Smoore Intl 6969

[winston]

vested

<Research>HTSC Cuts SMOORE INTL (06969.HK) TP to $11.31 as Private Brand Delivers Glamorous Results

2024/08/20

SMOORE INTL (06969.HK) 's 1H24 revenue amounted to RMB5.037 billion, down 1.7% YoY, Huatai Securities issued a research report saying.

Net profit attributable to parent company amounted to RMB683 million, down 4.8% YoY.

The decline in profit was mainly due to the increase in the Company's research and development costs and sales expense investment.

SMOORE INTL's private brands delivered glamorous performance, with its 1H24 sales gross profit margin rising by 1.8 ppts YoY to 38%, Huatai Securities added.

Therefore, Huatai Securities cut its target price from $11.36 to $11.31, with rating kept at Buy.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news

[winston]

not vested

<Research>CICC Raises SMOORE INTL (06969.HK) TP to $13.5 as HNB New Biz Expected to Enter Harvest Period

2024/10/18

SMOORE INTL (06969.HK) 's 3Q24 revenue amounted to RMB3.28 billion, up 14.1%/ 16.5% YoY/ QoQ each, CICC released a research report saying.

The Company stepped up its efforts to develop new businesses such as Heat not burn (HNB) and atomized medicine, and increased its investment in R&D and management expenses in 3Q24.

Coupled with the effect of income tax withholding, net profit for the period amounted to RMB380 million, down 22.5% YoY and up 10.2% QoQ.

With the gradual commercialization of beauty atomization, HNB and atomized medicine, the R&D investment is expected to enter the harvest stage, according to the broker.

Therefore, CICC kept rating for the Group at Outperform, and raised its target price by 17% to $13.5.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news

[winston]

not vested

<Research>HTSC Lifts SMOORE INTL (06969.HK) TP to $12.37; Core Biz Revives Sturdily

2024/09/25

Huatai Securities released a research report on SMOORE INTL (06969.HK) of which share price was recently boosted again by the recovery of HK stock market sentiment following overseas rate cuts.

The broker believed that the company's traditional atomized electronic cigarette business steadily recuperated, and thus expected it to hail an inflection point in operations in 2H24.

Meanwhile, businesses such as medical atomization were sturdily fostered as medium- and long-term strategies, with long-term growth forecast to be smooth.

Huatai Securities maintained its earnings forecast for SMOORE, and estimated the company's net profit to be RMB1.698 billion/ 2.01 billion/ 2.393 billion in 2024-26, respectively, corresponding to EPS of RMB0.28/ 0.33/ 0.39, respectively.

In light of the company's persistent efforts to strengthen product innovation and category expansion, its advantages in R&D and management, its outrunning compliance market value after the implementation of regulatory policies in various countries, SMOORE had prominent long-term value attributes and the new business progressed swimmingly.

The broker raised the group's target price from $11.31 to $12.37 and maintained its Buy rating.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news

[winston]

<Research>UBS Downgrades SMOORE INTL (06969.HK) to Sell, Lifts TP to $10.72

UBS issued a research report downgrading SMOORE INTL (06969.HK) from Neutral to Sell, mainly due to rich valuation and a relatively conservative view on the profit contribution from BAT's newly launched HNB product.

After BAT announced the launch of its new HNB product, SMOORE INTL's share price has risen by about 35%, indicating that investors are bullish on its prospects.

Currently, SMOORE INTL is trading at approx. 42x of 2025 PE ratio, making the broker's view that the stock is overvalued compared to the global tobacco industry's average of 11x 2025 PE ratio and Chinese consumer peers' 34x PE ratio.

UBS' earnings forecast for SMOORE INTL is 9-11% below market consensus. Therefore, the broker lifted its target price on SMOORE INTL from $7.50 to $10.72.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

<Results>SMOORE INTL Annual NP Dips 20.8% to RMB1.303B; Final DPS HKD5 Cents

SMOORE INTL (06969.HK) announced its FY2024 results, with revenue of RMB11.799 billion, up 5.3% YoY, and gross profit of RMB4.412 billion, rising 1.6%.

Net profit fell 20.8% to RMB1.303 billion, with EPS at RMBn0.2142.

The final dividend remains at HKD0.05 per share.

Dividend History
Announce Date Event Particular
2024/08/19 Interim D:HKD 0.0500
2024/03/18 Final D:HKD 0.0500
2023/08/21 Interim D:HKD 0.0500
2023/03/20 Final D:HKD 0.0800

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

<Research>Daiwa Upgrades SMOORE INTL (06969.HK) to Outperform, Elevates TP to $16

SMOORE INTL (06969.HK) 's valuation is likely to continue to rise despite a rapid PE ratio valuation recovery to its past-5-year average since its IPO on a number of factors, including a new HNB product that becomes the first meaningful competitor to iQOS, a Tesla-style share incentive plan, an expansion plan into non-invasive medical aesthetics and the US Food and Drug Administration (FDA)'s crackdown on illegal vapes, Daiwa issued a research report saying.

Daiwa lowered its 2025 EPS forecast for the Company by 10%, but raised its 2026 EPS forecast by 9% to reflect the contribution of its new HNB products from 2026.

The broker also elevated its target price from $9 to $16, and upgraded the stock from Hold to Outperform.

Related News: SMOORE INTL Annual NP Dips 20.8% to RMB1.303B; Final DPS HKD5 Cents

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

<Research>BofAS Adds SMOORE INTL (06969.HK) TP to $9.2, Keeps Rating at Underperform

SMOORE INTL (06969.HK) issued a profit warning expecting 1H25 revenue to grow 18% YoY, with incline in adjusted profit of -9%-+4%, according to a research report issued by BofA Securities.

The broker believed that the performance aligns with guidance for full-year positive revenue growth and flat adjusted profit, implying weaker 2H25 revenue.

Revenue growth was mainly driven by self-branded business and corporate client business, with trends in 2Q25 similar to 1Q25.

However, profits are dragged down by increased share-based payment expenses, rising sales and management expenses for self-branded products in overseas markets and a significant increase in legal fees.

BofA Securities lowered its 2025/ 2026 EPS forecasts by 11%/ 19% each, and added its target price from $8 to $9.2, with rating kept at Underperform.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

<Research>UBS Drops SMOORE INTL's TP to HKD13.11 w/ Rating Sell; ST Profitability Pressured by R&D Expenditure

SMOORE INTL (06969.HK) experienced a decline in its interim net profit, primarily due to increased equity compensation, higher sales and development expenses, and escalated tax rates, UBS issued a report saying.

Management remains optimistic about sustained revenue growth in 2H25 because of the favorable e-cigarette policies in the US and Europe.

However, the company's short-term profitability will still be impacted by increased R&D expenditure, as it prepares to launch its own products in the US.

Related News: SMOORE INTL Interim NP Down 28% to RMB492M; DPS HKD20 Cents

UBS cut its target price for SMOORE INTL from HKD14 to HKD13.11 and maintained the Sell rating unchanged.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN