the brand, further enhance the artistic value of the products and brand, in order to completely break free from the constraints of gold prices and become a true luxury brand. Considering the high certainty of future performance growth in Lao Pu over the next 3 years and the currently low valuation level, we initiate coverage with a "buy" rating and a target price of 857 Hong Kong dollars. Less than a year after its listing, the brand awareness of Lao Pu Gold has significantly increased, sales have grown rapidly, and the stock price has exceeded the issue price by 20 times.