CICC: maintain a outperform rating on Xinyi Glass (00868) with a target price of HK$8.5

According to the news from the Wise Finance APP, Zhongjin released a research report stating that considering the pressure on the float glass business in the first half of the year, but the overall industry outlook is expected to improve marginally, it has lowered the estimated EPS for CSG (00868) for 2025 by 21% to 0.52 yuan and maintained the estimate for 2026 EPS at 0.68 yuan. The current stock price corresponds to a P/E ratio of 14x for 2025 and 11x for 2026. Taking into account the potential impact of "anti-involutio" on the float glass industry, the bank maintains an outperform rating and a target price of 8.5 Hong Kong dollars, corresponding to P/E ratios of 15x for 2025 and 11x for 2026, implying a 5% upside potential.