CITIC Securities issued a research report raising MAN WAH HLDGS' (01999) target price by 11% from HK$4.5 to HK$5, while maintaining an "Outperform" investment rating. CITIC Securities stated that despite weak domestic demand, MAN WAH achieved stable underlying profits in FY2025, benefiting from margin improvements. Due to its global production base, MAN WAH's overseas sales demonstrated resilience, helping to mitigate the impact of U.S. tariffs. The firm believes that ongoing efficiency optimization and overseas capacity expansion will help stabilize earnings in the near term, and MAN WAH is expected to benefit from potential domestic demand stabilization starting in 2026. CITIC Securities lowered its net profit forecasts for 2026/2027 by 7.1% and 7.5% respectively, reflecting lower sales assumptions and tariffs. Given the improved outlook, the firm rolled its valuation forward to 2027 and adopted a higher P/E ratio of 8.8x (from 7.5x), which is 0.5 standard deviations below the 3-year average.