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Deutsche Bank'S First Move To China (3818.HK) Buying Rating
Deutsche Bank will be the first to give the sports shoe retailer China's 3818.HK rating as a target price of HK $6.25, because the company has experienced strong growth under the leadership of experienced management team. It is estimated that the core profit of the company in the 2007 and 2008 fiscal years will increase by 124% and 35% respectively from the previous year, driven by favorable sports shoes market environment and strong Kappa brand (the Chinese trend has the agency in China). Added that the company is the foreign brand preferred agent who wants to have a share in the lucrative Chinese market. The stock is down 1.7% to HK $5.30.
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