Morgan Stanley released a research report sayingplayultimatexpokerfree, will unify the enterprise China (00220) target price from 4playultimatexpokerfree.9 Hong Kong dollars rose to 6playultimatexpokerfree.6 Hong Kong dollarsplayultimatexpokerfree, the rating was accordingly upgraded to "synchronize with the market". The company may face more severe competition in the second quarter of fiscal 2024, which will slow its sales growth and weaken its sales leverage. Sales are expected to increase by 8% in fiscal 2024.
The bank predicts that Unify's profit margin expansion in the first quarter of this year is unlikely to occur again, and believes that the company's utilization rate will weaken in the second and third quarters of this year. At the same time, the bank believes that the company's better product portfolio and lower promotional levels may continue in fiscal 2024 and effectively increase the company's profit margins. In addition, considering the strong sales momentum of Uni-President's beverage business in the first quarter of fiscal year 2024, Morgan Stanley raised its sales forecast for fiscal years 2024 to 2026 by 1% to 2%; its gross profit margin forecast for fiscal year 2024 by 1.5 percentage points; The forecast for earnings per share for fiscal year 2024 is increased by 19%; the forecast for earnings per share for fiscal years 2025 and 2026 is increased by 26% and 28% respectively.