YTO Express: Lifting Fair Value Estimate by 21% to CNY 18.10; Industry Competition Remains Intense
After reviewing our earnings assumptions, we raised YTO Express' fair value estimate by 21% to CNY 18.10 per share and increased our recurring net profit forecasts for 2024-26 by 8%-12%. Despite the higher valuation, we think shares are fairly valued due to our concerns over intense near-term price competition for express delivery.