Li Ning (2331) Earnings Fall Short of Estimates: A Detailed Look at FY Net Income and Revenue

Li Ning on Smartkarma

Smartkarma, an independent investment research network, has recently been buzzing with analyst coverage on Li Ning (2331 HK), a Chinese sportswear company. According to Steve Zhou, CFA, the founder and biggest shareholder of Li Ning, Mr. Li Ning, is considering privatizing the company. However, Arun George believes that the probability of an offer is low due to funding challenges, but also notes that the company is currently trading at an undemanding valuation. Meanwhile, David Blennerhassett suggests that Li Ning could potentially be a value trap play, but also mentions that the company’s shares have been on the rise since the news of a potential privatization. In another report, Blennerhassett highlights recent CEO and director dealings in Li Ning, raising questions about the company’s corporate governance. Despite the uncertainties, Li Ning continues to trade at a relatively low valuation of 11x forward earnings.

A look at Li Ning Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Li Ning Company Limited, a leading sports apparel and footwear company, has recently received positive scores from Smartkarma’s Smart Scores. These scores, which range from 1 to 5, indicate the company’s overall outlook in various areas such as value, dividend, growth, resilience, and momentum. According to the scores, Li Ning has a strong dividend score of 5, indicating its commitment to providing returns to its shareholders. It also scores well in growth and resilience, with scores of 4, suggesting that the company has a solid foundation for future expansion and can withstand challenges in the market. However, its momentum score of 2 indicates that the company may be facing some challenges in terms of market performance.

Based on Smartkarma’s Smart Scores, Li Ning seems to have a positive long-term outlook. With a strong dividend score and solid scores in growth and resilience, the company appears to be in a good position to continue its success in the sports apparel and footwear industry. However, its lower momentum score suggests that there may be some obstacles in the near future that could affect its market performance. Overall, Li Ning‘s commitment to providing returns to its shareholders and its ability to withstand challenges make it a promising company for long-term investment.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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