not vested
<Research Report>BofAML Lifts MENGNIU DAIRY Target to $25.6 on Demand Recovery, Eased Competition
Bank of America Merrill Lynch, in its report, said that MENGNIU DAIRY (02319.HK) and YASHILI INT'L (01230.HK) may see a turnaround next year given demand recovery for dairy products, less intensive competition and effective self-help measures. Hence, the research house maintained a positive view on MENGNIU DAIRY.
However, the research house cut 2017 EPS forecast of MENGNIU DAIRY by 4% owing to forex loss and rising option expenses, while maintaining that of 2018-2019 unchanged.
2017-2019 core EPS CAGR is expected to exceed 20%.
The target price was lifted to $25.6 from $23, factoring in 24x 2018E P/E and stronger free cash flow. The investment rating was reiterated at Buy.
Source: AAStocks Financial News