Re: Ajisen 538
Posted: Mon Aug 28, 2017 9:03 am
not vested
Expect topline growth acceleration in 2H17
Ajisen’s 1H17 core net profit rose 31.6% yoy to Rmb108.6m, above our expectations due to better-than-expected OPM expansion.
With SSSG recovering to positive territory in 2Q16 post 10 consecutive quarters of decline, we expect acceleration in store openings which will drive topline growth.
We believe market has priced in the negative news on Baidu Waimai, and further clarity on the topic in the near term should remove share price overhang.
We raise our FY17-19F EPS forecasts by 0.5-3.6% on the back of stronger margin expansion.
Maintain Add with higher DCF-based TP of HK$4.00 (WACC: 10.5%).
Source: CIMB
https://brokingrfs.cimb.com/KRVyDj4R433 ... 5zjhA2.pdf
Expect topline growth acceleration in 2H17
Ajisen’s 1H17 core net profit rose 31.6% yoy to Rmb108.6m, above our expectations due to better-than-expected OPM expansion.
With SSSG recovering to positive territory in 2Q16 post 10 consecutive quarters of decline, we expect acceleration in store openings which will drive topline growth.
We believe market has priced in the negative news on Baidu Waimai, and further clarity on the topic in the near term should remove share price overhang.
We raise our FY17-19F EPS forecasts by 0.5-3.6% on the back of stronger margin expansion.
Maintain Add with higher DCF-based TP of HK$4.00 (WACC: 10.5%).
Source: CIMB
https://brokingrfs.cimb.com/KRVyDj4R433 ... 5zjhA2.pdf