External broker reports(aggregated public sources), CMB International

CMB International

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

External broker reports(aggregated public sources)

Equity Bottom-Up

<ul><li>Thanks to the rather distressed valuation at just 14x FY24E P/E (our TP is based on 19x P/E, even 1 s.d. below its 5-year average of 28x), we maintain BUY on Li Ning.</li><li>We are still cautious about its retail sales growth trend (because the brand popularity might has declined recently and its products are not as value as before) but we do appreciate Li Ning’s efforts to de-stock its inventory in both the channel and trade fair orders, in order to reset the channel health and investors’ expectations.</li><li>Li Ning reported fairly weak retail sales growth in 3Q23</li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Thanks to the rather distressed valuation at just 14x FY24E P/E (our TP is based on 19x P/E, even 1 s.d. below its 5-year average of 28x), we maintain BUY on Li Ning.We are still cautious about its retail sales growth trend (because the brand popularity might has declined recently and its products are not as value as before) but we do appreciate Li Ning’s efforts to de-stock its inventory in both the channel and trade fair orders, in order to reset the channel health and investors’ expectations.Li Ning reported fairly weak retail sales growth in 3Q23Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Li Ning (2331 HK) – Value Is Distressed but End Demand Is Key