HK Stock Market Move | SAMSONITE (01910) fell nearly 7% due to the negative impact of US tariff policies. Goldman Sachs expects its profit to decline by 17% in the 2025 fiscal year.

SAMSONITE (01910) fell by nearly 7%, dropping by 6.8% to 13.44 Hong Kong dollars as of press time, with a trading volume of 80.4635 million Hong Kong dollars. On the news front, the recent escalation of trade tariffs, according to Morgan Stanley, is expected to affect international brands due to the global economic slowdown and its impact on consumer demand. Brands exporting to the United States may face weak demand if they increase prices to pass on higher tariffs. SAMSONITE derives 35% of its sales from North America, with 15% of products imported from China and 80% imported from ASEAN countries. Goldman Sachs recently pointed out in a research report that under the baseline scenario, SAMSONITE will pass on 50% of tariff-related costs to consumers, meaning an average price increase of 5% this year. It is estimated that sales volume will decrease by 14%, leading to a 9% year-on-year decline in US sales (compared to the bank's previous forecast of a 1% decline). Therefore, Goldman Sachs predicts that SAMSONITE's gross profit will decrease by $93 million year-on-year; gross profit margin will decrease by 3.4 percentage points, resulting in a 13% year-on-year decline in EBITDA for the group in the 2025 fiscal year; and a 17% year-on-year decrease in profits. Goldman Sachs has lowered SAMSONITE's target price from 29 Hong Kong dollars to 22 Hong Kong dollars.