- Chow Tai Fook’s net income for the first half of the year was HK$2.53 billion, which was slightly below estimates of HK$2.63 billion, marking a small increase of 0.2% compared to last year.
- Overall revenue came in at HK$38.99 billion, a decrease of 1.1% year-over-year, falling short of the estimated HK$40.19 billion.
- Revenue from Mainland China totaled HK$32.19 billion, registering a decline of 2.5% compared to the previous year.
- The segment revenue from Hong Kong, Macau, and other markets stood at HK$6.79 billion.
- Same-store sales in Mainland China saw a growth of 2.6%, while in Hong Kong and Macau, there was a growth of 4.4%.
- The gross profit margin declined to 30.5% from 31.4% last year, missing the expected 31.5%.
- An interim dividend of 22 HK cents per share was declared, up from 20.0 HK cents last year.
- Chow Tai Fook is committed to advancing its brand transformation through strategic initiatives aimed at delivering positive outcomes.
- The stock recommendation consensus is strong with 27 buys, 3 holds, and 0 sells.
Chow Tai Fook Jewellery on Smartkarma
Analysts on Smartkarma have differing views on Chow Tai Fook Jewellery (1929 HK). Sreemant Dudhoria,CFA provides insights on the strong operational performance in Q2 2025 and the impact of tax incentives on manufacturers, but suggests a bearish lean due to a puzzling future outlook. On the other hand, Osbert Tang, CFA recommends selling as the recovery in Hong Kong jewellery sales may be temporary, citing low dividend yield and high valuations. Devi Subhakesan also takes a bearish stance, highlighting downside risks of stretched valuations amidst weak jewellery demand and a potential gold rally.
However, there is a positive outlook from Sreemant Dudhoria,CFA in another report, pointing out the improved retail sales and operational metrics in Q1FY26 for Chow Tai Fook. This bullish lean is supported by a long-term winner positioning with a 16.9x P/E valuation. In a broader context, Sreemant Dudhoria,CFA includes Chow Tai Fook in a shortlist of high conviction ideas across China, Japan, and India for June 2025, showcasing a positive sentiment towards the company within the market context.
A look at Chow Tai Fook Jewellery Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Chow Tai Fook Jewellery Group Limited, a retail jeweler with a presence across Asia, has received varying Smart Scores across different aspects. While the company scores well in terms of Growth and Momentum, indicating positive trends in future expansion and market performance, it falls slightly behind in terms of Value and Dividend. This suggests that while Chow Tai Fook Jewellery shows promise in terms of growth and market momentum, investors may need to carefully consider aspects of value and dividends when assessing its long-term outlook.
Overall, Chow Tai Fook Jewellery‘s mixed Smart Scores point towards a company with strong growth potential and market momentum, though investors may want to carefully evaluate factors such as value and dividends before making decisions. With a retail presence in key markets like China, Hong Kong, and Singapore, Chow Tai Fook Jewellery Group Limited continues to be a prominent player in the jewelry industry, offering a diverse range of products from rings to small statues.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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