JPMorgan issued a research report stating that WH GROUP (00288) achieved sales/earnings before biological fair value adjustments growth of 8.9%/4.5% year-on-year in the first half of 2025, largely in line with market expectations. This translates to second quarter 2025 sales/operating profit growth of 12%/3% year-on-year respectively.

The performance surprise mainly stemmed from optimistic prospects for the China market in the second half and an increase in interim dividend. The target price has been raised from HK$8.8 to HK$9.6, with an "Overweight" rating maintained.

The firm estimates the group's full-year 2025 sales/earnings will grow 3%/4% year-on-year respectively, implying second-half declines of 2% and growth of 3% respectively. Year-to-date in 2025, WH GROUP's share price has risen 42%, outperforming the Hang Seng Index's 27% gain, benefiting from business recovery and a 27% valuation re-rating driven by increased dividend payments.

The firm forecasts WH GROUP's full-year dividend per share at HK$0.60, representing a dividend yield of 7.2%.