Goldsmith Financial News | GTJA research directive indicates that TOPSPORTS (06110) has shown a slight improvement in sales performance from early December until now compared to FY2025 Q3. For the entire FY2025, the institution maintains the expectation of a high single-digit year-on-year decline in total revenue and a more than 35% year-on-year decline in Net income. Looking ahead to 2025, under the assumption of strengthened expectations for economic recovery and consumer recovery, cyclically bottomed symbols are expected to experience both performance and valuation recovery. TOPSPORTS' direct channel revenue accounts for 85%, and the institution anticipates significant recovery elasticity, along with characteristics of low valuation and high dividends.

The institution pointed out that after the new CEO Hill of Nike took office, there is hope to shift the channel strategy towards a more balanced wholesale/DTC combination, strengthening close cooperation with Chinese retailers, accelerating product innovation. Meanwhile, former Nike global vice president and Greater China general manager Dong Weisheng has been promoted to chairman and CEO of Greater China and global CEO of Nike ACG, reflecting Nike's growing emphasis on the Chinese market and outdoor market, which is expected to drive the recovery of the Chinese Business and Bullish sales performance for TOPSPORTS.

The institution stated that in the medium to long term, it is Bullish about the company's ability to achieve healthy and stable growth under strong retail Operation capabilities. In the short term, there are expectations for the performance elasticity of TOPSPORTS to be released amid improvements in Nike’s operations and overall consumer recovery. The institution maintains FY2025-FY2027’s forecast of Net income attributable to shareholders at 1.39/1.59/1.79 billion RMB, with corresponding PE ratios of 12/10/9 times, maintaining a "Shareholding" rating.