LUK FOOK HOLD (00590) experienced a decline of more than 4% in its share price. As of the time of writing, the stock was down 4.61%, trading at HK$26.5, with a turnover of HK$102 million. The drop follows a research report from Citigroup which, while noting an acceleration in same-store sales growth for the first two months of the year driven by strong investment demand for gold and tourist traffic in Hong Kong, Macau, and overseas markets, also highlighted concerns. The bank pointed out that robust gold prices are expected to lead to increased hedging losses in the second half of the year and could potentially slow the pace of future gold price increases, negatively impacting future gross margins. Consequently, Citigroup has reduced its net profit forecasts for LUK FOOK HOLD for the fiscal years ending March 2026, 2027, and 2028 by 13%, 9%, and 7% respectively. The bank also lowered its target price for the stock from HK$35.2 to HK$32.8.