Gelonghui, June 3 | CICC released a report saying that Li Ning hosted the 2024 Li Ning Science and Technology Show on May 29 to review Li Ning's history of scientific and technological innovation over the years and launch new technology products such as Dragon Sparrow and Brilliant Picture 3. CICC believes that the Li Ning brand has leading category expansion capabilities, product matrification capabilities, and series stacking capabilities. The continuous iteration and matrification of professional sports equipment has also brought good sales performance. As of 2023, Feidian, Red Rabbit, and the three ultra-light running shoes with different functionality have sold more than 9 million pairs per year. The company further clarified the development direction of R&D and innovation as the driving force for growth, and strives to achieve leading products and leading technology to meet the growing sports needs of consumers. CICC indicates that technological innovation empowers Li Ning's product competitiveness, keeping the company's 2024 and 2025 earnings forecasts of 1.25 and 1.44 yuan unchanged. The current stock price corresponds to 15 and 13 times the price-earnings ratio for 2024 and 2025, maintaining the “outperforming industry” rating. Considering the increase in the valuation center of the industry, the target price was raised by 21% to HK$25.33, corresponding to 18 and 15 times the price-earnings ratio in 2024 and 2025.