Sinolink Lang: Lower SANY INT'L (00631) target price to HK$ 12, maintain "outperform" rating.

CICC Leasing issued a research report stating that the profit margin and cost control performance of SANY INT'L (00631) in the first quarter of 2026 did not meet expectations, causing concerns among investors. The bank lowered the company's target price from HK$16 to HK$12, maintaining an "outperform" rating. The bank also revised down the company's net profit forecast for 2026-2027 by 28% and 19% respectively, to RMB 2.211 billion and RMB 3.147 billion, to reflect the pressure on profit margins. Additionally, the price-earnings valuation multiple was reduced from 14.5 times to 13 times, reflecting the depreciation pressure of the RMB in the machinery industry.