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JPM: CN Consumer Stocks Valuation Attractive but Earnings Cuts Not Over; Top Picks NONGFU SPRING/ ANTA SPORTS/ GUMING
2026-05-29 15:45:31
JP Morgan noted that the weighting of constituents in the MSCI China Consumer Index has shed from 40% at end-2020 to 29%, after share prices declined by about 50%. Many investors expected a clear market "pivot" in early 2026, but momentum weakened again after the Lunar New Year.

The forecast P/E for Consumer Staples and Discretionary are currently about 16x and 13x respectively, around 1.5 STD below their 10-year averages. Valuations for beverages, beer, catering, sportswear, beauty and jewellery sectors are at the bottom of their 10-year ranges, with dividend yields ranging from 5% to 7%.

The broker's top picks are NONGFU SPRING (09633.HK), ANTA SPORTS (02020.HK) and GUMING (01364.HK), all rated Overweight.

JP Morgan's investment ratings and target prices for consumer stocks are as follows:

Stocks | Investment Ratings | TPs (HKD)

NONGFU SPRING (09633.HK) | Overweight | HKD55

ANTA SPORTS (02020.HK) | Overweight | HKD130

GUMING (01364.HK) | Overweight | HKD38

POP MART (09992.HK) | Overweight -> Neutral | HKD350 -> HKD165

MNSO (09896.HK) | Overweight | HKD26 -> HKD16

CHINA RES BEER (00291.HK) | Overweight | HKD38 -> HKD34

BUD APAC (01876.HK) | Neutral | HKD7.9 -> HKD8.2

TSINGTAO BREW (00168.HK) | Overweight | HKD70 -> HKD67
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AASTOCKS Financial News
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