0515 GMT - Jiumaojiu International Holdings' restaurant-opening pace in 2025 is likely to be more stable, China Galaxy International analysts say in a research report. The company has been improving the layout of restaurants via a cautious opening strategy and closure of inefficient restaurants, the analysts say. Management believes the penetration of its Tai Er restaurants in China's lower-tier cities has been too fast over last the three years, the analysts note. For its Song Hot Pot restaurants, management plans to focus on fresh raw materials and prioritize openings in South China in 2025-2027. The brokerage keeps a hold rating but raises the target price to HK$2.94 from HK$2.60 to reflect roll-forward of earnings forecasts. Shares are 1.4% lower at HK$2.84. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
April 01, 2025 01:15 ET (05:15 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.