Lyon: Raised Xinxin Retail (06808.HK) target price to 2 Hong Kong dollars, maintaining a "hold" rating.

According to the Wisdom Finance app, a research report released by Lyon stated that Gaoxin Retail (06808.HK) turned losses into profits in the second half of the last fiscal year ending in March, from a loss of 1.2 billion yuan in the second half of the 2024 fiscal year to a net profit of 199 million yuan in the second half of the 2025 fiscal year. In the 2025 fiscal year, a generous dividend of 1.5 billion yuan will be distributed, implying a dividend payout ratio of as high as 368%. The bank has lowered its profit forecast for Gaoxin Retail for the 2026 fiscal year by 12% and raised its valuation basis, raising the forecasted future 12-month price-earnings ratio from 15 times to 18 times and the target price from 1.7 Hong Kong dollars to 2 Hong Kong dollars, but maintaining a "hold" rating.