China Merchants Securities initiates coverage on the old gold (06181.HK) and gives a "strongly recommended" rating. The report indicates that the old gold's performance grew rapidly last year, with a revenue growth of 146% and a net profit growth of 340%. With a larger space in the traditional gold market and high-end jewelry market, the company has growth opportunities.

The company's current same-store sales growth is faster, and there is a large space for long-term store expansion. At the same time, the high-end positioning and all direct sales channels bring higher profitability. The company is expected to have a net profit of RMB 709 million, RMB 863 million, and RMB 1.005 billion from 2024 to 2026, with a year-on-year increase of 70%, 22%, and 16%, respectively. The June 28 stock price corresponds to 14.9 PE in 2024 and 12.2 PE in 2025.