CICC Maintains "Outperform" Rating on ALI HEALTH (00241), Raises Target Price to HK$7.1

Stock News
Nov 28, 2025

CICC has reiterated its "Outperform" rating on ALI HEALTH (00241) and raised its target price by 30% to HK$7.1, citing improved sector valuations based on a sum-of-the-parts (SOTP) valuation approach. The bank also increased its non-GAAP net profit forecasts for fiscal years 2026 and 2027 by 16% each to RMB2.48 billion and RMB2.75 billion, respectively, reflecting the company's sustained profitability efforts.

ALI HEALTH reported better-than-expected results for the first half of fiscal 2026 (ended September), with revenue reaching RMB16.697 billion, up 17% year-on-year. Non-GAAP net profit surged 38.7% to RMB1.356 billion, yielding a profit margin of 8.1%, driven by strong performance in original prescription drugs. CICC expects the company's deepening strategic partnerships with upstream enterprises to further enhance business contributions beyond product sales.

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