Yuyuan Group Most Benefited From World Cup Effect Potential Increase Of 34%

UBS issued a research report on the 4 year World Cup held in South Africa. The bank selects 11 of the world's most successful stocks in the world cup effect, the only investment for Yuyuan group in Hong Kong is its "buy" investment rating, and the target price is 31 yuan, with a potential increase of 34%.

UBS pointed out that Yuyuan is the world's largest brand footwear manufacturer, with 17% market share in the sports shoes and casual shoes market. As the international big brands such as Nike and Adidas, the huge market demand of the world cup will bring more benefits to Yuyuan. There is no financing pressure in the short term. The group held cash in the first quarter of US $1 billion 100 million, and we only need to pay 690 million dollars before the end of 2011, without cash flow pressure.

UBS expects that Yuyuan's revenue growth from 2010 to 12 will be 6%, 5% and 8% respectively, due to the increased profit margins in the retail sector.