HSBC cut Laopu Gold (06181.HK) target price 39% to HKD322.9 from HKD531.4 and downgraded the stock to Hold from Buy. The bank said a weaker-than-expected FY2026 Q3 recovery undermines its prior Buy thesis—that the brand would insulate sales from gold-price cycles and margins would normalize from 47% to about 40%—because market demand remains highly sensitive to movements in the gold price (September showed sales still tracking price swings). HSBC said sales have not decoupled from gold-price mov

HSBC cut Laopu Gold (06181.HK) target price 39% to HKD322.9 from HKD531.4 and downgraded the stock to Hold from Buy. The bank said a weaker-than-expected FY2026 Q3 recovery undermines its prior Buy thesis—that the brand would insulate sales from gold-price cycles and margins would normalize from 47% to about 40%—because market demand remains highly sensitive to movements in the gold price (September showed sales still tracking price swings). HSBC said sales have not decoupled from gold-price moves, reducing earnings predictability, and cut net profit forecasts for 2026–2028 by 21%/41%/45%, citing slower sales recovery and forecasts below consensus. HSBC expects combined revenue for Q3 and Q4 of around 4.4 bln yuan.