Bank of America Securities: Raises CHOW TAI FOOK's target price to HK$11.9, rating upgraded to "Buy"

Bank of America Securities released a research report stating that it upgraded the rating of CHOW TAI FOOK (01929) from "neutral" to "buy" because the company focuses on the domestic market and is not directly affected by global tariffs. In addition, with same-store sales reaching a bottom, the decline in CHOW TAI FOOK's same-store sales has narrowed and may further improve in the next few quarters; the valuation requirements are not high, a 6% dividend yield can provide support for the stock price downside, and a successful transformation can provide the basis for a revaluation of its multiples. Bank of America Securities raised CHOW TAI FOOK's target price from 7.3 Hong Kong dollars to 11.9 Hong Kong dollars to reflect the rebound in same-store sales and potential brand transformation.