Dahua Jixian released a report saying that the birth rate is expected to increase in 2024. Coupled with management expectations for performance and promises to increase the dividend ratio, China Feihe (06186) will be given 8.3 times PE in 2024 and 7.8 times PE in 2025.
The Zhitong Finance App learned that Dahua Jixian released a report saying that the birth rate is expected to increase in 2024. Coupled with management expectations for performance and promises to increase the dividend ratio, China Feihe (06186) will be given 8.3 times PE in 2024 and 7.8 times PE in 2025, and upgraded to purchase.
According to the report, Feihe's revenue in 2023 was 19.5 billion yuan, accounting for 20.2% of the market, of which the online share increased to 14.4% from 13.1% in the first half of the year. By category, ultra-high-end and high-end products account for 64% and 22% of total revenue respectively. Zhuorui's revenue contribution continues to grow, accounting for 21% of total revenue (8% in 2022). The company's net profit margin will continue to grow in 2024 as the one-time impairment of biological assets and lower raw milk prices and sales costs fall.