BofA Securities: Raised target price for JD Health (06618) to HK$71, raised revenue and profit forecast.

Bank of America Securities released a research report stating that the performance of JD HEALTH (06618) in the first half of 2025 significantly exceeded expectations, and the bank expects its performance in the second half of the year to continue to surpass market expectations. Based on this, the bank has raised its full-year revenue growth forecast for JD HEALTH in 2025 from 20% to 22%, and adjusted its operating profit growth forecast from 32% to 40%. Due to a more optimistic growth outlook, the bank has raised its adjusted net profit forecast for JD HEALTH from 2025 to 2027 by 3%, and has raised its discounted cash flow target price from HK$68 to HK$71, reiterating its "buy" rating. For the third quarter, Bank of America Securities has raised its JD HEALTH forecast and expects the company to maintain the rapid revenue growth momentum seen in the first half of the year. They are maintaining their original forecasts for the fourth quarter and are waiting for more visibility post Singles' Day. The bank expects JD HEALTH's gross profit margin to expand year-on-year in the second half of the year.