Baozun's Hong Kong shares hit 11-month low, broker cuts TP after results

Baozun

20/08/2021 08:11

** Hong Kong shares of e-commerce services provider and
online store operator Baozun Inc  9991.HK  plunge 10.3% to
HK$48.55, the lowest since listing on Sept. 29, 2020  
    ** Stock is on course for its biggest daily percentage
decline since July 26; the biggest percentage decliner on the
Hang Seng sub-index tracking information technology firms
 .HSCIIT  
    ** Shanghai-based Baozun  BZUN.O  says its Q2 revenue rose
7.1% year on year to 2.3 bln yuan ($353.8 mln) while net income
fell 33.4% 79.8 mln yuan  urn:newsml:reuters.com:*:nASA02JQY
    ** Brokerage Daiwa downgrades the U.S-listed stock to "hold"
from "buy" and cut TP to $20 from $42, saying Q2 results were
disappointing, with revenue below forecast and it expects
negative revenue impact from the better cotton initiative to
linger in H2 
    ** HSBC also cuts TP of Baozun to $22 from $38
    ** The Hong Kong Hang Seng sub-index tracking information
technology firms  .HSCIIT  slips 1%, and the Hang Seng Tech
Index  .HSTECH  falls 2.3%
    ** The Hang Seng China Enterprises Index  .HSCE  and the
benchmark index  .HSI  both drop 1.7%
    ** As of last close, the Hong Kong-listed stock had fallen
38.3% this year


($1 = 6.5011 Chinese yuan renminbi)

 (Reporting by Donny Kwok. Editing by Jane Merriman)
 ((donny.kwok@thomsonreuters.com))