Guangfa Securities: Upgraded "buy" rating for Shanghai Auntie (02589.HK), fair value at 121.32 Hong Kong dollars.

Zhixin Finance APP learned that GF Securities released a research report stating that the expected adjusted net profits of Shangshang Auntie (02589.HK) in 2025-2027 are 560 million / 640 million / 760 million yuan respectively. The company's development strategy is clear, with the foundation of One (Shangshang Auntie China) growing rapidly, with room for expansion in both new and existing stores. The two wings (Tea Waterfall, overseas regions) complement each other, covering more customer groups and possessing stronger counter-cyclical capabilities. Referring to comparable companies, the company is given a 2026 P/E ratio of 18 times, corresponding to a fair value of HK$121.32 per share, with a "buy" rating.