Morningstar: China Duty Free is expected to benefit from its considerable scale.

Morningstar report states that China Duty Free's tax-free license and scale are its key intangible assets, which will help strengthen its bargaining power with suppliers. The company may also benefit from a more diverse range of products and competitive prices. Morningstar indicates that China Duty Free has a significant competitive advantage due to its scale, stable relationships with suppliers, and first-mover advantage in the Hainan offshore duty-free market, making it a major beneficiary of China's growing tourism demand and consumption. Morningstar has initiated coverage of the company's stock listed in Shanghai, giving it a fair value estimate of RMB 56.