Goldman Sachs: Lowering Haitian International's (01882) target price to HK$24.4 to maintain “buy” rating

The Zhitong Finance App learned that Goldman Sachs released a research report stating that it will reduce the target price of Haitian International (01882) from HK$25.1 to HK$24.4, maintaining a “buy” rating. The bank pointed out that Haitian International's revenue/gross profit/operating profit/net profit for the first half of the year was +1%/-5%/-8%/-8%, respectively, year-on-year, which was generally in line with the forecast. After the results were announced, Goldman Sachs lowered Haitian International's projected revenue and net profit by 1% to 2% and 3% to 5%, respectively, to reflect the relatively low share of overseas business; however, domestic demand for large tonnage vehicles and vehicles, as well as demand for high-end 3C and AI-related motors, partially offset the impact on the revenue side. The mid-term internationalization argument still holds true, but 2026 is more likely to be characterized by domestic-led growth, low gross margin, and gradual normalization of overseas business.