On August 10, EAST BUY rose 5.08% in regular trading, trading at HK$22.3/share, with turnover of HK$207 million. The stock gained momentum after a major brokerage upgrade.
China Merchants Securities International upgraded EAST BUY from \"Hold\" to \"Buy,\" setting a target price of HK$27, implying over 20% upside from the current level. The upgrade comes amid strong operational momentum, with the company having issued a positive profit alert in late July projecting FY2026 net profit of RMB 5.2-5.5 billion, representing growth of approximately 8,567%-9,067% year-over-year compared to just RMB 6 million in FY2025. Full-year revenue is expected at RMB 56-58 billion, up 27%-32% year-over-year.
The bullish stance aligns with Citi, which reiterated a \"Buy\" rating with a HK$33 target price, citing the earnings upgrade as confirmation of the company's turnaround. The company has been actively expanding its private-label product portfolio, launching offline experience stores, deploying over 100 auto-vending machines across nearly 30 campuses, and executing share buybacks, cancelling 7.418 million shares in July.
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