Muyuan Foods' stock plummeted 5.02% intraday, following a significant target price reduction by Goldman Sachs and a severe downturn in the hog market.

The decline was primarily triggered by Goldman Sachs lowering its target price for Muyuan Foods H-shares from HKD 68 to HKD 64, while maintaining a "Buy" rating. The bank noted that mainland China hog prices have fallen to RMB 8.7 per kilogram, the lowest level in 25 years, with nearly all producers operating at cash losses.

Goldman Sachs cut its recurring earnings forecast for Muyuan for the current year by 17% to reflect lower hog price assumptions. Market consensus expects Muyuan's quarterly revenue to decline 26.51% year-on-year, further weighing on investor sentiment.