Economic Information Daily News (14th) reported that Techtronic Industries (00669) is currently up 3.7%, trading at HK$130.1, with approximately 3.59 million shares traded, involving a turnover of HK$458 million.
UBS published a research report stating that management of Techtronic Industries reaffirmed confidence in 6% to 7% revenue growth for this year, mainly benefiting from the low double-digit growth of its brand Milwaukee, and strong AIDC-related sales supported by contractors' multi-year order backlog. The bank set a target price of HK$168 and reiterated its "Buy" rating.
The bank pointed out that management indicated overall POS remained robust in the third quarter. Regarding EBIT margin, after outperforming expectations in the first half of the year, management expects to achieve 10% for the full year of 2026 (earlier than the original 2027 target), and further upward momentum, driven by the following factors: continued gross margin expansion, attributable to Milwaukee's growth, productivity improvements, and economies of scale; rising operating leverage, keeping sales and administrative expense ratio stable (currently at 33%).
The bank mentioned that, according to its understanding, robust profit growth combined with substantial tariff refunds could potentially enhance shareholder returns through dividends and share buybacks. (am)
UBS published a research report stating that management of Techtronic Industries reaffirmed confidence in 6% to 7% revenue growth for this year, mainly benefiting from the low double-digit growth of its brand Milwaukee, and strong AIDC-related sales supported by contractors' multi-year order backlog. The bank set a target price of HK$168 and reiterated its "Buy" rating.
The bank pointed out that management indicated overall POS remained robust in the third quarter. Regarding EBIT margin, after outperforming expectations in the first half of the year, management expects to achieve 10% for the full year of 2026 (earlier than the original 2027 target), and further upward momentum, driven by the following factors: continued gross margin expansion, attributable to Milwaukee's growth, productivity improvements, and economies of scale; rising operating leverage, keeping sales and administrative expense ratio stable (currently at 33%).
The bank mentioned that, according to its understanding, robust profit growth combined with substantial tariff refunds could potentially enhance shareholder returns through dividends and share buybacks. (am)
