Daiwa: Lower Highbrow Retail (06808.HK) target price to 1.5 Hong Kong dollars, maintaining a "synchronize with the market" rating.

According to the Financial Channel APP, Morgan Stanley released a research report stating that Gaoxin Retail (06808.HK) is still facing pressure from intense competition and weak consumer demand, while the recovery of per capita spending still remains uncertain. Management expects revenue for the fiscal year 2027 to remain flat or slightly increase compared to the previous year, and to turn losses into profits under the promotion of product competitiveness enhancement, store reform, expansion of its own brand, and online growth. However, the fiscal year 2027 is still a year of investment and execution, and the bank hopes to see more evidence of the recovery of per capita spending and the improvement of store productivity. The bank has rolled its valuation to fiscal year 2027, lowering the target price from 2.3 Hong Kong dollars to 1.5 Hong Kong dollars, while maintaining a "synchronized with the market" rating.