Yamato: Maintains "buy" rating on JD-SW (09618), raising target price to HK$216.

Daiwa released a research report stating that it maintains a "buy" rating on JD-SW (09618), with a target price raised from 204 Hong Kong dollars to 216 Hong Kong dollars. The bank said that the positive surprise in the group's fourth-quarter performance, driven by JD's retail, exceeded expectations in terms of revenue and adjusted profits. The bank believes that JD's retail revenue momentum in the first half of the year will remain strong and profitability may be revised upwards. However, in the second half of the year, it will face a high base for electronic and home appliance revenue, so faster growth in daily department store revenue than expected is needed to further revise the rating. Taking into account the faster revenue growth, Daiwa has raised its earnings forecast for JD in 2025 and 2026 by 7% to 12%.