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Citi Raises Valuation Multiple for XINYI GLASS (00868.HK) Auto Glass Biz, Lifts TP to $9.01
2026-01-16 14:49:12
Citi Research lowered its 2025-2027 revenue forecasts for XINYI GLASS (00868.HK) by 5%, and its gross margin forecasts by 1.3-2.8 ppts to 28.5-30.2%.

Considering the surging profit contribution from the auto glass business and its excellent gross margin performance, the broker raised its valuation multiple for XINYI GLASS' core glass business to a projected 2026 PE ratio of 10x, and adopted a SOTP valuation method to factor in earnings sources from XINYI SOLAR (00968.HK) and XINYI ENERGY (03868.HK). Citi Research lifted its target price for XINYI GLASS from $7.55 to $9.01.

The broker kept rating at Neutral on XINYI GLASS, and remained cautious about the Company's short- to medium-term outlook due to the ongoing weakness in the economic and property market, which continued to suppress the Company's recovery prospects.
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