HSBC: Cuts New Look (01910.HK) Target Price to HKD 21.43, Maintains "Buy" Rating

According to the Wisdom Financial APP, the research report released by DBS Bank stated that due to weak consumer sentiment and ongoing trade tensions, Samsonite (01910.HK) is expected to experience a single-digit decline in revenue in the first half of this year compared to the same period last year. However, due to the low base and the upcoming peak tourist season, the momentum in the tourism industry is strong, and profitability is expected to continue to rise. With relatively low valuation, potential for valuation reassessment, and promising medium-term prospects, the bank maintains a "buy" rating on the stock. However, due to the slower performance of the group in the first half of this year, the bank has lowered its earnings forecast for this year and the next by 26% and 31%, respectively. Assuming a price-to-earnings ratio of 15 times for this year, the target price has been revised down from HK$31.21 to HK$21.43. Additionally, the bank mentioned that Samsonite may conduct a dual listing in the United States in the second half of the year, which, if successful, could improve stock liquidity, valuation, and access to global investors.