CICC: Maintains Buy Rating on Tong Ren Tang (03613.HK) and Target Price of HK$10.50.

According to the Wisdom Financial APP, CICC released a research report stating that considering the expenditure in the second half of the year, Tongrentang Group's (03613.HK) industry rating remains ahead. Considering the company's active expansion of online and offline sales channels and continuous enrichment of its sales network layout, the bank maintains a target price of 10.50 Hong Kong dollars, corresponding to a P/E ratio of 16.4 times/14.9 times for 2025/2026, with a potential 10.3% upside from the current stock price. The company announced its performance in the first half of 2025: revenue of 762 million Hong Kong dollars, up 14.6% year-on-year, net profit attributable to shareholders of 235 million Hong Kong dollars, corresponding to earnings per share of 0.28 Hong Kong dollars, up 6.9% year-on-year, in line with the bank's expectations.