Bank of America Securities published a report stating that Bubble Mart's half-year performance fell short of expectations. The bank lowered its 2026/2027 adjusted earnings forecast per share by 22%/24%, and the target price was reduced by 4% to HK$153 from HK$160. The Bank of America predicts adjusted net profit of 10.65 billion yuan for the 2026 fiscal year, which means a 36% year-on-year decline in the second half of the year. The current price is equivalent to about 13 times the projected price-earnings ratio in 2026, close to the historical low, and the adjusted compound annual increase in net profit from 2025 to 2028 is only a low number of units, so the valuation seems reasonable. Therefore, it maintains a “neutral” rating and believes that there is limited room for stock prices to decline. The main supporting factors include: 1) the 2 billion to 5 billion yuan share repurchase plan for the next 6 months; 2) the impact of exchange losses in the second half of the year weakens; 3) well-known investor Duan Yongping's shareholding increased to 7.7%, or providing market sentiment support. Overall, the bank believes there is a general balance between risk and reward between current growth pain and long-term prospects.

Bank of America Securities published a report stating that Bubble Mart's half-year performance fell short of expectations. The bank lowered its 2026/2027 adjusted earnings forecast per share by 22%/24%, and the target price was reduced by 4% to HK$153 from HK$160. The Bank of America predicts adjusted net profit of 10.65 billion yuan for the 2026 fiscal year, which means a 36% year-on-year decline in the second half of the year. The current price is equivalent to about 13 times the projected price-earnings ratio in 2026, close to the historical low, and the adjusted compound annual increase in net profit from 2025 to 2028 is only a low number of units, so the valuation seems reasonable. Therefore, it maintains a “neutral” rating and believes that there is limited room for stock prices to decline. The main supporting factors include: 1) the 2 billion to 5 billion yuan share repurchase plan for the next 6 months; 2) the impact of exchange losses in the second half of the year weakens; 3) well-known investor Duan Yongping's shareholding increased to 7.7%, or providing market sentiment support. Overall, the bank believes there is a general balance between risk and reward between current growth pain and long-term prospects.