Core Viewpoint - Cathay Securities maintains a positive outlook on Xtep International's (01368) competitive strength in the main brand running shoes sector, with a target price of HKD 6.45 for 2025, reflecting a lower-than-industry-average PE of 12X [1] Group 1: Financial Performance - The main brand's Q1 revenue showed single-digit growth year-on-year, with discounts remaining stable at 7-7.5%, and an inventory-to-sales ratio of approximately 4 months, indicating a healthy balance [2] - Xtep's Q1 functional running shoes sales demonstrated double-digit growth, showcasing the company's competitive edge in the running shoe market [3] Group 2: Brand Development and Strategy - The DTC (Direct-to-Consumer) reform is progressing as planned, with expectations to recover 400-500 stores by 2026, which may have a slight short-term impact on 2025 profits but is expected to enhance operational efficiency and customer experience in the long term [3] - Saucony's Q1 revenue increased by over 40% year-on-year, with a growth guidance of 30-40% for 2025, and plans to open 30 new stores, primarily in high-tier markets [4]
国泰海通：维持特步国际(01368)“增持”评级 目标价6.45港元