0401 GMT - Upside catalysts appear limited for China Feihe, Citi analysts say in a research note. Feihe expects a drop in revenue and net profit in 1H and plans to buy back no less than 1 billion yuan worth of stocks. The analysts believe unexpected competition from major formula makers' subsidy programs, amid soft demand, and has weighed on Feihe's sales. "We expect the share price to react negatively on weak earnings in the near term, while the dividend yield and buybacks could provide some support afterwards," they say. Citi downgrades Feihe to neutral from buy due to the preliminary results miss and cut its target price to HK$5.5 from HK$7.1. Shares are last 17.5% lower at HK$4.70. (sherry.qin@wsj.com)
(END) Dow Jones Newswires
July 07, 2025 00:01 ET (04:01 GMT)
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