China Feihe Ltd Ordinary Shares
06186: XHKG (HKG)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
HK$8.50 | Drbjfcp | Frdbvpxxm |
China Feihe Earnings: The Super-Premium Segment Charged Profit Growth; Maintaining Fair Value
Narrow-moat China Feihe’s first-half revenue and net income exceeded our estimates thanks to the strong momentum of the new premium products. Management noted that channel inventory has returned to a healthy level and is optimistic about faster revenue growth in the second half. This is directionally consistent with our expectations, but we still raised our second-half sales and net income projections by 2% and 9%, respectively, to account for the better-than-expected performance of its premium lineups.